Cabo Verde Startup Ecosystem 2025: Tech Hub Growth, Funding and VC Opportunities

The island-archipelago of Cabo Verde (Cape Verde) is rapidly establishing itself as one of West Africa’s most promising tech-frontiers. Bolstered by bold policy reforms, emerging innovation infrastructure and rising investor confidence, the country is positioning itself as a digital hub in the Atlantic. With the inauguration of the TechPark CV in Praia and Mindelo, new special economic zone (SEZ) incentives and the launch of the Morabeza Fund to support early-stage ventures, the stage is set for technology entrepreneurship to scale.

For venture capitalists (VCs) and growth-oriented investors seeking scalable opportunities in emerging markets, Cabo Verde offers an intriguing blend of policy stability, a compact yet well-connected market and a diaspora network that can be leveraged. That said, it remains early days, with modest deal volumes, nascent talent pools and a heavy reliance on public incentives. 

This guide explores the ecosystem’s current state, policy and regulatory environment, startup infrastructure, pipeline of talent and funding landscape — and distils key questions for founders and investors.

Overview of Cabo Verde’s Startup Ecosystem 2025 and Tech Market Trends

Cabo Verde’s total population is just over 560 000, making it one of Africa’s smallest independent nations, but also among its most politically stable and institutionally rated. The government has adopted a deliberate strategy to diversify the economy away from its heavy dependence on tourism.

The country’s startup ecosystem is ranked 75^th in the world – three spots jump from 2024 – and 2^nd in Western Africa behind Nigeria and followed by Ghana. In terms of sectoral dynamics, software and data ventures dominate. Ecosystem reports list over 60 startups in the country, with around 40% active in software/data. 

What this tells us: Cabo Verde is a small but well-placed platform. Its advantages include political stability, geographic proximity (between West Africa, Europe and the Americas), language (Portuguese plus Creole), and newly upgraded digital infrastructure.

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Cabo Verde Startup Act and Business Regulations: Incentives for Investors and Founders

One of the core reasons investors should take notice is the deliberate policy orientation of the government. The regulatory and institutional environment is moving in favour of startups and tech enterprises.

Digital Cabo Verde Project

Under the Digital Cabo Verde Project, the government aims to accelerate digital transformation and build a competitive foundation for the tech economy. Aligning with the country’s Strategic Sustainable Development Plan, this initiative underscores a shift from tourism-only thinking to export-oriented digital services.

The Cabo Verde Startup Act (under development)

A key pillar is the proposed Cabo Verde Startup Act, being developed with the support of the World Bank. The Act will offer tax incentives, streamlined bureaucracy, improved access to financing and dedicated support programmes for women entrepreneurs, among other benefits. While not yet fully legislated, the Act signals that the government is serious about targeting startups as a growth engine.

 Ease of Doing Business

In terms of starting a business in the archipelago, the business-friendly reforms make the country a top destination for investors and founders. Notably, the country’s "Empresa no Dia" (Company in a Day) initiative allows entrepreneurs to register a company in as little as one day, via a one-stop shop, on key islands. This contrasts with the standard 4-week process in deeper bureaucracy settings. These reforms make Cabo Verde relatively efficient in African terms – a positive for founder/investor operations.

Step-by-Step Procedures for Incorporation and Registration

These are the steps to follow when registering a business in Cabo Verde.

1. Company name approval

The first step involves reserving a company name via the Instituto Nacional de Cabo Verde (INCV) portal or "Empresa no Dia" office, specifying the legal format of the business and its purpose. The name of the business cannot conflict with existing entities and can evoke local culture, for example "Morabeza Ltda" for hospitality.

Requirements: Founders' identification (passport for foreigners, ID for locals); online pre-check recommended. Timeline is between 1-3 days (instant via portal) and cost of CVE 1,000 (~€9) for certification. Approved names are reserved for 90 days with a certificate issued.

2. Drafting and Signing the Act of Incorporation

Prepare the Articles of Association, a private document outlining business structure, objectives, headquarters, capital, and governance. Sign before a notary if including non-cash contributions (e.g., equipment for renewables). Customise beyond Code basics for flexibility.

