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Cabo Verde

Increase Ease of Doing Business (CV0001)

Overview

At-a-Glance

Action Plan: Cabo Verde Action Plan 2018-2020

Action Plan Cycle: 2018

Status: Active

Institutions

Lead Institution: Competitiveness Unit

Support Institution(s): Ministry of Finance Ministry of Industry and Commerce Ministry of Justice and Labour Ministry of Transportation and Tourism Municipalities Chambers of Commerce Micro-Finance NGOs ITCs Casa do Cidadão

Policy Areas

E-Government, Legislation & Regulation, Marginalized Communities, Private Sector

IRM Review

IRM Report: Pending IRM Review

Starred: Pending IRM Review

Early Results: Pending IRM Review

Design i

Verifiable: Pending IRM Review

Relevant to OGP Values: Not Relevant

Potential Impact: Pending IRM Review

Implementation i

Completion: Pending IRM Review

Description

Commitment 1:
Increase the Ease of Doing Business in Cabo Verde
July 2018 — July 2020 Lead implementing
agency or actor
What is the public problem
that the commitment
will address?
What is the commitment?
How will the commitment
contribute to solve
the public problem?
Competitiveness Unit
Cabo Verde has a high rate of unemployment and has experienced
relatively weak economic growth over the past decade. Moreover, its
public debt currently stands at 125% of GDP. A major priority of the
Government is to undertake critical reforms that lead to job creation,
economic growth, and social inclusion.
By 2027, Cabo Verde will have completed the necessary reforms and
structural changes to earn a top-50 ranking on the World Bank’s
Ease of Doing Business Index.
The far-reaching reforms will involve numerous public- and privatesector
actors, including several government ministries,
municipalities, chambers of commerce, micro-finance NGOs, ITCs,
and private business representatives.
These reforms will be coordinated by Competitiveness Unit, a new
inter-sectorial agency created by the Prime Minister in July 2018,
and reflect the Doing Business methodology recommended by the
World Bank. Support from the European Union, United Nations,
World Bank, and other international institutions will help fund the
reforms.
The Competitiveness Unit has developed a comprehensive action
plan and strategy for streamlining existing processes pertaining to
permits, licenses, regulations, clearances, approvals and
authorizations. The Unit will also strive to innovate by collaborating
with ITCs to digitize many business processes and procedures,
including e-signature, territorial demarcation, on-line tax payment,
and other essential transactions.
Pursuing this commitment will contribute to a more open society by
making it much easier for citizens to have access to credit, start a
business, commence construction, pay/document taxes, and access
an array of information and services online Why is the commitment
relevant to OGP values?
The commitment to increase the ease of doing business in Cabo
Verde will not only precipitate stronger economic growth but also
empower citizens to take private initiative. Equally important, the
reforms will add transparency to government processes, improve
public service, reduce costs for opening/operating a business, and
make options for self-service transactions and informational retrieval
more readily accessible.
The reforms reflected by this commitment follow naturally from
others undertaken over the past decade. In 2008, for example, a new
law aimed at expediting company creation went into effect.
Registration became relatively straightforward and the concept of
“business in one day” is increasingly the norm. Joint stock
companies (JSCs) and limited liability companies (LLCs) can be
established by any office of the Commercial Registry Department of
Casa do Cidadão.
In 2014, additional measures were approved to simplify the
procedures for the amendment of commercial companies and
introduce a single fee for their creation, alteration, or closure.
Only one business establishment procedure - obtaining a municipal
license - is now relatively burdensome for firms, as is requires an
inspection, takes eight days to process, and carries a significant fee
of CVE 30,000. Since 2009, however, this process can be finalized
following the start of operations, a practice in line with common
international standards.
At present, the Government is also looking to simplify the work of
notaries by creating a database of pre-approved company names that
could be used by new firms.
With the support of the World Bank, Cabo Verde has secured a €2M
budget from the European Union to fund this commitment.
The commitment is also consistent with Cabo Verde’s Strategic
Development Plan (PEDS). Milestone activity with
a verifiable deliverable
• Establish and empower Competitiveness Unit
• Approach top-100 ranking by 2020
• Achieve top-100 ranking by 2021
• Continue to rise in ranking through 2022 and beyond
July 2018 — July 2022
Overarching
Milestones
July 2018 — July 2022
Launch
Online Platform for
Starting a Business
July 2018 — July 2022
Launch
Searchable Platform for
Commercial Licenses
July 2018 — July 2021
Introduce
Collateral Registry and
Private Credit Bureau
November 2018 — July 2022
Develop and Execute
Communication Strategy
for Law of Insolvency
December 2018 — May 2019
Enact
New Law to Protect
Minority Investors
December 2018 — May 2019
Complete
Digital Land Registry
for Praia/Santiago
December 2018 — May 2019
Introduce
Trade Portal and Single
Form of Trade Procedures Contact information
for lead actor
Other actors involved
(Government)
Other actors involved
(Non-Government)
Luis Teixeira
Special Adviser to the Prime Minister and
Executive Director of the Competitiveness Unit
luis.v.teixeira@gpm.gov.cv
+238 333 1513
Ministry of Finance
Ministry of Industry and Commerce
Ministry of Justice and Labour
Ministry of Transportation and Tourism
Municipalities
Chambers of Commerce
Micro-Finance NGOs
ITCs
Casa do Cidadão