The rapid growth of tourism in Cabo Verde's Sal and Boa Vista islands has led to a surge in population and a shortage of housing and social infrastructure. According to data, the population of Sal increased from 6,921 in 1990 to 35,000 in 2020, while Boa Vista's population grew from 2,024 in 2000 to 14,069 in 2020. This growth has resulted in a significant strain on local resources and infrastructure.
The tourism sector has been identified as a key driver of the population growth, with many workers immigrating to the islands from other parts of Cabo Verde and West Africa. The sector's growth has not been matched by corresponding investments in housing and social infrastructure, leading to the emergence of informal settlements and increased housing costs. Experts argue that the tourism sector must take responsibility for mitigating its impact on local communities.
A recent report suggests that a significant portion of the taxes generated by tourism, including the Tourist Tax and Airport Security Tax, should be allocated to funding social and economic infrastructure in Sal and Boa Vista. If 30% of these taxes were allocated to local infrastructure, it could significantly improve living conditions for residents. The report also proposes a new licensing system for tourism developments, which could generate additional revenue for infrastructure projects.
The proposed licensing system would require investors to contribute to the development of local infrastructure, including housing. A ratio of workers to hotel rooms could be established, with investors required to contribute a set amount per room. This approach could help to address the shortage of housing and social infrastructure, while also generating revenue for local authorities.
The creation of a local development fund, focused on housing, has been proposed as a solution to address the infrastructure shortage. The fund would be responsible for acquiring land, building and maintaining new settlements, and managing existing housing stock. The fund would have a right of preference in cases where a property is being sold, ensuring that housing remains affordable for local residents.
Experts argue that the tourism sector must be managed sustainably to ensure that its benefits are shared equitably among local communities. This requires a coordinated approach from government, local authorities, and investors, with a focus on mitigating the negative impacts of tourism and promoting inclusive economic growth. The sector's growth should be aligned with broader development goals, including the provision of affordable housing and social infrastructure.
The implementation of these proposals would require a collaborative effort from government, local authorities, and investors. With effective management and regulation, the tourism sector could become a key driver of sustainable development in Cabo Verde, benefiting both local communities and the economy as a whole. A fair and equitable distribution of tourism revenue is essential to achieving this goal.
Key points
- The tourism sector should contribute to funding housing and social infrastructure in Sal and Boa Vista islands.