Key elements include:

• Founder(s) details such as name(s), address, nationalities
• Company purpose, registered address and nominal capital
• Board/management structure and quote/share distribution

Requirements: Notarisation for assets; lawyer optional but advised for foreigners. The timeline is between 2-5 days. Cost includes notary fees CVE 5,000-15,000 (~€45-135), plus stamp duty (0.2% of capital if applicable).

3. Deposit of Share Capital 

Open a provisional bank account in the company’s name and deposit the nominal capital (€0.01 minimum, but align with needs—e.g., CVE 200,000 for credibility in fisheries).

Requirements: Name certificate, draft articles, and IDs. The timeline is between 1-2 days. Cost includes bank fees ~CVE 2,000 (~€18), no enforcement on minimums. Funds released post-registration.

4. Official Registration

Submit articles, name certificate, and deposit proof to the Commercial Registry via "Empresa no Dia" for simultaneous NIF and INPS issuance. Receive a definitive certificate with essentials (name, capital, directors).

Requirements: All prior docs; apostille/legalisation for foreign ones. The timeline is 1 day via "Empresa no Dia”, 7-14 days otherwise. Cost includes CVE 2,500 (~€23) for commercial registry; total "Empresa no Dia" fee CVE 5,000 (~€45).

5. Publication in the Official Gazette

Articles are published in the Boletim Oficial da República (BOR) for public notice, mandatory under the Companies Code. Automated post-registration.

Requirements: None from applicant. The timeline is typically 1-3 months (often faster digitally). Cost approximately between CVE 3,000-10,000 (~€27-90), based on length.

Once incorporation is completed, finalise the following:

Tax registration

Secure NIF from Direcção-Geral dos Impostos (DGI) and declare activity start—integrated in "Empresa no Dia." Will need the registration certificate, BOR proof, founder details and costs CVE 1,500 (~€14).

Activity Licensing

Obtain sector licenses via Ministry of Industry, Commerce and Energy (MICE), Tourism, or Casa do Cidadão. Simplified for retail (48 hours); full for industry/tourism. Use CAE classification. Requirements: NIF, registration docs, business plan for incentives. The timeline is between 2-10 days (48 hours simplified). Costs are CVE 2,000-25,000 (~€18-225), per scale/sector.

Social Security and Labor Registration

Enroll with the Instituto Nacional de Previdência Social (INPS) and Labor Directorate for company/employees. Requirements: Employee contracts, schedules; within 15 days of hiring. Timeline is between 3-5 days and costs include nominal CVE 1,000 (~€9); ongoing 15% employer contributions.

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TechPark CV and Digital Infrastructure Driving Cabo Verde’s Innovation Ecosystem

A key pillar of Cabo Verde’s ecosystem is the physical and digital infrastructure backing the government’s ambition. Key initiatives include: 

Cabo Verde Technology Park

The Cabo Verde Technology Park (TechPark CV) is the country’s flagship technology and innovation hub aimed at positioning the nation as the “Tech Islands of West Africa.” The hub spans across two campuses in Praia and Mindelo and is home to 23 companies and 1500 workers. Businesses located in the park benefit from tax incentives, high-speed connectivity, and access to international markets.

Additionally, the centre includes a Tier III-equivalent data-centre, business and training centres, incubation facilities and a disaster-recovery site.

Special Economic Zone for Technologies (ZEET)

The Special Economic Zone for Technologies (ZEET) is the entire area corresponding to TechPark CV, including the built-up area, the expansion area, and the technology village, in Praia City as well as in the Mindelo hub in São Vicente. Companies operating in the ZEET receive the following tax and customs benefits:

• Reduced corporate income tax rate of 2.5%
• Exemption from Corporate Income Tax (IRPC) or Personal Income Tax (IRPS) applicable to entities that participate in the share capital of companies authorised to operate in the ZEET
• VAT exemption
• Exemption from Stamp Duty on financing transactions for investment purposes
• Exemption from IUP (Property Tax)
• Exemption from customs duties on the import of certain materials (e.g., software), equipment, raw materials and supplies, finished and semi-finished products
• Exemption from notary fees due for incorporation and registration
• 50% exemption from notary fees due on the purchase and sale of real estate for its installation

Skills Development for Digital Entrepreneurship

Skills development for digital entrepreneurship in Cabo Verde is supported by various government-backed and partner initiatives such as Cabo Verde Digital.

