Cape Verde Property Investment News

Cape Verde tourism 'set to grow'

Official estimates predict an increase in the number of tourists visiting Cape Verde over the next few years as the islands become better-known throughout the world. It is forecast that the number of people visiting the islands in 2007 will reach 320,000 before the end of the year. The news has been welcomed by owners of investment property in Cape Verde, since the property market on the island is largely driven by the tourist trade.

The predictions were made by Victor Fidalgo, president of the tourism and investment promotion agency Cabo Verde Investimentos. Speaking at a press conference he added that within the next five years, annual visitor numbers were likely to reach the 500,000 mark.

The rising popularity of the archipelago with holidaymakers will significantly enhance its growing appeal among overseas property investors. Real estate on the islands has recently become popular with investors as a result of the infancy of the market and its affordable properties combined with the country’s natural potential as a destination for tourists and second-home owners.

A growing number of tourists visiting the islands means not just increased demand for holiday accommodation, and so greater rental returns for property owners, but also a boost to the national economy. The tourist industry supports an increasing proportion of the Cape Verdean economy, taking the pressure off its less stable industries. It is expected to be the country’s largest sector within a few years.

Last month, Mr Fidalgo stated that the islands had become a more competitive market as a result of Cape Verde’s national airline TACV introducing direct flights between the islands and the UK.

The government of Cape Verde has a target of a million visitors annually, which it hopes to achieve by 2015.