Cabo Verde: Abandoning Aid Dependency for Prosperity

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Cabo Verde Abandoning Aid Dependency for
Prosperity
Presentation by Ambassador José Brito

Bristol Community College February 26, 2004
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Outline

• Cabo Verde
• The basis for success
• Are we at the end of the road?
• Where do we go from here?
• Engines of Growth
• Industry Clusters
• Participation of the Diaspora in the
  Transformation of Cabo Verde
  

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Greenland
Azores Islands
Madeira Islands
Canary Islands
One of the last pictures of Columbia Shuttle
Cape Verde Islands
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Cabo Verde

• A potential African success story
• An emerging solid democracy
• Good economic management
• Good economic, social and human indicators

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The basis of success

• Democratic governance
• Generous development assistance
• Remittances of Cape Verdian emigrants

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Are we at the end of the Road?

• Global Decline in official Development
  Assistance
  
• Changing global priorities
• Declining opportunity for emigration
• USA, European Union
• Looming reduction in emigrants remittances
• Aging diaspora,
• Linkage of 2nd, 3rd generation with Cape Verde

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Where do we go from here?From the cycle of aid
and dependence to the cycle of self generated
growth
Significant change and rapid transformation
based on exploiting building our competitive
advantage
Development AID Emigration Remittances
Sustained AID remittances continued economic
growth
but no transformation
Business as usual precipitating
social and economic decline
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Engines of Growth Building comparative
advantages
Gateway to Africa and to the World (6 hours fro
m New York)
Location
Marine Resources Exclusive Economic Zone Energy
from the Sea
Sea
Sun, Sea, Mountains Malaria Free Renewable Energ
ies
Climate
Stability/ Peace Corruption Free Sound Managemen
t
Market Access ECOWAS/PALOP/ CPLP Europe/Americas
Diversify Rich Culture Universal primary educat
ion
Fast learners
Good Governance
Network strategic Partners
Human Resources
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2002
2003
2005

SEA
Tourism
AID
AIR

Light Industriese.g. Textiles
Remittances
OffshoreServices
Investment Capabilities Infrastructures
Open Economy Reform
Investment Capabilities Infrastructures
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Short to Medium Term
Adventure
Light Industries
Tourism
Cultural
Apparels Textiles Shoes
Ecological
Conferences
Health
Hotel, Water, Energy, Health, Airlines, Airports,
Shipping, Inter-Island Ferry,
Conference Facilities, Assembly/Manufacturing
facilities Market access (AGOA)
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Long-term transformation
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Industry Clusters
Registry
Shipping/ Trans-shipment
Research/ Knowledge Park
SEA
Sea Farming Agriculture e.g. OTEC Technology
Regional Fishing Processing zone
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Industry Clusters
Passenger and Air Cargo i.e. Regional Hub
Regional services zone for aviation
AIR
Data Processing
Duty free shopping zone (Dubai modele) Hypermar
ket
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Industry Clusters
Insurance
Banking
Offshore Services
Research/ Knowledge
Company Registration
Cyber City
Investment Funds
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How the Diaspora can participate in the
Transformation of Cabo Verde?

• A Cabo Verde Solidarity System

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PUBLIC PRIVATE PARTNERSHIP
PRIVATE
PUBLIC
Community Services Programs
CV People
CV Businesses
Churches
CV Associations
CV Non-Profit Organizations
State Level
State Chamber of Commerce
City/State Programs
CV Consulate
CV Solidarity System Today
Federal Level
US Chamber of Commerce
Private Foundations
CV Embassy
Federal Programs
CV Chamber of Commerce
CV social Programs
Business Opportunities
CV Government
CV Level
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PUBLIC PRIVATE PARTNERSHIP
PRIVATE
PUBLIC
Business Support Programs
CV People
Community Services Programs
CV Businesses
Churches
CV Associations
CV Non-Profit Organizations
CV Business Associations
State Level
State Chamber of Commerce
Business Opportunities
City/State Programs
CV Consulate
CV Tax Exempt Foundation
CV Business Federation
Financial Products
CV Federal Association
Federal Level
US Chamber of Commerce
CV Embassy
Federal Programs
Private Foundations
CV Chamber of Commerce
Business Opportunities
CV social Programs
CV Government
CV Level
CV Solidarity System in the Future
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PUBLIC PRIVATE PARTNERSHIP
PRIVATE
PUBLIC
CV People
Community Services Programs
CV Businesses
Churches
CV Associations
CV Non-Profit Organizations
State Level
State Chamber of Commerce
City/State Programs
CV Consulate
CV Solidarity System Today
Federal Level
US Chamber of Commerce
CV Embassy
Federal Programs
Private Foundations
CV Chamber of Commerce
Business Opportunities
CV social Programs
CV Government
CV Level
CV Solidarity System in the Future
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A Few Examples...

• Business Support Programs
• Community Service Programs
• CV Tax Exempt Foundation
• Business Opportunities

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PUBLIC PRIVATE PARTNERSHIP
PRIVATE
PUBLIC
Business Support Services
CV People
Community Programs Services
CV Businesses
Churches
CV Associations
CV Non-Profit Organizations
CV Business Associations
State Level
State Chamber of Commerce
Business Opportunities
City/State Programs
CV Consulate
CV Fundraising Organization
CV Business Federation
Financial Products
CV Federal Association
Federal Level
US Chamber of Commerce
CV Embassy
Federal Programs
Private Foundations
CV Chamber of Commerce
Business Opportunities
CV social Programs
CV Government
CV Level
CV Solidarity System in the Future
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Business Support Services

• Network Opportunitiesopportunities to meet,
  address relevant business issues
  
• Business Traininghow to build a better business,
  management development..
  
• Business Information Servicesmailing list,
  directory of capeverdean businesses, market
  development.
  
• Business Advocacyprotect members interests,
  lobbying for support
  
• Business Advisory Servicesreview business
  performance, diagnose business development
  needs
  
• eServicesThe NEPAD E-Schools Initiative online
  information, virtual business park, trade online
  

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Community Programs Services

• Family Counseling Mental Health
• Welfare Social Services
• Youth Education
• Employment Training
• Health Referral Services
• Cultural Arts
• Legal aid Referral Services
• Recreational Activities

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CV Fundraising Organization

• The mission is to serve the needs of Caboverdiano
  Communities in the US and in Cabo Verde through
  fundraisings for all eligible and interested
  not-profit caboverdiano organizations providing
  services that enhance quality of live and
  community well being
• Provide resources to Community programs and make
  grants to community-based caboverdiano
  organizations that provide vital services to
  people in need
• Develop additional income sources such as
  foundation grants, federal and state funding,
  minorities programs, special events,
  collaborative partnerships..
• Tax-exempt non-profit organization

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Business Opportunities

• Services and goods needed by caboverdiano people
  and caboverdiano not-profit organizations
  (shoppers guide for members of the Community)
  - housing, - food - clothes - accounting
  - health care - child care industry - legal
  services
• Activities that use unskilled-but-willing workers
  and located in community locations
  

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Business Opportunities in Cabo Verde

• Participation in bids in Cabo Verde
• Participation in projects financing by
  international financing institutions
  
• Light manufactures for exports to Europe
  America (taking advantage of AGOA, OPIC, Exim
  Bank facilities)
  
• Participation in the development of the tourism
  sector
  
• Marine, airport offshore services.

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The challenges ahead

• Organizing the Community for civic, business and
  political objectives
  
• Need a committed group of leaders to lead and
  drive the process
  
• Getting the buy in and participation of the
  Diaspora

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Thank You