Lusophone Compact already signed by Cape Verde, Angola and Guinea Bissau

In July, Cape Verde, Angola and Guinea Bissau joint the Lusophone Compact, an MoU signed by Portugal and AfDB in November 2018, with the aim to foster the development of the private sector in the African Portuguese Speaking Countries (PALOP) in several areas, including renewable energies.

After the signature of the general Lusophone Compact on the Africa Investment Forum, AfDB and Portugal have been signing specific agreements for each PALOP, focused on the needs of each country.

Cape Verde signed the Memorandum on 1 July, between Olavo Correia, Vice Prime Minister and Minister of Finance of Cabo Verde, Helena de Paiva, Portugal’s Ambassador to Cabo Verde; and Moono Mupotola, the Bank’s Director for Regional Integration, therefore becoming the second country to sign the Compact, after Mozambique signed on March this year, as noticed by ALER.

According to Moono, “the Compact will help address Cabo Verde’s infrastructure bottlenecks that limit private sector development and diversification. That will transform sectors such as agriculture transformation, the blue economy and small industry to support inclusive growth and formal job creation for the youth and women of Cabo Verde.”

The Cabo Verde MoU identifies a list of potential investment projects worth around $470 million, which will be analysed by the Lusophone Compact country focal points from the Bank, Cabo Verde and Portugal and prioritized for further support.

In Angola the agreement was signed by the Minister of Economy and Planning of Angola, Pedro Luís da Fonseca, Secretary of State for Foreign Affairs and Cooperation of Portugal, Teresa Ribeiro and the Vice President and Chair of the Lusophone Compact Steering Committee, Mateus Magala on July 10, a symbolic date, marking the “Portugal Day”, during the international fair in Luanda.

The project pipeline for the implementation of the Lusophone Compact in Angola reaches the 2 thousand million dollars and includes various areas such as agriculture, energy, fisheries and infrastructure. The Bank and the Governments of Angola and Portugal will work closely with the African Investment Forum to advance private and PPP projects to bankable stages under the initiative.

Guinea Bissau is the most recent PALOP to join the Compact on July 27, signed by the Minister of Finance and Economic Affairs of Guinea Bissau, Geraldo João Martins, Secretary of State for Foreign Affairs and Cooperation of Portugal, Teresa Ribeiro and the AfDB Deputy Director-General, Serge Marie N’Guessan, during the visit to the country of the Minister of Foreign Affairs of Portugal, Augusto Santos Silva.

The objective is to help Guinea Bissau to raise funds for the private sector in order to implement projects included in Terra Ranka Program. On the signing ceremony was also announced that in October there will be an event to present the Lusophone Compact to the private sector.