Presentation on theme: "Presentation of Djibouti Independence day: June 27th 1977 Total area : 23 200 km² Population : 800 000 National Languages : Somali & Afar & Arabic official."— Presentation transcript:
Presentation of Djibouti Independence day: June 27th 1977 Total area : 23 200 km² Population : 800 000 National Languages : Somali & Afar & Arabic official languages : French and Arabic Currency : Djibouti Franc (FDJ), pegged at fixed rate to the dollar for more than 60 years. 1 $ US = 177,721 FDJ
GROWTH RATE GDP: USD 695M. Growth rate: PIB 5% par an GDP per capita: 1200 USD. Foreign Direct Investment: 28.6 % of GDP in 2011
AT THE CROSSROAD OF THE GLOBAL TRADE Worldwide Connection Salalah Aqaba
INTRODUCTION Located on the horn of Africa Djibouti enjoys the advantage of being in a strategic position on the edge of the Red Sea with easy access to three continents. the country constitute a gateway to most African countries throughout its coastal line, international airport, road and rail. This situation makes Djibouti one of the most appropriate business destinations.
Regional Hub Djibouti - a Regional Trading Hub - the "Singapore of Africa" There are many good reasons why Djibouti is a natural candidate to become a major Trading Hub for Africa. The first and foremost reason is its natural, geographic advantage being located at the southern entrance to the Red Sea at the "crossroads" of Africa, Middle East, Asia and Europe. The Djibouti Government's plan to place Djibouti as the "Singapore of Africa".
The republic of Djibouti offers various opportunities in many sectors such as the tourism, financial sector, transport, telecommunication, renewable energy, real estate, fishing or livestock. The Djibouti government highly support and promote private sector investment. Foreign and local investor alike can benefit from: Best port of the region with high standard of logistics Free Zone Services (No Corporate Tax, Completely Duty Free Environment, Availability of quality infrastructure, Possibility to sell on local market …etc)
High standard and liberal international financial services Stable currency pegged to the US dollar No restriction of benefits repatriation No currency restrictions Political stability Availability and possibility to buy a land for local as well as foreign investor
Substantial incentives given by the Investment Code One Stop Shop services Excellent telecommunication infrastructure Availability of labor and flexibility of the Labor Code 100 % Foreign ownership Possibility to employ foreign workers 100 % repatriation of capital and profits Exemption from Income tax.
Banking sector: Djibouti has also opened its doors to international financial markets and the geographic position, the political and economic stability hearten the development of banking sector. the country has one of the most liberal economic regimes in Africa banking and commercial sectors are almost unrestricted. Currently nine international new banks has set up a branch or Headquarter in Djibouti. In Djibouti any international investor resident or non resident in the country can without any period of time open an account and can also transfer his or her money all over the world tanks to appropriate regulations.
Tourism sector: The Republic of Djibouti has a great potential in tourism, with unique sites and exceptional beautiful beaches and the country has vast unexploited opportunities in this sector: Development opportunities in Sea Safari: Situated at the intersection of the red Sea and the Indian Ocean, the country presents one of the most fascinating places in the world for scuba diving with its variety of Fauna and Flora. Building Hotels/Bungalow/ and Touristic Villas in the key touristic areas (Maskali island, Moucha Island, Day, Lac Abhe, Goubet, Lac Assal, Randa) Creating parks, Marinas, and divertissement centre for tourist and local population Divertissement
Primary and secondary sector Based on a favorable economic situation, the primary sector and secondary sector evolve positively Thanks to the development of the fishing port and a training centre, the trade of fishing will be important in the foreseeable future. The breeding principal activity of the rural area, tends to be developed thanks to the regional center of export of cattle.
Energy Sector The energy sector is one of the strategic areas of the country. Recent efforts to economic growth provided by Djibouti on one hand, and geographic expansion resulting from rapid urbanisation of the capital and other regions, have literally exploded the demand for energy. The region is suffering by under power electricity that blocks development in most of the Comesa countries. Djibouti, with its wide variety of energy, promotes among the private sector into the investment. There are very high potential in wind, geothermal and solar energy exploitation.
Substantial Incentives given to investors and a one stop shop for all procedures
Fiscal incentives are given to any project with a minimum investment of 5 000 000 DF (30 000 USD) Licence Property tax Income tax Direct taxation
Registration fees Home consumer tax Tax on hydrocarbon product Building permit tax Domanial tax Indirect taxation
Thanks to the one stop shop of the National Investment Promotion Agency, local and foreign investors can benefit from a full assistance in all steps as well as a personalized after care service Study of project that needs financing Connexion to water electricity…. Registration of staff After care service Registrations of companies Land acquisition Licences, work permit, visas… ONE STOP SHOP
An appropriate and incentives business framework regulatory
Business and investment projects set upped on the Republic of Djibouti territory are eligible to the preferential rate insurance prime of the Multilateral Investment Guarantee Agency (MIGA) of the World Bank. Protection of intellectual and industrial properties accordingly to relevant international agreements. Funding opportunities of Foreign Direct Investments by specialized regional and international financial institutions like International Financial Corporation (IFC) of the World Bank and private sector financing branches of both African Development Bank and Islamic Development Bank. Dedicated and personalized assistance at the National Investment Promotion Agencys One Stop Shop. Incentives offered by the Investment and Free Zone Codes and Laws: