Two new species of Capsicum from the Caatinga Biome (Brazil) are described and illustrated. The two species are endemic to the north-eastern states of Brazil (C. caatingae: Bahia, Pernambuco, and north of Minas Gerais; C. longidentatum: center of Bahia and Pernambuco) and are morphologically similar to another caatinga species, C. parvifolium. Lectotypification and a complete description for C. parvifolium, which has been confused in the literature and herbaria, are also provided. The karyotype for the three species (2n = 2x = 24) is analyzed and discussed, and a key to differentiate the endemic Capsicum species from Brazil is included.