IMF Staff Concludes Visit to Cabo Verde
IMF News, July 24, 2026
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Bibliographic details
- Published: July 24, 2026
Visit overview
- IMF team led by Mr. Martin Schindler visited Cabo Verde during July 21-24, 2026, to hold introductory discussions with the new government, which took office in mid-July.
- The mission issued a staff statement at the conclusion of the visit. This mission will not result in a Board discussion.
- The mission welcomed the authorities’ commitment to remain closely engaged with the IMF and continue discussions in the period ahead.
Economic assessment & key statistics
- Real GDP grew by 6.4 percent year-on-year in the first quarter of 2026, supported by robust investment activity and services exports.
- Inflation remained low at 1.1 percent in June.
- International reserves continued to provide a comfortable buffer against external shocks.
- Important vulnerabilities highlighted:
- Elevated public debt.
- Exposure to external and climate-related shocks.
Policy recommendations and authorities’ commitments
- Preserve fiscal sustainability and keep public debt on a firm downward trajectory.
- Policies should remain fiscally prudent while protecting vulnerable households.
- Avoid broad-based, untargeted subsidies that could create permanent fiscal costs and erode recent gains.
- Continue efforts to:
- Strengthen public finances.
- Address fiscal risks, including from state-owned enterprises.
- Advance structural and climate-related reforms to sustain strong and inclusive growth.
- The mission welcomed the authorities’ commitment to safeguard macroeconomic stability and fiscal sustainability while advancing reforms aimed at supporting inclusive growth, job creation, and improving living standards.
Meetings and next steps
- The IMF team met with:
- Prime Minister and Minister of Finance Francisco Carvalho
- Secretary of State for Finance Maria José Lopes
- Minister of Economy, Trade, Industry and Digital Transition António Baptista
- Minister for the Coordination of Special Projects and Access to Funding José Varela
- Board Members of the Banco de Cabo Verde
- Other senior government officials, development partners, and representatives of the private sector
- The mission thanked the authorities for their openness, excellent cooperation, and warm hospitality, and looks forward to continuing the close partnership between Cabo Verde and the IMF in support of macroeconomic stability, resilience, and sustainable development.
Press Release No. 26/258 — July 24, 2026 (IMF staff statement).