Cabo Verde Airlines has secured a government injection of 450 million escudos, or about $4.7 million, to keep flying and avoid liquidation. The state support will help the flag carrier maintain services on its Brazil and United States routes, which are seen as vital links for Cabo Verde’s diaspora communities.
The funding was included in a supplementary budget approved by parliament last week, underlining that the airline’s support is coming from the state rather than private investors. The money is being treated as a short-term bridge while the carrier works to demonstrate a recovery plan to its shareholder and creditors.
The airline, also known as TACV, has faced renewed pressure over its finances, with liquidation among the options under discussion. The latest injection keeps open the prospect of continued international connectivity while the government looks for a longer-term solution for the carrier.