AfDB inks $15 million loan agreement for the construction of Cape Verde Technology Park

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The African development Bank (AfDB) and the government of Cape Verde have inked a $15million financing deal for the second phase of Cape Verde Technology Park. AfDB funds was also provided for the park’s first phase. The second phase includes the public-private partnership (PPP) construction of two data centers. As well as the installation of renewable energy capacity.

Cabo Verde’s Deputy Prime Minister and Finance Minister, Olavo Avelino Garcia Correia, stated after signing the new loan agreement, “Our goal is to develop Cabo Verde into a digital nation, with a circulating economy, and the Praia technology parks are a key component of this important government strategy.”

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Completion date for the Cape Verde Technology Park

The second phase of the Cape Verde Technology Park is expected to be completed by June 2026. The AfDB loaned €31.6 million to finance the first phase of the technology park, which serves as a special economic zone with tax and import duty breaks.

The park includes two campuses: one in Praia and one on the island of Sao Vicente in Mindelo. Except for building 2, which is part of the data center component and is located on Sao Vicente, all of the buildings are in Praia. Furthermore, the data center is meant to provide disaster recovery service. Which is why it is located on a separate island. The Praia campus is 8 hectares in size. And contains six main buildings that include a technology training center, a technology business incubator, and a convention center.

Furthermore, the first companies have already begun operations on the campus. And the official opening of the technological park is scheduled for the end of 2023. The technology park’s goal is to become a regional ICT centre. Attracting companies that offer services like business process outsourcing and software development. Additionally, the AfDB said in 2022 that more than 15 companies, including Microsoft,  have expressed interest in the park.