Cabo Verde moves ahead with golden visas for investors

31 July 2017

A programme of gold visas for investors is one of the measures being prepared by the Cape Verdean government to attract foreign investment to the archipelago, the Cape Verdean prime minister told Macao Magazine.

In an interview with Macao Magazine in Praia, Cabo Verde (Cape Verde), Ulisses Correia e Silva said the concrete proposal for the investor visa programme will soon be submitted to parliament for approval.

“It is an instrument designed to attract and promote investment that is selective for investors who invest in Cabo Verde, starting with a specific amount, but also open to those who wish to make their second home here, taking advantage of tourism,” said the Cape Verdean prime minister, in an interview published in the latest issue of the magazine.

Reserving the disclosure of the investment amounts for visas to be granted for the proposal’s presentation in parliament Correia e Silva said that, in addition to entering the archipelago, the measure includes, “access to a set of services, so that those who wish to invest feel that there is an additional instrument for making an investment, residing, having a second home or doing business in Cabo Verde.”

Asked about the priority countries for his government in terms of attracting investment, Correia e Silva recalled that the European Union is currently the main economic partner, as well as the largest tourist market, but indicated interest in expanding relations with the United States and with “the Asian market, mainly China.”

“We are not in favour of specific countries in terms of who wants to invest – we have an open economy, there is a level playing field for everyone,” along with “a need to further diversify markets,” he said.

After completing the first year of a 5-year term, the government of Ulisses Correia e Silva is moving ahead with a set of measures to stimulate economic activity and facilitate business activity, namely a tax reform, to be applied from the 3rd quarter of 2017.

“We want to change the framework that has been in place for many years, and it worked well for us, but it needs to become more attractive,” he told Macao Magazine.

The head of the Cape Verdean government said that the current investment regime – exemption from tax during the company’s launch period, rising from 0% (tax rate) to 5% and 25% – should lead to a more competitive regime, particularly for export-related projects, with low rates from launch to full operation, with a 2.5% to 5% tax on profit and import tax exemption on raw materials.

“We want to adopt these measures, particularly with regard to export-oriented industries and services, and I can guarantee that this change will be a reality,” he said.

The Cape Verdean government is particularly interested in investments in infrastructure and renewable energy, in addition to the country’s largest industry – tourism – and believes it has significant advantages over other countries in the region.

“All these sectors can in fact be developed taking advantage of Cabo Verde’s advantages: stability, low political and social risk, confidence. This set of factors makes it possible to invest in Cabo Verde with a relatively low economic risk calculation and the possibility of approaching other markets, while being based here.” (macauhub)