Investment in Cape Verde Infrastructure To Benefit Investors

Cape Verde just keeps on getting more and more attractive, its potential escalating from punt in an emerging market to bona fide investment opportunity. Now, the domestic market and overseas investors alike are set to reap massive benefits following announcements that large scale infrastructure improvements are to be made across the country.

Millions of pounds are to be put towards upgrading the country’s air hubs and creating new ports and roads in popular locations such as Santiago Island. The work is being partly funded by the Portuguese government, which has allowed Cape Verde - a former Portuguese colony - to repay the loan at what it described as a ‘favourable’ rate of interest. An increasingly modern infrastructure will only enhance Cape Verde’s growing standing among overseas property buyers.

British newspaper The Observer recently reported that Cape Verde’s attractions such as its good climate have made the country an ‘irresistible’ option for many investors, adding that the west African archipelago had also become popular in recent years due to accessibility improvements, such as the new opening of an international airport on Boa Vista Island and the introduction of direct flights from Europe. In October, the country’s national airline TACV began operating direct services between London’s Stansted Airport and Cape Verde’s capital city, Praia, due to its growing appeal to tourists, many of whom have been attracted to the country by the cheap property values, often going on to snap up bargains in a desirable location. The potential for capital growth in Cape Verde is said to be especially high if you buy off-plan.

The Observer article drew particular attention to Cape Verde’s natural attributes, its excellent climate making it a natural alternative to the Caribbean market. A growing eco-tourism sector as well as a variety of different types of investment property available, including beach and golf resorts, give the market broad appeal. Official estimates predict an increase in the number of tourists visiting Cape Verde over the next few years as the islands become better-known throughout the world. It is forecast that the number of people visiting the islands in 2007 will reach 320,000 before the end of the year. Within the next five years, annual visitor numbers were likely to reach the 500,000 mark. The government of Cape Verde has a target of a million visitors annually, which it hopes to achieve by 2015.