Imagine boosting Cabo Verde's economic activity by up to 12.2% without building a single new hotel or attracting additional foreign investment. This is not fantasy — it is the economic potential of fully integrating women into the country's workforce, as outlined in the 2025 Economic Update.

The World Bank Group has made job creation the explicit aim of every project it supports, recognizing that a good job remains the surest path out of poverty — providing income, dignity, and purpose while empowering women and engaging youth. For Cabo Verde, realizing that vision means confronting a persistent and costly gender gap in the labor market, one that holds back not just women, but the entire economy.

A Jobs Gap, Not a Talent Gap

Over the past two decades, Cabo Verde has made remarkable strides in education, health, and political participation as shown in the recent They are Women in the Plural: Gender, Inequality and Poverty in Cabo Verde report — areas where women now often match or outperform men. Yet, one frontier remains stubbornly out of reach: equality in the labor market (Figure 1).  

Figure 1. Women are less represented in the labor market than men

Engagement in the labor market, by gender and location, for individuals aged 24-59

The data are unambiguous. Nationally, 61% of men are in full-time employment compared to only 46% of women. While 31% of women are economically inactive, just 18% of men are. In rural areas the gap is even starker: 52% of women do not participate in the labor market at all, compared to 28% of men.

When Women Work, They Still Earn Less

The problem does not end with participation. Women who do enter the workforce earn at least 13% less per hour than men, and a higher share report being available to work more hours than they currently do (15 % versus 11% among men). The fact that higher educational attainment does not fully offset this wage gap is telling, investing in women's education, while essential, is not sufficient to close economic disparities.

The gap is driven by several reinforcing factors. Occupational segregation channels men into higher-paying industries such as construction and STEM, while women are overrepresented in lower-paying service roles. Women are overrepresented in lower-skill occupations with lower pay, while men are more prevalent in medium-skill jobs – despite the fact that Cabo Verdean women are, on average, better educated than their men counterparts, with a larger share of women (aged 24 – 59) than men having attended higher education.

Women also tend to accumulate fewer years of work experience — possibly a consequence of caregiving  responsibilities that lead to career interruptions, creating a cycle where less experience leads to lower wages, which in turn makes stepping away from work economically rational when family needs arise.

A significant portion of the gap remains unexplained even after accounting for these factors, pointing to employer discrimination compounded by the absence of equal-pay-for-equal-work legislation.

The Hidden Tax on Women's Work

Perhaps the most powerful — and least visible — driver of the jobs gap is unpaid care work. Women in Cabo Verde spend nearly three times more hours than men taking care of other people  and twice as much on housework. This unequal division starts early: even girls aged 5–14 spend roughly 40% more time on chores than boys. By adulthood, this invisible burden functions as a hidden tax levied exclusively on women, constraining the time, energy, and flexibility they can bring to paid employment. The consequences are direct: 36% of economically inactive women cite family responsibilities as the primary reason they do not work, compared to just 6% of men. For many, particularly in rural areas, the absence of affordable childcare is not an inconvenience — it is a binding constraint that shuts them out of the labor market entirely.

Why This Should Matter to Everyone

The cost of inaction falls not just on women, but on families, communities, and the national economy. Around 61% of poor households in Cabo Verde were female-headed in 2015, underscoring the direct link between women's economic inclusion and household welfare. Children in these households are disproportionately affected, and the consequences compound across generations.

At the macroeconomic level, an economy that systematically underutilizes half its workforce is an economy that is structurally underperforming. As Cabo Verde works to diversify and build resilience against external shocks — from climate events to tourism downturns — broadening women's economic roles is not just equitable; it is strategically essential.

Four Levers for Change

Four interventions, taken together, could significantly shift the picture.

First, investing in care infrastructure — expanding quality, affordable childcare particularly in high-employment areas like Santiago, São Vicente, Sal, and Boa Vista — would directly reduce the unpaid care burden and free women to participate more fully in paid work.

Second, targeted skills development through vocational training programs in non-traditional, higher-paying sectors would begin to erode occupational segregation and open pathways to better-paying jobs. 

Third, enacting specific equal-pay legislation would close the legal gap that currently leaves wage discrimination unchecked. 

Fourth, sustained public campaigns to shift social norms — and actively engage men as partners in domestic responsibilities — would address the deeper cultural architecture that underpins so many of these inequalities.

Cabo Verde has already shown that decisive action on gender equality yields results. Now is the time to bring the same ambition to the labor market. Unlocking women's economic potential is the country's next great development frontier — and one of the surest paths to prosperity for all.