Laying the foundation for a more inclusive economy
WASHINGTON, November 5, 2019 – On October 29, 2019, the World Bank Group’s Board of Executive Directors discussed the Country Partnership Framework (CPF) for the Republic of Cabo Verde for the period 2020-2025. This CPF lays out the WBG strategy to accelerate human capital for inclusive service-led growth and to strengthen the environment for a more diversified economy in the archipelago.
Cabo Verde has made headway in reducing poverty and inequality and improving human development outcomes over the past 20 years. Yet, social exclusion remains a challenge for the poor and extremely poor. Youth unemployment remains high with 41 percent of 15-24-year-olds were unemployed.
““This CPF is about supporting the Government’s pursuit of a reform agenda for achieving debt sustainability, macro-stability, and inclusive growth and resilience” said Nathan Belete, World Bank Country Director for Cabo Verde.
“Mobilizing private investment is key to support inclusive growth in Cabo Verde. In line with the CPF and the National Sustainable Development Plan, IFC will provide its full range of financial products and advisory services to enable private sector led solutions in sectors including financial institutions, infrastructure and tourism” said Aliou Maiga, IFC’s Director for West and Central Africa.
“The strategy will focus on fostering investments to prepare the workforce for an economy based on the provision of high-quality services and on continuing structural reforms to attract private investment, promote sustainable growth and build connectivity, both physical and digital, “added Fatou Fall, the Country Liaison Officer based in Praia.
“MIGA will actively seek opportunities to support the CPF program in Cabo Verde, particularly to help bring in private investment for the transport, energy and telecom sectors”, said Hoda Atia Moustafa, Head of the Africa Regional Office of the Multilateral Investment Guarantee Agency (MIGA), based in Dakar.
Guided by the priorities identified in the 2018 Systematic Country Diagnostic (SCD) for Cabo Verde, the World Bank Group’s two thematic areas of support are to:
- Accelerate human capital for inclusive, service-led growth by enhancing basic education and skills to better equip children for present and future jobs and by strengthening social protection, social inclusion and access to micro small and medium enterprises;
- Strengthen the environment for a more diversified economy by improving fiscal and macroeconomic resilience and laying the foundations for private sector-led growth.
Currently, the country has eight projects receiving IDA/IBRD funding for a total amount of $156 million with a focus on transport, human development, tourism competitiveness, access to finance for micro, small and medium enterprises and governance.