Schengen membership is not the same as EU membership – some non-EU states, such as Switzerland are part of Schengen, the UK and Ireland are EU member states but are not. Joining Schengen would involve the politically sensitive issue of undocumented migrants, which could not only be fatal to Cape Verde joining Schengen but to integration with Europe itself. Even if it is unlikely, is it that difficult for people to show a passport?  Besides, tourism is not just from Europe to outside – a Euro move would only stop Europeans from needing to change currencies. The peg is the best of both worlds in that it means that the currency is stable.