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Press Release

.....REACT AnnouncesCape Verde, Islands in the sunTenerife, SpainJun 22, 2006 Just recently there has been a tremendous amount of interest into the Cape verde Islands, we are watching the investment there very closley, and have gathered some honest facts and figures to work it out for yourself.

The republic of Cape Verde is an archipelago of 10 islands situated in the Atlantic Ocean, and is located 650 kilometres off the coast of Senegal. While the islands are home to about 480,000 Cape Verdeans (UN, 2005), twice as many Cape Verdeans live abroad while maintaining close ties with their homeland. Cape Verde became independent from Portugal in 1975 and has achieved a strong development performance record, with sustained gains in health, education, and economic growth. It is made up of 10 islands and eight islets of volcanic origin. To the north is the Windward group of islands:

Santo Antao, Sao Vicente, Santa Luzia, Sao Nicolau, Sal and Boavista. To the south are the Leeward islands of Maio, Santiago, Fogo and Brava. Occupying a total area of 4033 square kilometres, the Cape Verde archipelago appears to have emerged from the Atlantic Ocean as a result of volcanic activities.

If you want a few basic facts about Cape Verde, take these for example:

Property prices which start at around £36,000 – 37,000 (about euros 58,000 at the time of going to press

Temperatures that range between the low 70s in January to the mid 80s by September and the daily amount of sun is about 10 or 11 hours Property values are increasing strongly An international airport is due to open and flight time from Britain is about five hours The time is one hour behind Britain so jet lag needn’t be a problem The beaches are phenomenal with crystal clear water A stable government that is firmly behind the drive for more tourists.

More tourists mean more properties because they need somewhere to stay so this is one place that is certainly going to become a favourite among those seeking a home in the sun. In fact, a combination of all of the above is enough to make most people want to jump on a plane instantly to buy a property.

Since 2001 the economy of the island group has gradually improved with inflation of 1.2 percent.

Exports, including tourism receipts, have increased slightly, to about 30 percent of GDP in 2003, while imports represent about 60 percent of GDP. The tourism sector contributed up to 10 percent of GDP in gross receipts in 2002 and 2003, about twice as much as in 1999.

On the political front, Cape Verde is a well- established functioning democracy that has made impressive political and legal reforms and entrenched the rule of law. Having emerged from a one-party political system, the country held its first democratic general elections in 1991, its second in 1996, and its third in 2001. The next elections are expected in 2005.

The main entry point to Cape Verde is Sal Island, home to the international airport. With a population of approximately 19,000 inhabitants the island is also home to some of the best beaches in the archipelago. Tourism throughout the islands is now the major asset and with careful management the island has ahead of it a long period of sustainable growth.

Foreign Investment

All sectors of the economy are now open to investment, for which a permit and registration with the central bank are required. The U.S. Department of Commerce reports that Cape Verde has simplified the foreign investment process, and has opened the privatization process up to foreign investors. The International Monetary Fund reports that both residents and non-residents may hold foreign exchange accounts, subject to government approval and regulations. Most payments and transfers are subject to controls. Real estate transactions require central bank approval. While most capital transactions are permitted, most of them also are subject to advance approval by the central bank.

Banking and Finance

Cape Verde’s underdeveloped banking system is overseen by the central bank, which gained greater autonomy following July 1999 constitutional reforms and a new banking law passed in May 2002. The financial sector consists of four commercial banks, one offshore bank, two insurance companies, one venture capital company, a foreign exchange agency, and a credit card company. Legislation implemented in 1993 removed restrictions on establishing private banks and barriers to foreign banks, but new banks must be authorized by the central bank, and 50 percent of bank employees must be Cape Verdean.

Basic Information

• Full Country Name: The Republic of Cape Verde • Country Profile: Cape Verde • Population: 405,163 (July 2001): the population is far outnumbered by the size of the diaspora. At least 700,000 Cape Verdeans live outside the country (especially in the US, Portugal).

• Capital City: Praia

• People: Almost all Cape Verdeans are a mixture of African and Portuguese origins in varying proportions.

• Languages: Portuguese (official language) and Crioulo, a local spoken language, mixing Portuguese and West African inputs.

• Religion(s): Roman Catholic 95%, Protestant & indigenous beliefs 5% • Currency: Cape Verdean Escudo (CVE) • Membership of international groups/organisations:

United Nations (UN), African Union (AU), The International Monetary Fund (IMF), Economic Community of West African States (ECOWAS) and the African Development Bank (AfDB), CPLP (Organisation of Portuguese Speaking

~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~About REACT

The Real Estate Advisory Centre is here to help with your overseas investment and property purchase.

Focused on Property in Tenerife and the Canary islands we offer free, sound, financial advice to anybody investing into Spanish property. Our team of client advisors can visit your location and ensure your property purchase will be a safe and secure one. Buying property in Tenerife or overseas can be very daunting; The Real Estate Advisory is here to

helpWebsite: http://www.reac-t.com

Article submitted on 2008-09-12