PIDA Investment Prospectus
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Transport Cape Verde, Senegal ECOWAS

Praia-Dakar Shipping and Maritime Services Project

Current Stage: Feasibility 50%
USD 175.50M

Total Project Cost

USD 0.00M

Investment Required

11

Stakeholders

2

Countries

Project Overview

Description

Development of regular shipping services between Cape Verde (Praia) and Senegal (Dakar) to enhance connectivity, facilitate trade, and improve passenger mobility between the island state and mainland West Africa.

Objectives

Establish regular and reliable maritime transportation services between Cape Verde and Senegal; reduce transportation costs for goods and passengers; enhance trade opportunities between Cape Verde and mainland West Africa; improve regional integration by connecting an island state to the continental market; develop supporting port infrastructure to ensure efficient operations; create employment opportunities in maritime and logistics sectors; and facilitate tourism development between the two countries.

Strategic Importance

This project represents a critical link for Cape Verde's integration into the regional economy, addressing the isolation challenges faced by this island nation. By establishing direct maritime connections to the mainland, the project will significantly reduce transportation costs and time for both passengers and cargo, enhancing Cape Verde's participation in regional trade and economic activities. The connection supports implementation of the African Continental Free Trade Area (AfCFTA) by improving physical connectivity between an island state and mainland markets.

Technical Specifications

Technology & Design

The project will utilize modern roll-on/roll-off (RoRo) vessels capable of carrying both passengers and cargo, with supporting port infrastructure designed for efficient loading/unloading operations. Digital booking and cargo management systems will be implemented for streamlined operations.

Capacity & Size

Maritime service with capacity for 500 passengers and 2,000 tons of cargo per vessel, with 2-3 weekly sailings. Port handling capacity upgrades to process 200,000 passengers and 300,000 tons of cargo annually.

Technical Details

RoRo vessels with passenger capacity of 350-500 and cargo capacity of 1,500-2,000 tons; Port infrastructure improvements including dedicated passenger terminals, cargo handling facilities, and improved access; Digital booking and cargo management systems; Safety equipment and systems compliant with international maritime standards

Development, Implementation & Financial Details

Development Timeline

Feasibility studies (2023-2024); Detailed design and financing arrangements (2024-2025); Implementation (2025-2028); Operational launch (2029)

Latest Implementation Updates

UPDATED
Feasibility studies: 2023-2024; Detailed design and financing: 2024-2025; Port infrastructure development: 2025-2027; Vessel acquisition and commissioning: 2026-2028; Operational launch: 2029
2025-07-03 — MaritimAfrica: Dakar–Praia maritime link targeted to be operational by end-2026; 2025 workstream focuses on service model, governance and operational prep. [https://maritimafrica.com/en/the-praia-dakar-maritime-link-should-be-operational-by-the-end-of-2026/]
2025-06-26 — Technical validation workshop held in Dakar (25–28 June 2025) advances corridor design packages and operational planning. Link: https://apanews.net/praia-dakar-abidjan-corridor-project-nears-technical-validation/
2025-07-03 — Authorities target late-2026 start of Dakar–Praia maritime leg; communiqué calls for fast-track actions (ports, fleet, ops model). Link: https://www.zawya.com/en/press-release/africa-press-releases/the-praia-dakar-maritime-link-should-be-operational-by-the-end-of-2026-cbbcer2m
2025-07-31 — Follow-up meeting in Dakar urges rapid completion and adoption of expert recommendations for the maritime link. Link: https://cyprusshippingnews.com/2025/07/31/west-africa-relevant-resolutions-aimed-at-speeding-up-completion-of-the-praia-dakar-maritime-link-project/

Financing Structure

The project will utilize a public-private partnership approach with: government contributions from Cape Verde and Senegal for port infrastructure improvements; development finance institution support for vessel acquisition and technical assistance; and private sector investment through operation concessions. Specific financing commitments are being secured from the African Development Bank and the World Bank.

Capital Structure

Public sector financing: 60%; Private sector participation: 40%, primarily for vessel operations and terminal management.

Project Timeline

Start Date

March 2023

Expected Completion

December 2029

Development Timeline

Feasibility studies (2023-2024); Detailed design and financing arrangements (2024-2025); Implementation (2025-2028); Operational launch (2029)

Project Status History

Status 2020

Feasibility

Status 2022

Pre-Feasibility

Status 2024

Feasibility

Additional Project Details

Preparation Funding Gap

USD 3.50M

Construction Timeline

Port infrastructure improvements: 2025-2027; Vessel acquisition and commissioning: 2026-2028

Legal & Financial Advisors

Maritime Transport Consultants Ltd providing technical advisory services; financial advisory services by Deloitte

Market Analysis

Market Analysis

Current maritime connections between Cape Verde and Senegal are limited, irregular, and expensive, resulting in significant untapped demand. The route will serve both passenger transport (business, tourism, family connections) and cargo (consumer goods, construction materials, agricultural products).

Market Demand

Annual passenger demand projected at 75,000 by 2030, with cargo volumes of approximately 120,000 tons. The service will benefit approximately 350,000 people in the direct influence areas of Praia and Dakar.

Key Stakeholders

Project Sponsor

Ministry of Maritime Economy (Cape Verde), Ministry of Infrastructure (Senegal)

Key Parties

Ministry of Maritime Economy (Cape Verde), Port Authority of Dakar (Senegal), ECOWAS Commission, West African Economic and Monetary Union (UEMOA)

Investors

African Development Bank, World Bank, ECOWAS Bank for Investment and Development (EBID)

Contractors & Operators

To be determined through competitive procurement following project structuring and financing

Risk Assessment

General Risk Assessment

Key risks include: operational sustainability due to seasonal demand variations; maritime safety and security concerns; technical capacity limitations for maritime operations; and potential competition from air transport. Risk mitigation strategies include flexible scheduling, comprehensive safety management systems, capacity building programs, and service differentiation strategies.

Regulatory Risks

Requires harmonization of maritime regulations, customs procedures, and passenger processing between the two countries. A joint maritime commission is proposed to oversee operations. Key regulatory risks include potential delays in establishing streamlined customs and immigration procedures.

Impact Assessment

Environmental Impact

The project will require Environmental and Social Impact Assessments for port infrastructure developments. Key environmental considerations include marine ecosystem protection, fuel efficiency and emissions reduction, and waste management systems for vessels and port operations.

Social Impact

The maritime connection is expected to generate approximately 200 direct jobs and 600 indirect jobs. Social benefits include improved mobility between Cape Verde and the mainland, enhanced business opportunities, strengthened cultural exchanges, and reduced isolation for island communities.

Investment Opportunities

Private Sector Opportunities

Significant opportunities exist for private sector participation in vessel operations, terminal management, logistics services, maintenance services, and tourism-related activities integrated with the maritime service. The operational framework will include specific mechanisms for structured private sector participation.

Next Steps & Agreements

Next Steps

Complete comprehensive feasibility studies; finalize vessel specifications and port infrastructure requirements; secure financing commitments; establish bilateral operational framework; initiate procurement processes

Offtake Agreements

Bilateral agreement between Cape Verde and Senegal establishing service level requirements, operational standards, and management framework. For private operators, structured agreements will ensure public service obligations are maintained while allowing commercial viability.

Contact Information

Dr. Paulo Veiga, Minister of Maritime Economy, Cape Verde, Email: ministerio.economia.maritima@gov.cv; Aboubacar Sedikh Beye, Director General, Port of Dakar, Email: info@portdakar.sn