Adopts a new Investment Code
20 Mar 2020
On 20 March 2020, Benin adopted Investment Code (Act No. 2020-02), replacing the Investment Code of 1990 and its amendments, offers clear and precise tax incentives, including advantages. and benefits. It also offers new guarantees to investors, including protection of intellectual property rights such as patents, trademarks and trade names. Without imposing performance requirements, the state facilitates investor’s access to developed industrial zones, agricultural land, industrial zones, and areas of interest by investors. Also, it urges international investors to train local personnel through continuing education, development of skills and transfer of technology, while conditioning access to privileged regimes on increasing the qualification of local employees. It reinforces transparency requirements on investments. Unlike, the previous Code, which the mandate for approval process mainly to the Minister for Planning and Development, the 2020 Code, provides for three main state institutions for dealing with investment, namely (i) The National Agency, for acting as a one-stop shop, (ii) The Investment Control Commission, for verifying conformity of investment, commitment of investors and installation of investor and (iii) The Inter-ministerial Committee for Investment Promotion, for monitoring and evaluating investments, especially those that have benefited from stated advantages, and for supervising the activities of the National Agencyand the Investment Control Commission. Furthermore, while both codes provide for an amicable settlement procedure in the event of disputes between investors and the state, the 2020 Code adds that difficulties of interpretation of the provisions are settled by instructions of the Inter-ministerial Committee for Investment Promotion on the proposal of the National Agency. In addition, the parties may, henceforth, agree to submit their dispute to the Arbitration, Mediation and Conciliation Centre of Benin, the Common Court of Justice and Arbitration, the Multilateral Investment Guarantee Agency and International Centre for Settlement of Investment Disputes.
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Type:
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Entry and establishment (Access to land)
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Treatment and operation (Dispute settlement)
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Promotion and facilitation (Investment facilitation , Investment incentives)
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Industry:
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