Cost of living in Cape Verde: A guide for investors and digital nomads

Cape Verde is increasingly positioning itself as a destination of choice for those looking for quality of life, political stability and investment opportunities in Africa. Whether you're setting up a new business project, buying a property or simply working remotely with the Atlantic as your backdrop, understanding the cost of living in the archipelago is the first step towards an informed and profitable decision.

At S&D Consultoria, we accompany investors and digital nomads who choose Cape Verde as their new base on a daily basis. This guide brings together the essential information, with updated data from 2026 and official sources, that any foreigner should know before packing their bags or shelling out their first escudo.

1. The Archipelago Is Not Uniform: Context by Island

The most common mistake is to generalise. The cost of living in Cape Verde varies significantly depending on the island and the lifestyle desired, as shown by the most recent Essential Consumption Index (ICE) from ADECO (Association for Consumer Defence), released in April 2026.

• Praia (Santiago): Economic and political capital. The total ECI was 33,156 escudos, The rent for a T0 is estimated at 15,000 escudos monthly. Electricity is priced at 24.55 escudos/kWh (ARME/Electra) and water in 230 escudos/m³ (Águas de Santiago). The private sector minimum wage (17,000 escudos) only covers around 51.3% of this essential basket. (Source: ADECO/Expresso das Ilhas, April 2026)
• Sal Island: Mature tourist destination. The total ECI was 34,908.55 escudos, This is the most expensive island in the archipelago, with food accounting for 18,240.30 escudos. The T0 rent considered was 14,000 escudos. (Source: ADECO/Expresso das Ilhas, April 2026)
• São Vicente (Mindelo): Cultural and port centre. The total ICE was 24,856.11 escudos, with T0 rent estimated at just 7,000 escudos, (Source: ADECO/Expresso das Ilhas, April 2026)

In an international benchmarking, the Numbeo portal positions Cape Verde as the 4th highest cost of living in Africa at the beginning of 2026, with an index of 46.3 points. The platform points out that food prices are particularly high due to dependence on imports, although rents remain relatively low compared to the continent. (Source: Numbeo, January 2026)

2. Accommodation: Buy or Rent?

For the investor, property is often the gateway. For the digital nomad, short or medium-term rentals are the norm.

Monthly rent (indicative figures ICE 2026):

• Studio flat in Praia: from 15,000 escudos (around 136 euros).
• Studio flat in Sal: from 14,000 escudos (around 127 euros).
• Studio flat in São Vicente: from 7,000 escudos (around 64 euros).

Higher values, especially for furnished or condominium properties, can exceed these levels. In tourist areas (Sal), seasonal rents can double between November and April.

Buying property:

The property market has grown steadily, with clear variations by island:

• Sal Island: Average price of 115,433 escudos/m² (around 1,050 euros). Two-bedroom flats close to the beach generate daily tourist rates of between 50 and 80 euros. (Source: property market data/specialised platforms, 2025/2026)
• Beach: Average values of 177,733 escudos/m² (Source: property market data, 2025/2026)
• Santa Maria (Sal): Average values of 212,183 escudos/m², (Source: property market data, 2025/2026)

Portals such as IMOR and Realigro list 2-bedroom flats in Praia starting from 16,800,000 escudos (around 152,000 euros) and land/tourism in Sal with affordable entry prices. (Source: IMOR, Realigro)

Note from S&D: For non-resident investors, the purchase of property is subject to NIF requirements and potentially to the regime REMPE, if you want to manage your assets in a tax-efficient manner. We always advise legal and tax advice beforehand.

3. Food and Essential Consumption

The basic food basket in Cape Verde is influenced by dependence on imports. Fresh products of local origin (fish, fruit, seasonal vegetables) are affordable and of excellent quality. Imported or industrialised products have higher prices than European ones due to logistical costs and customs duties.

According to ADECO's ICE (April 2026):

• Beach: Food consumes around 18,000 escudos a monthly essential basket totalling 33,156 escudos.
• Salt: Food consumes 18,240.30 escudos for a total of 34,908.55 escudos.
• St Vincent: Food consumes 12,000 escudos for a total of 24,856.11 escudos.

