Investing in Cape Verde

Property investors who invest in emerging markets are looking to find a balance between investing early, purchasing property at the lowest possible prices and minimizing risk. With Cape Verde as is the case with many of the Worlds emerging markets, investment strategies generally are to invest early and as the area becomes established and demand for property and rental accommodation increases be perfectly positioned to make substantial gains.

With Cape Verde this is certainly the case and although it is still a very early stage of development on the Islands and property prices are still very competitive for the best locations, and with developers still looking to secure beach front land for further large scale development there are some very positive signs. For Islands with little infrastructure currently in place there are strong indications of the tourism boom to come shortly, this section is designed to give potential buyers a feel for the current status of tourism on the Islands before looking to purchase a Cape Verde property for investment.

Cape Verde investments offer very low price property at the beginning of a boom. Imagine buying a frontline beach apartment or villa in a popular established holiday destination like the Canary Islands 25 years ago before it was known to most.

The land and property prices would cost a fraction of what they do today. This is exactly what Cape Verde is offering. With a new international airport recently opened and UK direct scheduled flights from 2006 now is the time to invest in Cape Verde property.

Below are some extracts from the "Property Investor News" showing property investment in Cape Verde is gaining popularity.

Investment property in Cape Verde is currently one of the best locations worldwide to purchase property when looking for a good ROI. With the information above it’s clear to see the potential of these islands and as soon as Cape Verde becomes a mainstream holiday destination the price of property here will almost certainly increase drastically.

Santiago island, which is situated in the Cape Verde Islands, just south of the Canaries is set to become the world's new luxury tourism destination.

With its all year round warmth and sunshine, the exotic Cape Verde Islands, is set to rival the Canaries tourism trade, thanks to the new international airport of Praia, which will begin operating direct flights from Europe in March. Flight times from London, Paris or Amsterdam, for instance will only be 5.5 hours.

"The opening of the new airport puts Santiago on course not only to become a popular tourist hub, but also to offer imaginative British property investors an excellent financial return, and a high-quality environment for their personal enjoyment", says Johnathan Grepne, Managing Director of a Cape Verde based development company."

Capitalize On The Potential Of Europe’s First Africa Based Holiday Destination

If you are interested in investing in Cape Verde we suggest you operate quickly as some of the best priced developments are now 50% sold and as more and more people become aware of the potential for property investment in Cape Verde the prices will begin to rise.

The real beauty of a Cape Verde investment now is that its such a new location with un-rivaled potential.

Cape Verde - Foreign Investment Policy
Cape Verde welcomes private foreign investment as a way to create a sustainable growing economy through job creation and capital investment and thereafter the collection of tax revenues.

Legislation to entice external private investment into Cape Verde was introduced in 1989. The 'Lei de Investimento Externo' ('External Investment Law') introduced in 1993 broadened and enhanced the existing legislation to attract private foreign investment by non-Cape Verdean nationals and includes a 5-year initial tax holiday and a subsequent tax reduction by 50% on corporate tax (currently 30%) for the following 10 years.

These incentives can be extended indefinitely, so long as adequate re-investment is made. Regarding tourism investment, an exemption is granted on import duties for materials necessary for construction and installation of projects. All net revenues are guaranteed transference out of Cape Verde in full and foreign currency bank accounts are available.

Any dispute between the Government and foreign investors can be decided upon by a sole-arbitrator appointed by the 'Center for the Settlement of Investment Disputes' in Washington DC. Private foreign investors are entitled to residency in Cape Verde if they employ more than 13 nationals or invest more than approximately 35,000 Euros. "CABOVERDE INVESTIMENTOS" (which recently replaced Promex - the 'Center for the Promotion of Tourism, Investment and Exports') is a government agency that is officially the front desk for potential investors; the agency also approves projects and arranges further approval needed from the Government.