Cape Verde is not only an exotic holiday destination, but increasingly also an attractive place for investors. A stable political environment, favourable tax conditions and legislative protection of investments make Cape Verde a safe and profitable base for foreign capital. In 2023, tourism here grew by 20.9 %, with hotels recording more than a million guests. Growing demand for accommodation then supports the development of the real estate market. On top of that, Cape Verde offers investors permanent residency when buying a property from 80,000 euros, which increases its appeal as a place for long-term investment.
Cape Verde is the closest tropical destination to Europe and at the same time ranks among the world's most stable democracies. This island state can boast not only a strategic location near major maritime and air routes, but also a growing domestic population and a skilled workforce. The population is expected to continue rising over the coming decades, which creates opportunities for the development of the local economy as well as the real estate market. Thanks to its stable environment, growing tourism and favourable tax conditions, Cape Verde is becoming an ever more attractive destination for investors from all over the world.
And it is also attracting Czech investors, who increasingly have it in their sights. According to information provided by the Czech-Cape Verdean Chamber of Commerce, in 2022 Czechs owned at least a hundred apartments in Cape Verde and invested more than 1.6 million euros in local real estate. One of the reasons for the growing popularity is the Green Card programme, which, with an investment of at least 80,000 € (or 120,000 € in certain areas), makes it possible to obtain permanent residency not only for the investors themselves but also for their families. They thereby gain tax advantages, better access to local financial services, healthcare and education.
"The Cape Verde Islands hide enormous investment potential – political and economic stability, a strategic location, and beautiful nature. Being only 5–6 hours' flight from Europe makes them an easily accessible destination for European tourists. That is why, when we discovered a project with great investment potential in Cape Verde, we did not hesitate and decided to expand the InvestBay portfolio with this very location," says Daniel Rajnoch, founder and CEO of the investment platform InvestBay.
A record rise in tourists and 350 sunny days a year
Real estate investments in Cape Verde are supported by growing tourism. In 2023, according to the Czech-Cape Verdean Chamber of Commerce, over a million guests stayed overnight here, which represents a year-on-year increase of 20.9 %. The average length of stay was five nights, and the most visited islands were Sal and Boa Vista, where InvestBay's new investment offering is also located.
Thanks to its year-round favourable climate and 350 sunny days a year, Cape Verde is a sought-after destination, which supports demand for accommodation as well as investment opportunities in the real estate sector. According to the World Bank, tourism already accounts for roughly a quarter of the country's GDP and plays a key role in its economy.
Tarafo Bay: InvestBay offers a new investment opportunity on the island of Boa Vista
The InvestBay platform is introducing a new opportunity to invest in the premium project Tarafo Bay, which will be built on the southern coast of the island of Boa Vista. This luxury resort is designed as a top-tier destination for golf, wellness and ecotourism.
"Tarafo Bay is a strategically well thought-out project with high investment potential. At present, the developer is completing the permitting processes, and the start of construction is planned for June 2025. The first part of the resort, including the golf course, should open in the summer of 2027," says Lukáš Přikryl, CMO and co-founder of InvestBay.
A unique benefit of the project is a guaranteed buyback at 150 % of the original price, which the developer expects after roughly five years, that is around 2032. This brings investors above-standard certainty and reduces the risks associated with a future sale.
"We expect the net rental return to reach 8.1 % in the first year and up to 12 % in the fourth year. What's more, investors involved in the first phase will gain priority access to further phases of the project on even more favourable terms and with higher growth potential," adds Přikryl.
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