Adopts law to stimulate investments in the rural sector

On 19 June 2018, the Government of Burkina Faso promulgated Law No. 17-2018/AN on the agro-sylvo-pastoral, fisheries and wildlife investment code in Burkina with the aim of stimulating and energizing investments in the rural sector.

The law concerns the promotion of productive investment, in particular production activities (primary, equipment or inputs), processing (artisanal or semi-industrial) and the provision of services and support for production, processing and conservation. In order to qualify for the advantages of the law, investment must include the creation of a farm or business, its modernization or extension, as well as the diversification or transformation of a new activity provided that the new activity continues to fall within one of the above-mentioned sectors of activity.

The advantages for qualifying investment include the reduction of customs duties to 5% and the exemption from the VAT tax for 5 to 7, or even 10 years depending on the area. The law defines the various preferred schemes and the eligibility criteria for those schemes. All agricultural enterprises, irrespective of their nationality, lawfully established in Burkina Faso may benefit from preferential schemes provided they meet the conditions for granting such schemes. However, it should be noted that investors must obtain prior authorization from the competent Minister.

A National Investment Commission is responsible for examining applications for approval. Preferential regimes are granted by a joint decree of the Ministers responsible for Industry and Finance.

The law was promulgated by Decree No. 2018-0461/PRES of 19 June 2018.

• Type:

  • Promotion and facilitation (Investment incentives)

• Industry:

  • Primary (Agriculture, forestry and fishing)

• Sources:

  • Agence d'Information Burkina, Agro-silvo-pastoral, fisheries and wildlife investment code: players in the Hauts-Bassins sector equipped, https://www.aib.media/regions/2021/10/11/code-des-investissements-agro-sylvo-pastoral-halieutique-et-faunique-des-acteurs-du-secteur-des-hauts-bassins-outilles/, 11 Oct 2021
  • FAO, Burkina Faso - Loi n° 017-2018/AN du 17 mai 2018 portant code des investissements agro-sylvo-pastoral halieutique et faunique au Burkina-faso, https://www.fao.org/faolex/results/details/fr/c/LEX-FAOC180804/, 19 Jun 2018
  • Government Portal, Burkina Faso- Law No. 017-2018/AN of 17 May 2018 on the code of agro-sylvo-pastoral fisheries and wildlife investments in Burkina Faso., https://faolex.fao.org/docs/pdf/BKF180804.pdf, 19 Jun 2018