Cape Verde Service Sector Grows 6.7% in Q1 2026
Cape Verde’s service sector got off to a strong start in 2026, with turnover surging 6.7% year-on-year in the first quarter, according to the latest data from the National Statistics Institute (INE).
Key Drivers of Growth
The upward trend was largely fueled by robust activity in trade, automotive repair, and transport and storage services. This performance marks an acceleration from the end of 2025, when the sector recorded a 4.5% year-on-year growth in the final quarter.
Employment and Wages on the Rise
The positive momentum also translated into gains for the local workforce. According to the Service Sector Activity Indicators (IASS) bulletin, the total employment index rose by 2.3% compared to the same period last year, while full-time employment saw a modest increase of 0.3%.
In a win for workers, the gross remuneration index saw a significant jump, recording a 6.6% year-on-year increase. This rise in wages suggests that the sector’s financial success is being increasingly shared with employees across the archipelago.
Sustained Momentum
The INE’s findings are based on direct data collection and use 2014 as the baseline year for measuring variations. This latest report confirms that the Cape Verdean service industry remains a vital engine of national economic progress, maintaining a steady and accelerating growth trajectory through the first three months of the year.
Image: Pexels – Carlo Jünemann