The Expatistan portal estimates the monthly cost for an individual at around 133,996 escudos and for a family of four in 281,377 escudos, (Source: Expatistan, 2026).

• Affordable meal (local catering): 500 to 1,000 escudos.
• Meal in a medium/high standard restaurant: 3,000 to 8,000 escudos per person.
• Espresso: 100 to 200 escudos. A bottle of local wine: from 800 escudos.

4. Energy, Water and Telecommunications

Cape Verde has made notable investments in renewable energies, but the cost of electricity remains high by regional standards.

• Electricity: Priced at 24.55 escudos/kWh (ARME/Electra). An average home can pay between 10,000 and 25,000 escudos a month, depending on the use of air conditioning. (Source: ADECO/Expresso das Ilhas, April 2026)
• Water: Priced at 230 escudos/m³ (Águas de Santiago in Praia). Homes dependent on cisterns or de-alinisation may face additional costs. (Source: ADECO/Expresso das Ilhas, April 2026)
• Fixed and mobile internet: Optical fibre is expanding into urban areas. Residential internet packages start at 5,000 escudos. 4G coverage is reasonable on the more populated islands, but stability can vary. For digital nomads dependent on videoconferencing, a redundant data plan and, where possible, a fixed fibre connection are recommended.

5. Transport and Mobility

Inter-island mobility is a factor to plan in advance. Air (TACV and international companies) and sea (ferries) connections link the islands, but prices fluctuate and supply is seasonal.

Inside the islands:

• Taxis: They are abundant in Praia and Mindelo. Urban races cost between 200 and 800 escudos. Prior agreement on the price is recommended for longer routes.
• Car hire: Indispensable for those who live outside urban centres or want to explore. Monthly rental costs start at 40,000 escudos for commercial vehicles.
• Fuel: Regulated and uniform price, slightly higher than the European price due to transport costs and taxes.

6. Education and Health

Education: The public system is free, but most expats and investors opt for private education. International or reference schools in Praia and Sal cost between 40,000 and 120,000 escudos a month, depending on the level and curriculum.

Cheers: Cape Verde has central hospitals in Praia and Mindelo and scattered health centres. However, for specialised or complex surgical interventions, evacuation to Senegal, Portugal or Brazil may be necessary. International health insurance with local cover is essential. Monthly insurance costs vary between 5,000 and 20,000 escudos, depending on age and coverage.

7. Fiscal and Bureaucratic Aspects: What Changes the Bill?

For those who come to invest or work remotely, the cost of living isn't just about what comes out of your bank account every month. The tax structure determines the real profitability of the project.

• NIF for non-residents: Mandatory for any economic activity or purchase of goods.
• REMPE scheme: Applicable to micro-enterprises, it provides for a Special Unified Tax (TEU) of 4% on quarterly turnover, exempting IRC and VAT in many cases. Eligibility remains for micro-enterprises with up to 5 employees and a turnover of up to 5,000,000 escudos/year. (Source: State Budget 2026 / Cape Verdean tax legislation)
• State Budget 2026: Provides for the gradual reduction of the IRPC rate to 20% (with a target of 15% through a strategic consultation agreement) and the introduction of a Global Minimum Tax (Pillar 2 BEPS) of 15% for multinational groups with revenues of 750 million euros or more. (Source: Proposed State Budget 2026, Government of Cape Verde)
• Exemptions for non-residents (State Budget 2026): The tax package dedicated to the diaspora and investors includes a total IRPC exemption on dividends for 5 years, reduced IRPC rates of 2.5% for ICT startups and a housing loan programme with exceptional conditions for emigrants. (Source: OE 2026 Proposal, Government of Cape Verde)

Note from S&D: Preventive tax management saves more than any income negotiation. Before taking up residence or setting up a company, analyse the tax framework that best suits your profile. Our guide to legalising companies in Cape Verde details the new “substance” rules for non-residents in 2026, including the requirement for a physical legal address and the appointment of a local representative.

