Africa Monitor Intelligence
Cape Verde: Tax Incentives for New “Resort” in Santiago
The Government of ULISSES CORREIA and SILVA gave the “Mélia Lusofonia Cabo Verde Eco Hotel” (AM 1104) project, near the city of Praia, Santiago Island, the status of “exceptional interest” for the country's socio-economic development, taking into account the expected impact in terms of investment, employment, professional training, wealth creation and increased capacity and quality of tourist accommodation.
The investment is promoted by the company “UH - UNIQUE HOTELS, CABO VERDE- Hotels & Resorts, SA” on land currently owned by SGR-Santiago Golfo Resort, between Praia and Ribeira Grande. The total investment planned for the luxury complex (5 stars) is c. EUR 100 million, allowing the creation of c. 400 jobs and the generation of tax revenue for the State of c. EUR 6 million/ year. The management will be in charge of MHI- Mélia Hotel International.
The current crisis in the international tourism sector has stopped foreign tourists from entering the archipelago. Tourism is the “engine” of the Cape Verdean economy, and its current paralysis, due to the Covid-19 pandemic, affects complementary sectors, such as trade and restaurants, with a strong increase in unemployment, which is already high in 2020. READ MORE