Cape Verde’s donors preparing new aid packages

18 May 2007

Cidade da Praia, Cape Verde, 18 May – Representatives from Cape Verde’s donor countries and organizations are in the archipelago to evaluate reforms underway in the country and to appraise their direct budget support to Praia ahead of the formalization of new assistance packages to the country next week, officials said.

The donor delegation comprises representatives from Austria, Spain, the Netherlands, the World Bank, the European Union and the African Development Bank. The donors will report next week on the application of their budget funding to Praia for 2006 and also announce their aid programs for coming years.

Bilateral budget support pacts will also be signed between Cape Verde and Spain, for 2007-2009, and with the Netherlands for 2007-2008.

Praia has already signed a direct budget support accord with Austria for 2006-2009. A similar deal was inked with the African Development Bank last year.

Spain announced this year that it was tripling its aid to Cape Verde to reach 27 million euros annually by 2009. Madrid has also opened an office in Praia to oversee its development projects and to encourage more aid funding requests.

Portugal signed an accord with Cape Verde in April, under which Lisbon is providing 13.5 million euros this year to finance projects in the areas of teaching, health and poverty reduction. (macauhub)