Cabo Verde launches capital markets project funded by the African Development Bank

The objectives of the project are aligned with the priorities of the Bank’s Country Strategy for Cabo Verde

On 1 February, the Government of Cabo Verde launched a project by videoconference to stimulate the development of dynamic capital markets in this Portuguese-speaking West African country.

In October 2021, the African Development Bank approved a US$350,000 grant from the Capital Markets Development Trust Fund. The funding is intended to contribute to the development of Cabo Verde’s first-ever capital markets master plan. These funds will also facilitate the expansion of domestic bond markets by modernizing existing infrastructure.

Deputy Prime Minister Olavo Correia said the project would create a more dynamic, technologically advanced and liquidity-enhancing capital market. “The African Development Bank has been an important development partner of Cabo Verde since its independence, and today, once once more, the Bank is working on this by supporting one of the main instruments that will enable and encourage sustainable investment and savings, through the Cabo Verde Stock Exchange. »

“The project we are supporting will support Cabo Verde’s efforts to deepen and expand the mobilization of domestic resources necessary for economic diversification and the implementation of national development plans,” said Joseph Ribeiro, deputy director General of the African Development Bank for West Africa. It is in line with the priorities of Cabo Verde and the African Development Bank. »

The Bolsa de Valores de Cabo Verde (BVC), the Cabo Verde Stock Exchange, will execute the project in partnership with the national capital markets ecosystem. According to Marcia Teixeira Marçal, Executive Director of the BVC, this initiative will create business opportunities for companies, investors, operators and other stakeholders, “for which we are very grateful for this partnership with the African Development Bank. »

The objectives of the project are aligned with the priorities of the Bank’s Country Strategy for Cabo Verde, which aims to lay the foundations for economic diversification and inclusive growth. The Capital Markets Development Trust Fund is a multi-donor funding mechanism that supports the African Development Bank’s efforts in mobilizing domestic resources to finance Africa’s development. Administered by the African Development Bank, the Trust Fund is currently supported by two donors: the Ministry of Finance of the

Luxembourg and that of Foreign Trade and Cooperation of the Netherlands.