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Reading: The Lusophone Compact : a catalyst for economic transformation in African CPLP countries
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© 2023 Invest-Time. By Afrik-Shine Medias Group. All rights reserved.
Africa

The Lusophone Compact : a catalyst for economic transformation in African CPLP countries

The 15th Summit of the Community of Portuguese Language Countries (CPLP), held in Bissau from July 15 to 18, 2025highlighted the Lusophone Compact as a strategic initiative. Launched by the African Development Bank (AfDB) in partnership with the governments of Portugal and Brazil, the Compact aims to mobilize private investment across six African Lusophone countries : Angola, Cabo Verde, Guinea-Bissau, Mozambique, São Tomé and Príncipe, and Equatorial Guinea.

By
Aissatou Amirah
Published: 24 July 2025
Last updated: 24 July 2025
3 Min Read
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Lusophone Compact: Unlocking Private Capital for Sustainable Growth Across CPLP Nations

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Unlocking private capital for sustainable growth. The Lusophone Compact is part of a long term vision to foster structural economic transformation through innovative financing tools and technical assistance aligned with national development goals. Its dual ambition : strengthen the economic resilience of member states and promote inclusive regional integration.

With over 300 million people across four continents and a combined GDP of $2.3 trillion in 2024, the CPLP represents a promising economic bloc. Beyond these figures lies a collective ambition: to drive endogenous growth through local entrepreneurship, strategic partnerships, and innovation.

Food security, technology and sustainability as top priorities

During the summit’s economic forum, the Compact’s team led high level discussions around three central themes: food security, technological transition, and environmental sustainability. These focus areas align with current global challenges and guide the Compact’s operational framework across member countries.

This summit provided a unique platform to advance the Lusophone Compact’s objectives in key areas such as food security, technological innovation, and sustainability,

Neima Ferreira, the Compact’s Coordinator at the AfDB

One of the flagship projects showcased was the Cabeólica wind farm in Cabo Verde. Co-financed by the AfDB and the European Investment Bank, the project supplies more than 20% of the country’s electricity, has significantly reduced CO₂ emissions, and created over 150 direct jobs. Cabeólica has become a model for green infrastructure and public-private partnerships in the region.

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Guinea-Bissau leads by example

As host country and current CPLP Chair, Guinea-Bissau reaffirmed its commitment to private sector led growth. The government expressed a strong interest in aligning its national development strategy with the Compact’s financing mechanisms, particularly in sectors such as agriculture, energy, and infrastructure. Practical tools to finance national ambitions. On the sidelines of the summit, Compact representatives presented available financial instruments and eligibility criteria. These include concessional loans, guarantees, blended finance, and targeted technical assistance for project preparation. Participants explored the importance of project impact, financial viability, and governance standards.

A shared vision for a sustainable future

In a context where African Lusophone economies seek to diversify and become more self-reliant, the Compact stands out as a transformative platform. It not only facilitates access to capital but also provides strategic support throughout the investment cycle. Amid global instability, climate disruptions, and economic volatility, the Lusophone Compact offers a tangible response rooted in cooperation, innovation, and shared growth. It strengthens local capacity, mobilizes private capital, and fosters experience sharing among CPLP countries.

With the right tools, the right partnerships, and the right vision, Lusophone countries can open a new era of investment driven development,

Neima Ferreira concluded.


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