* An action plan to rationalise tax expenditures will be developed and published, along with full estimates of annual tax expenditures in the 2026 budget to improve transparency

ABIDJAN, Ivory Coast - The Board of Directors of the African Development Bank Group (www.AfDB.org) has approved a EUR17.71 million loan to support the second phase of Cabo Verde's E-Governance and Public Financial Management Reform Programme.

The Bank's Board of Directors approved the financing on Monday, continuing support that began last year as the island nation seeks to leverage technology for economic growth and administrative efficiency.

"The aim of this budgetary support, building on the assistance provided last year, is to stimulate economic growth through digitisation and private-sector competitiveness, while advancing e-governance reforms to modernise public administration and consolidate public finances," said Abdoulaye Coulibaly, Director of the Governance and Economic Reforms Department at the Bank.

The first component of the programme will advance ongoing digitisation reforms to strengthen private-sector competitiveness. Key measures include the introduction of e-Justice to digitise judicial processes, and the launch of a call for proposals to attract private operators to the country's technology park under the 'digital nomads programme. Admission criteria will be developed to facilitate the establishment of digital nomads and high-growth technology firms.

The second component aims to modernise public administration and consolidate fiscal sustainability. The programme will continue to support policy actions aimed at strengthening transparency and improving the efficiency of public resource management. An action plan to rationalise tax expenditures will be developed and published, along with full estimates of annual tax expenditures in the 2026 budget to improve transparency.

The Bank will also finance a Public Expenditure and Financial Accountability assessment scheduled for the first quarter of 2026, funded through the Middle Income Countries Grant.

The Programme's main beneficiaries include the Ministry of the Digital Economy, the Central Bank of Cabo Verde, the Institute for Gender Equality and Equity, the National Directorate of State Revenue, and the Public Procurement Regulatory Authority.

Distributed by APO Group on behalf of African Development Bank Group (AfDB).

Media contact:

Alexis Adélé

Communications and External Relations Department

media@afdb.org

About the African Development Bank Group:

The African Development Bank Group is Africa's premier development finance institution. It comprises three distinct entities: the African Development Bank (AfDB), the African Development Fund (ADF) and the Nigeria Trust Fund (NTF). On the ground in 41 African countries with an external office in Japan, the Bank contributes to the economic development and the social progress of its 54 regional member states. For more information: www.AfDB.org