WASHINGTON, April 30, 2024 - Today, the World Bank has approved a credit from the International Development Association in the amount of $30 million for the Second Additional Financing of the Resilient Tourism and Blue Economy Development Project in Cabo Verde, increasing the overall value of this project, initially approved in May 2022, to $75 million.
This new funding emphasizes the importance of tourism and its connections to the blue economy. Its main goal is to support Cabo Verde's overarching strategies for sustainable tourism and the blue economy, as outlined in the Tourism Operational Program and the National Investment Plan for the Blue Economy. By doing so, it aims to promote tourism practices that are environmentally friendly and beneficial to local communities. It also aims to expand on initial objectives by improving the diversity of tourism offerings across different islands and markets. Progress will be measured by metrics like increased tourist spending and longer stays in emerging destinations. Additionally, the project seeks to increase the participation of local communities in the economic benefits of tourism, which will be tracked through the number of contracts awarded to local businesses within the tourism industry.
The project expansion now spans activities across six islands: Santiago, Santo Antão, São Vicente, Sal, São Nicolau, and Boa Vista. These activities include improving tourism and blue economy infrastructure, supporting local small and medium-sized enterprises (SMEs) and women-led businesses, and establishing supportive public policies.
Rosa Brito, Interim Resident Representative for Cabo Verde, highlighted the significance of the increased funding, stating, "The increase in funding for this pivotal project to $75 million — the largest ever provided by the World Bank in Cabo Verde — underscores a firm commitment to advancing the country's development strategy led by the private sector. This commitment extends to exploring opportunities beyond tourism, particularly within the blue economy. The expanded investments in resilient infrastructure, coupled with support programs for local SMEs and sustainable development policies, aim to unlock Cabo Verde's inherent potential and competitive advantages."