Inversió estrangera directa (IED) a la Costa d'Ivori

FDI in Figures

The Ivorian economy, the strongest of the Economic Community of West African States, remains a preferred destination for foreign investors in the region. According to UNCTAD's 2021 World Investment Report, the country attracted USD 509 million in FDI inflows in 2020, a sharp drop from the nearly USD 1 billion achieved in 2019, due to the global health and economic crisis triggered by the Covid-19 pandemic. The total FDI stock was estimated at USD 12.2 billion in 2020. According to UNCTAD’ Investment Trends Monitor, global FDI flows rebounded strongly in 2021, but FDI flows to African countries (excluding South Africa) rose only moderately. The main investors are the European Union (France being the first investor) and Canada. Investments are mainly oriented towards extractive industries and finance.

The National Plan of Development (PND 2021-2025) aims at making private investment a motor of the country's economic growth. In order to facilitate business, a programme of dematerialization of services and administrative acts has been put into place. Since 2017, the political situation has stabilised and the country has put into places major reforms, such as adoption of a new constitution and creation of a Senate, improving the business climate. However, political stability remains fragile, as illustrated by the social unrest that surrounded the presidential elections of October 2020. In the 2020 edition of the Doing Business Report of the World Bank (latest report), Côte d’Ivoire has been ranked 110th worldwide, for the ease of doing business. This represents a leap from its 122th position of the 2019 edition. Côte d’Ivoire has made paying taxes easier by implementing an electronic filing and payment system, and by introducing an online case management system to process value added tax cash refunds. The country has also facilitated enforcing contracts by publishing reports on commercial court performance and progress of cases (Doing Business). The country enjoys diversified mining and farming resources, a network of infrastructure in the process of modernisation, a strategic coastal location and a stable economy. However, progress needs to be made in terms of governance, law enforcement and justice and land tenure code reform.

What to consider if you invest in the Ivory Coast

Strong Points

The main assets of the country are:

• Strengthening of the country's political stability  with a notable increase in democratic institutions
• Rich natural resources (hydrocarbons, ores) and very fertile agriculture (coffee, sugar and especially cocoa, of which the country is the largest producer in the world)
• Monetary stability largely due to its membership in the West African Economic and Monetary Union and the CFA franc zone
• Low-interest rates make access to capital easy
• The willingness of the government to improve the business climate
• The country has a rather advanced road infrastructure, a modern airport with a domestic airline that flies to all the major cities in the area, as well as the second-largest port in West Africa.
• The greatest economy in Francophone West Africa.

Weak Points

The main weaknesses of the country include:

• Persistent social and ethnic tensions
• Uncertainties about the country's security with the emergence of border tensions with Mali, Liberia and the Sahel
• A budget deficit slowing the implementation of necessary reforms and a generally weak tax structure
• Weakly developed Infrastructure
• High level of debt
  
• Agriculture highly vulnerable to natural disasters (such as periods of severe drought) and dependent on food commodity prices
• The wide disparity in wealth between Abidjan and the rest of the nation
• Importance of the informal economy
  

Government Measures to Motivate or Restrict FDI

The Ivorian government has put in place a number of measures to promote foreign investment:

• The introduction of a new Investment Code (in french)
• The establishment of a one-stop-shop for business creation
• The establishment of online complaints debit at the Commercial Court
• A programme of major transport infrastructure projects, including the privatisation of the Abidjan-Ouagadougou railway line and the extension of the port of Abidjan

A national development plan has been developed for the period 2016-2020 which aims to make private investment a driver of the country's economic growth. In order to facilitate business, a program of dematerialisation of services and administrative acts has been put in place. Tax relief measures were also introduced.

In 2017, the country introduced major political reforms, such as the adoption of a new constitution and the creation of a Senate, which has significantly improved the business environment.

The National Development Plan (NDP 2021-2025) aims to make private investment an engine of economic growth in the country. In order to facilitate business, a program of dematerialization of services and administrative acts has been put in place. 

Bilateral investment conventions signed by the Ivory Coast

Further information on Investing in the Franc Zone.