New Investment Code adopted

A new Investment Code was adopted on 30 October 2018. Its scope has been expanded to encompass clean and renewable energy actors, emphasizing the protection of the environment. Notably, the legislation now includes incentives to encourage investment in strategic sectors such as green energy, renewable energies, handicrafts, as well as material processing activities within these sectors and the agro-forestry-pastoral, fish, and wildlife sector.

One of the key incentives introduced by this law is a reduction of one-quarter in the investment threshold and the number of jobs required to be created. This reduction applies to both the aforementioned sectors and extends to material processing activities. This adjustment aims to facilitate and promote investment in these areas.

Furthermore, the law introduces a degressive exemption from corporate tax as an additional benefit. This exemption provides an advantage to businesses operating in the specified sectors, further incentivizing their involvement and contribution to sustainable development.

• Type:

  • Entry and establishment (Approval and admission)
  • Promotion and facilitation (Investment incentives)

• Industry:

  • Not industry specific (SDG)
  • Not industry specific (SDG)

• Sources:

  • Government portal, loi 038 portant code des investissements, https://www.assembleenationale.bf/IMG/pdf/loi_038_portant_code_des_investissements.pdf, 30 Oct 2018
  • l′Economiste du Faso, Promotion des investissements: le Burkina dispose d’un nouveau Code, https://www.leconomistedufaso.bf/2018/11/12/promotion-des-investissements-le-burkina-dispose-dun-nouveau-code/, 12 Nov 2018