Bilateral Protocol

The Bilateral Protocol was created in 2019 by the Government of Cape Verde, with the aim of guaranteeing credit operations granted by financial institutions, within the framework of the financing protocol for the Ecosystem.

With the end of the Restart Plan on December 31, Pró-Garante will once again apply, in 2025, the terms of the bilateral protocol signed with all financial institutions authorized and regulated by the Bank of Cape Verde (BCV).

The protocol defines eligible companies, the types of credits and financing that qualify, the costs, and the operational conditions that allow the correct use of credit guarantees granted by Pró-Garante.

Eligible Companies

All companies, regardless of size, nature, or legal form, may access this credit line if they:

a) Are properly established and licensed to carry out their activity;

b) Are in regular status with the tax authorities, Social Security, and the financial system, valid according to the CRC system of the Bank of Cape Verde;

c) Have an economic-financial situation that allows them to meet current and future commitments and/or provide provisional cash flow data to guarantee debt servicing.

Eligible Investment

The following are considered eligible investments:

a) Treasury support financing;

b) Financing for production factors;

c) Financing for business expansion and diversification;

d) Financing for import and sales cycles;

e) Financing for export cycles and receivables;

f) Financing for transport means;

Financing Conditions

a) Amount The maximum financing amount granted per operation varies depending on the company's size:

Up to 1,000,000.00 CVE for micro-entrepreneurs / micro-companies
Up to 5,000,000.00 CVE for small entrepreneurs / small companies
Up to 50,000,000.00 CVE for medium entrepreneurs / medium companies

b) Term: The maximum repayment term for the financing is 12 years (corresponding to 144 months), including a maximum capital grace period of 1 year (corresponding to 12 months), depending on the nature of the transaction;

Capital Grace Period: A maximum of 1 year grace period (corresponding to 12 months) depending on the nature of the transaction / project;

d) Interest Rate: The interest rate applied to credit operations is determined based on the risk analysis carried out by the bank / financial institution, and it must fall within the limits defined in the pricing approved by the Bank of Cape Verde;

e) Guarantees: In addition to the guarantee issued by ProGarante, the bank requires clients to sign a blank promissory note, along with other guarantees such as the commercial pledge of equipment, vehicle and real estate mortgages (if applicable), among others;

f) Commissions: Pró-Garante, when issuing the guarantee, will receive an annual commission (amount to be defined), and it is the responsibility of the financed client to ensure a debit instruction for the payment of the guarantee provided;