Cabo Verde Digital

Carbo Verde Digital is a government-backed digital platform that seeks to strengthen the ICT community and support the creation of the digital ecosystem through training and technological entrepreneurship.

Some of the platform’s programmes include:

Bolsa Cabo Verde Digital

A pre-incubation programme for technology-based projects with a strong component of capacity building and financial support, sponsored by the Government in partnership with local and global organisations. (Applications currently closed)

GoGlobal

A startup programme of immersion, visibility and funding, with its main objective rooted in promoting Cabo Verde as a Hub for digital services. (Applications currently closed)

Re!nventa

The Re!nventa programme is a strategic initiative aimed at boosting the startup ecosystem in Cabo Verde and strengthening the country’s technological transition. (Applications currently closed)

Despite these building blocks, reports still highlight that the overall innovation ecosystem remains “nascent” and that frequent constraints include connectivity and high-speed access in schools. For investors this means that early-stage ventures may require more hands-on guidance, and that scaling local teams may remain a challenge.

Startup Funding and Venture Capital in Cabo Verde 2025: Funds, Angels and VC Firms

There are various funding initiatives in Cabo Verde from both the public and private sector.

Public and private funding initiatives

• Morabeza Fund – A recently launched fund with an initial budget of €24 million, supplemented by an expected €60 million from the EU, aimed at supporting the country’s digital ecosystem.
• CV Seed Fund – A government initiative aimed at supporting early-stage tech startups.
• Cabo Verde Investors Club (CVIC) – An organisation of angel investors focused on funding and mentoring early-stage startups in Cabo Verde and Africa.
• Bolsa Cabo Verde Digital – A support programme for early-stage, technology-based startups. The initiative offers funding of up to 180,000 ECV, along with training and mentorship.

Venture Capital Firms Investing in Cabo Verde Startups

Here are the top VC firms investing in Cabo Verde startups.

• 2080 Ventures – Invests in fast-growing markets and new technologies in sectors such as fintech and artificial intelligence (AI).
• CommerzVentures – CommerzVentures invest in early-stage fintech, insure-tech and climate-fintech startups.
• TLcom Capital – Invests in entrepreneurs building fast-growth, tech-enabled businesses that are solving complex challenges across Africa.
• Africa Growth – Africa Growth LLC invests in startups in various sectors such as B2B tech, energy and renewables, water, agritech and fintech.
• Sheesha Finance – Sheesha Finance focuses on long-term projects that pave the way for large blockchain adoption across different borders, barriers and ecosystems.

While these firms are not Cabo Verde-specific (they cover Africa broadly), their interest signals a rising investor appetite for the region. For the ecosystem to mature, however, more local deal flow, co-investment structures and follow-on capital will be required.

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Final Outlook: Why Cabo Verde Will Matter for Investors and Founders in 2026

In summary, Cabo Verde presents a compelling greenfield opportunity in an emerging digital-services hub. Its strengths are structural: government alignment, special-economics-zone incentives, dedicated infrastructure and a compact, stable political and institutional environment. For investors and founders willing to accept the risks of an early-stage ecosystem, there is real upside.

However, success in Cabo Verde will depend on execution and scale mindset. The small size of the domestic market means that ventures must think regionally or globally from the outset. Capital pools are currently modest, so investors should align with the ecosystem’s nascent nature (seed/pre-seed orientation rather than expect large series B rounds). Talent and regulatory complexity require local knowledge or strong partnerships.

For VCs and growth investors: consider structuring investments with operational and advisory support, leveraging local incubation programmes, tapping the diaspora, and building export-oriented business models. For startup founders: choose a scalable model, align early with the TechPark and SEZ incentives, build a cross-border vision, and tap local plus remote talent strategically.

In the coming years, we may well look back to 2026 as the period when Cabo Verde began to move from promise to performance in the African startup landscape. The question for readers of this publication is: will you be part of that transition?