Due to the incongruous lawsuit filed by an alleged wife of the former owner of Ponta Bicuda, and to the fact that the decision is now being appealed at the Cape Verde Supreme Court, construction in Ponta Bicuda has been irreversibly delayed. As such, Vilas Oceanicas has been forced to revise the completion date, and in an effort to minimize any harmful consequences to clients, a compensation plan has been devised that encompasses everyone who is wholly compliant with their contractual obligations. To implement this compensation plan and ensure the feasibility of the project, our venture partners and property investors must be in agreement with the completion date set forth and the compensation plan, as requested by the financial entity.

We take this opportunity to reiterate that given the circumstances in which the Sales Deed was signed, the good standing relationship with the former owner of the land, and the presence of the proper administrative authorities involved in formalizing the deal, there was no reason to anticipate any such event. In fact, in July 2009, the Court declared that the arguments presented by the plaintiff were unsubstantiated, and confirmed the evident validity of the transaction. As such, Vilas Oceânicas has no reservations about qualifying this legal proceeding and everything surrounding it, as unforeseeable and unavoidable, and further, contradictory to the company’s demonstrated up-standing, diligent and forthright behaviour.

With every reason to believe that the Cape Verde Supreme Court will once again rule in favour of Villas Oceanicas, and thus in favour of Ponta Bicuda and all of those involved with the development, it is now crucial for everyone to formalize their approval of the postponed completion date and compensation program. Not doing so may bring a substantial decline in value to the property, translating into substantial losses for all. Presently, this plan substantiates the only viable way to keep the project going, and lack of complete support could deter every effort made, on the part of Vilas Oceanicas, as well as the substantial amount of clients already on board.

A prompt return to construction is in effect, the only outcome that will benefit all of us. We strongly urge everyone to formally express their consent so that we can continue to make Ponta Bicuda the most desirable Development in Cape Verde

UN data shows that if on the one hand Cape Verde’s population of ½ million has attracted $3.6 billion in foreign investment in 2008,on the other hand,heavy dependence on European public and private investment has left Cape Verde vulnerable to the world economic downturn.
Cape Verdeans have one of the highest average life expectancies in Africa, 69 years, one of the highest adult literacy rates and one of the highest incomes par capita of the African continent, steering Cape Verde out of the poorest countries cluster. Its challenge now is to remain a MIC (Middle Income Country). So far the determinations to be remembered as the Island that got it right and their renowned good governance have kept the archipelago in good stead.

For more than a decade the Wall Street Journal and the Heritage Foundation, one of the most prestigious think tanks in Washington D.C., have collaborated annually to release the Index of Economic Freedom. Based on the analyses of 10 specific parameters, the study aims to measure the fundamental rights of individuals to control their work and their assets. In this context the country which benefits from the most economic freedom in the world is Hong Kong, followed by Singapore, Australia and Ireland. The country with least economic freedom is North Korea. Cape Verde finds itself on the first half of the global ranking at 77th, scoring well in monetary freedom, investment freedom and above all, in property freedom. Inflation is low, even though expenditure remains heavy and property rights are well guaranteed by the law. Consequently the study finds that it is important to reduce expenditure and taxation and counter corruption with greater efficacy. Regionally, Cape Verde was ranked 7th of 46.

Paulo Sousa from Caixa Geral de Depósitos (CGD – the largest Portuguese, state-owned bank) announced the launch of the new non-resident mortgage program "Live in Cabo Verde"  www.liveincaboverde.com (the portak is not yet live). The program Live in Cabo Verde is CGD's  platform to finance properties in the archipelago. This is a breath of fresh air and a reinforcement of our confidence in the Cape Verde market, which has remained remarkably steady when most markets are struggling to stay afloat. Download leaflet here.

Mr. Takatoshi Kato, Deputy Managing Director and Acting Chair declared in Cape Verde's fourth PSI review that "Cape Verde's impressive economic performance in recent years reflects both prudent macroeconomic management, and economic reforms. Good policies have catalyzed investments and export growth, especially in the tourism sector—breaking past dependence on aid and remittances—leading to robust growth and moderate inflation.”This level of high praise from such and objective institutios as is the International Monetary Fund is rare and speaks volumes for the progress Cape Verde is undergoing.
The comment follows a discussion by the Executive Board which recently completed the fourth review under a three-year Policy Support Instrument (PSI) for Cape Verde, a tool designed for low-income countries (and small island states) that may not need, or want, IMF financial assistance, but still seek IMF advice, monitoring and endorsement of their policies. PSIs are voluntary and demand driven.

For more information you can read the full Press Release here

We are also pleased to report that as a result of an agreement signed recently with the Municipality of the city of Praia, Design Resorts, the developer of Ponta Bicuda has undertaken to invest a further €300M, in Cape Verde. The City of Praia has awarded DR a rehabilitation project of a degraded neighbourhood close to Ponta Bicuda. The bulk of the investment will go toward the enhancement of the main infrastructures of the 20 ha location. This will include paving roads, walkways and sidewalks as well as provide water and sewerage systems, and electricity

The agreement, which essentially aims to establish the basic framework to ensure that both entities cooperate fully to bring the project to fruition, also stipulates that a commission is to be appointed by the Municipality of Praia which will be responsible for overseeing the entire rehabilitation process. The commission will be led by the Director of Urban affairs, ensuring that all relevant administrative processes can take place in a timely manner.

We feel confident that this an investment that will bring benefits to locals, investors and Ponta Bicuda.