Bolama, port town located on the northeast side of Bolama Island, Guinea-Bissau. Bolama Island and town lie between mainland Guinea and the Bijagós Islands. The town served as the capital of Portuguese Guinea until 1941, when it was replaced by Bissau. In the late 1860s the island was claimed by Britain, but U.S. Pres. Ulysses S. Grant, acting as arbitrator, awarded the island to Portugal. After the 1940s the town declined in importance and population. Pop. (2004 est.) 9,188.