Praia, Aug. 19, 2026 (Lusa) - The PAICV, the ruling party in Cabo Verde, on Wednesday accused the opposition of exploiting the Public Finance Council (CFP) report for political ends, claiming that it had made an «abusive» and politically biased interpretation of a technical and independent document.
«The real problem has been the systematic abuse of budgetary reprogramming to radically alter the budget approved by parliament, thereby undermining parliamentary scrutiny. For years, the MpD [Movement for Democracy] government has turned an exceptional instrument into a way of governing,» said João Brito, deputy leader of the parliamentary group of the African Party for the Independence of Cabo Verde (PAICV).
The MP was speaking at a press conference called to respond to the MpD's statements regarding the report.
According to Brito, the document does not conclude that the prime minister, Francisco Carvalho, was wrong in his criticism of the management of public finances, nor does it consider the previous government's performance to have been exemplary.
Brito said that the report itself recommends greater transparency and highlights problems relating to the predictability of budgetary planning, as well as the risks of using financial reprogramming to increase structural expenditure.
The MP also questioned the 122.5% increase in the allocation for external loans in this year's budget reprogramming, calling for legal and political clarification on the use of these funds.
Furthermore, he considered that the CFP report does not endorse the previous government's management and reiterated the need to strengthen transparency, the role of parliament and the responsible management of public resources.
On Tuesday, the MpD rejected the Government's accusations of budgetary overspending, arguing that the CFP report does not prove the existence of hidden accounts.
The MP also accused the prime minister of being dishonest in justifying the presentation of the Amending Budget, claiming that his statements had called into question the credibility of the public accounts and Cabo Verde's reputation amongst its international partners.
According to the CFP report, the expenditure forecast in the budget rose from 95.7 billion escudos (€867.9 million) to 102.7 billion escudos (€931.3 million), mainly due to an 80.4% increase in external resources, which rose to 15.7 billion escudos (€142.3 million).
The council clarified that the inclusion of these loans in the budget did not represent the taking on of new debt, but rather recording of funds already secured through loans and grants.
In the first quarter, tax revenue rose by 12% and total expenditure grew by 16.6%.
The budget balance remained positive at 1.4 billion escudos (€12.7 million), equivalent to 0.4% of Gross Domestic Product (GDP), although this was below the 0.8% recorded in the same period of 2025.
The CFP recommended that the Government ensure greater predictability in the drafting of the state budget, include external financing already secured, and publish a consolidated table showing all budgetary amendments made throughout the year.
The state budget for 2026 was initially set at 95.6 billion escudos (€866.9 million) by the previous MpD government.
The current government subsequently presented an Amending Budget, which was promulgated a week ago by the country's president, José Maria Neves.
The document provides for a 0.1% reduction in projected public expenditure and increased funding in social areas, including 139 million escudos (€1.26 million) for education, 300 million escudos (€2.72 million) for medicines and 50 million escudos (€453,500) for social benefits.
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