Praia, Nov. 4, 2025 (Lusa) - The International Monetary Fund (IMF) announced on Tuesday that it has reached a technical agreement with the government of Cabo Verde for new disbursements under the archipelago's support programmes.
The IMF team and Cabo Verde's authorities "reached technical level agreements on the 7th review of the Extended Credit Facility (ECF) and the 3rd and 4th reviews of the Resilience and Sustainability Facility (RSF)," announced IMF mission chief Martin Schindler at a press conference in Praia.
After approval by the IMF's government board, approximately $3.23 million (€2.81 million) will be disbursed for the ECF, while the RSF revisions are equivalent to around $10.7 million (€9.31 million), he said.
The RSF reforms "are progressing and the three measures planned for this review are expected to be finalised," he added.
He said Cabo Verde's economic prospects remain solid and the IMF is maintaining its forecast of "growth of 5.2% for this year, with inflation converging to around 2%, in line with the euro zone average".
"The strength of tourism could further boost growth," he added.
For his part, André Roncaglia, the fund's government director, said that "Cabo Verde gives an exemplary demonstration of a stable society, with controlled inflation, low interest rates, a fiscal surplus and a falling debt," he added.
Olavo Correia, Deputy Prime Minister with responsibility for the Economy and Finance, promised commitment.
"We want to continue working, undertaking structural reforms so that Cabo Verde can double its economic growth potential," he said, alluding to reforms in transport, energy, diversification of the economy and human capital.
"Today we are growing at between 5% and 6%, but I think we would all like to grow at rates close to double digits, between 10% and 12%. For that to happen, we have to continue with the reformist impetus," he concluded.
The ECF credit line was approved in June 2022, extended until December 2026, for a total of $70 million (€62 million), providing for periodic disbursements in line with a programme to strengthen public finances and put debt on a downward path, reduce budgetary risks stemming from public enterprises and improve financial management.
The RSF programme, approved at the end of 2023 and totalling around $31 million (€29 million), with periodic disbursements, aims to support resilience to climate change by attracting external investment and promoting government reforms.
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