St. Vincent and the Grenadines is situated in the Eastern Caribbean at the southern end of the Windward Islands chain. It is an archipelago of islands with St. Vincent as the mainland. The Grenadine Islands include Bequia, Mustique, Canouan, Mayreau, Union Island, Palm Island, Petit St. Vincent and other uninhabited islets. They occupy 388 sq. km. (150 sq. mi.).
St. Vincent is dominated by the volcano Mount Soufriere, which rises to 4,048 ft. The capital is Kingstown in St. Vincent. St. Vincent and the Grenadines has traditionally been an agrarian economy with a very strong focus on banana production for export. In recent times, however, the Government of St. Vincent and the Grenadines has been focused on diversifying the economy. Agriculture, dominated by banana production, is the most important sector in the economy, although the Services sector is also important. The Tourism sector has great potential particularly with the recent filming of the Pirates of the Caribbean movies in St. Vincent.
The economy performed well in 2006, despite a slight rise in inflation. Economic growth stood at 4.5%. This was led by tourism-related construction. There is also a small manufacturing sector and a small offshore services sector.
The population of 120,000 has English as the official language although French patois is also spoken. St. Vincent & the Grenadines is a member of the Organisation of Eastern Caribbean States, as such the currency is the Eastern Caribbean dollar (EC$), which trades at US$1.00 for EC$2.70.