8. Digital Nomads and Diaspora: Visas and Incentives

Cape Verde is one of the 10 most popular destinations for digital nomads. The government programme allows you to apply for a 6-month temporary visa, renewable, (Source: government programme for digital nomads, 2025/2026)

NHR scheme and “Green Card”:

• Digital nomads and non-residents can benefit from a flat rate of 10% on income generated in Cape Verde (NHR regime) (Source: Cape Verdean tax legislation / NHR regime)
• The Cape Verdean “Green Card” (permanent residence by investment) requires a minimum property investment of 80,000 euros on islands with below-average GDP per capita, or 120,000 euros (Source: residency regime for investors, Cape Verde)

9. Investor vs. Digital Nomad: Two Profiles, Two Budgets

The Digital Nomad seeks flexibility. Estimated monthly budget (comfortable lifestyle, no luxuries, based on ADECO and Expatistan data):

• Accommodation (T0/T1 furnished): 15,000 to 25,000 escudos
• Food and catering: 25,000 to 40,000 escudos
• Transport and mobility: 10,000 to 20,000 escudos
• Services (energy, water, internet): 10,000 to 20,000 escudos
• Leisure and extras: 10,000 escudos
• Approximate total: 70,000 to 115,000 escudos (around 640 to 1,050 euros) a month.

The Business Investor you have to factor in additional costs: setting up a company, licences, accounting, possible local hiring and logistics. These figures vary, but a small business should expect a fixed monthly compliance cost (accounting, tax, payments) of 20,000 escudos or more, not counting premises and staff.

10. Conclusion: Does Cape Verde pay?

Yes, as long as the decision is structured. The cost of living in Cape Verde is not the lowest in Africa, as the Numbeo index confirms, but it offers a rare combination of stability, security, European accessibility and potential for appreciation. For the investor, the property market and sustainable tourism present clear windows of opportunity. For the digital nomad, the quality of life and the time zone (GMT-1, coinciding with western Europe for most of the year) are unquestionable competitive advantages.

The decisive factor is not just the value of the shield. It's the quality of the legal, tax and business support that welcomes you on arrival.

Do you want to turn your curiosity into a concrete project?

S&D Consultancy accompanies investors and digital nomads from initial research to operational implementation in Cape Verde. We draw up business plans, study the fiscal viability of your investment, manage accounting and legal compliance, and help you structure your market entry in a safe and optimised way.

Contact us for an initial consultation and find out how we can make Cape Verde your next big business decision.

Sources and References

Cape Verde's Digital Nomads government programme. 6-month temporary visa (renewable) for remote workers. Data from 2025/2026.

ADECO (Association for Consumer Defence) / Expresso das Ilhas. “Essential Consumption Index (ECI) - April 2026.” Data broken down by island (Praia, Sal, São Vicente) including rent, electricity (24.55 CVE/kWh), water (230 CVE/m³) and food basket. Published in April 2026.

Numbeo. “Cost of Living Index by Country 2026.” Cape Verde ranked 4th most expensive African country, with an index of 46.3 points. Data from January 2026.

Expatistan. “Cost of living in Cape Verde.” Monthly estimates: 133,996 CVE (single person) and 281,377 CVE (family of four). Data for 2026.

Real estate market data (IMOR, Realigro and specialised platforms). Average prices per m²: Sal (115,433 CVE), Praia (177,733 CVE), Santa Maria (212,183 CVE). 2 bedroom flats in Praia from 16,800,000 CVE. Data from 2025/2026.

Government of Cape Verde / Proposed State Budget 2026. Tax measures: IRPC reduction for 20% (target 15%), Global Minimum Tax (BEPS Pillar 2), exemptions for non-residents, REMPE scheme (TEU 4%), incentives for the diaspora (5-year dividend exemption, ICT startups 2.5% IRPC). Published in October 2025 and debated in February 2026.

Cape Verdean tax legislation / NHR and Green Card regime. Flat rate of 10% for non-resident digital nomads. Minimum property investment for residence: 80,000 EUR (lower GDP islands) or 120,000 EUR. IUP exemption for 10 years.