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The digital transformation of Cabo Verde

The "Cyber Island" Ambition: Inside Cabo Verde's Digital Transformation Strategy

Cabo Verde is currently executing an ambitious structural transformation to position itself not just as a tourist destination, but as a "Digital Nation" and a technological hub for West Africa. Recognizing the limitations of its fragmented geography and scarcity of natural resources, the archipelago has identified the digital economy as a critical accelerator for sustainable development, aiming for the sector to contribute at least 25% to the national GDP by 2030,.

The country already boasts some of the highest indicators in the region, ranking first in Western Africa for the GovTech Maturity Index (2021) and fourth in the African continent for ICT development,.

1. The Strategic Framework

The roadmap for this transformation is anchored in the Strategic Plan for Sustainable Development 2022-2026 (PEDS II) and the specific Digital Economy Strategy of Cabo Verde (EEDCV). This strategy is aligned with the long-term vision "Cabo Verde Ambition 2030," which seeks to transform the country into a mid-Atlantic digital platform,.

The strategy is built upon five core values: innovation, inclusion, sustainability, resilience, and trust. Key quantitative targets for the 2026 horizon include:

  • Increasing the proportion of online digital public services to 60%.
  • Ensuring 90% of public services are computerized.
  • Achieving an internet penetration rate of 90%.
  • Positioning the country as a regional hub for telecommunications and digital services.
download ---->  Digital Economy Strategy of Cabo Verde (EEDCV)

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Main Elements of the Transformation

Cabo Verde's digital ecosystem rests on several structural pillars designed to attract foreign investment and modernize the state.

A. Connectivity and Infrastructure 

The government leverages the archipelago's geostrategic location to make it a digital node connecting Africa, Europe, and the Americas.

  • Submarine Cables: The country is connected via the EllaLink cable (linking Europe and Latin America), providing high-speed, low-latency connectivity,. Future connectivity includes the Amílcar Cabral subsea cable project, intended to link Cabo Verde to Liberia and other West African nations, and the SHARE cable connecting to Senegal,.
  • Technology Parks: A major infrastructure project is the Cabo Verde Technology Park (TechPark CV), funded by the African Development Bank (€45.6 million). With poles in Praia and Mindelo, it includes data centers, business centers, and incubation facilities, designed to host major international tech firms,,.

B. E-Governance and Modernization 

Cabo Verde is recognized as a center of excellence for e-government in the region. The digitization of public administration aims to reduce bureaucracy and improve service delivery.

  • Digital Services: Significant progress has been made with platforms like the Consular Portal, which allows the diaspora to request documents online, and the Casa do Cidadão (Citizen House),.
  • Integrated Systems: The NOSi (Operational Nucleus for the Information Society) has developed the IGRPWeb (Integrated Government Resource Planning), an open-source platform for public governance,.

C. Private Sector & Innovation Ecosystem 

To foster a private-sector-led digital economy, the government has established specific incentives:

  • ZEET (Special Economic Zone for Technologies): Located within the TechPark, this zone offers a competitive 2.5% Corporate Income Tax (IRPC) rate for eligible technology companies, along with exemptions on customs duties and VAT for equipment imports,.
  • Start-up Ecosystem: Initiatives like Cabo Verde Digital support entrepreneurs through grants and programs like "Go Global" to internationalize local startups,. The ecosystem is ranked third in West Africa.
  • Digital Nomads: The "Remote Working Program" offers temporary visas for digital nomads, capitalizing on the country's time zone and climate to attract global talent,.

 Key Players and Stakeholders

The transformation is driven by a mix of public oversight, technical execution, and private operation.

  • Ministry of the Digital Economy (MED): The primary government body responsible for setting policy direction and driving digital transformation.
  • NOSi (Núcleo Operacional da Sociedade de Informação): A pivotal public entity that acts as the technological arm of the government, managing the state's network and developing e-governance solutions. It is currently transitioning from a software developer role to an ecosystem enabler,.
  • ARME (Multisectoral Economy Regulatory Agency): Responsible for regulating the sector, setting tariffs, and promoting competition.
  • CV Telecom: The incumbent telecommunications operator, majority state-owned, which manages the public infrastructure network (including the submarine cables) through a concession agreement.
  • International Partners: The World Bank and the African Development Bank (AfDB) are major financiers of digital infrastructure and capacity building,. The European Union supports connectivity projects under the Global Gateway initiative. 
  • Huawei:  issupplying equipment to the country's two major telecommunications providers and maintaining an active, non-exclusive commercial presence

4. Challenges to Overcome

Despite the progress, the ecosystem faces hurdles:

  • Affordability: Internet costs remain high compared to peers, and affordability is a key barrier to universal access,.
  • Market Concentration: The telecom market is highly concentrated (primarily CV Telecom and Unitel T+), which limits competition and keeps prices elevated.
  • Skills Gap: While digital literacy is improving (around 70%), there is a need for advanced technical skills to meet the demands of the new TechParks and international companies,.

By addressing these challenges through regulatory reform and investment in human capital, Cabo Verde aims to transition from an importer of technology to a regional exporter of digital services.

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