Mortgages and finance

The Cape Verde government and local business are keen to attract tourism and investment in the islands and have taken strides to make things easier and more rewarding for you.

Mortgages

Cape Verde banks are now offering Euro rate mortgages to foreign buyers investing in off plan properties. The maximum loan is 50 % against the total value. If the mortgage is for an existing property, then the Euro rate mortgage will rise to 80 % of total value.

Incentives

Way back in 1989, the Cape Verde government brought in the External Investment Law to attract foreign investors. This was strengthened in 1993 to give a range of incentives to people putting money into the growth of the islands.

The main measures include a five year tax holiday followed by a 50 % reduction on corporate tax for the next 10 years. It doesn't end there, as long as more reinvestment is being made, this relief can carry on indefinitely.

There is also an exemption on import duties for construction materials and the installation of projects. Any net revenue is guaranteed clear transfer out of Cape Verde, in full. Foreign currency bank accounts are now available. You will soon be made to feel at home in Cape Verde as foreign investors who employ more than 13 Cape Verde nationals or invest more than 35,000 euros, are entitled to legal residency.

The Cape Verde government has set up an agency to help and advise potential investors. This is called Caboverde Investimentos and can help investors to liaise with the government.