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Laws

INVESTMENT CODE
Within the framework of the new government economic policy, the country’s new Investment Code intends to favor and secure investments in addition to other laws aiming to favor business development. The Investment Code simplifies the approval procedure to grant customs and tax benefits.

Important points include:

• DR Congo membership of OHADA (Organization for the Harmonization of Corporate Law in Africa);
• Exclusion of nationalization and expropriation;
• Freedom of transferring abroad dividends and other investment-generated income;
• Disputes settlement under CIRDI convention (International Centre of Dispute Settlement), based in Washington City;
• Set-up of One-Stop-Shop for investments: ANAPI;
• Removal of some formalities in the process of setting up enterprises such as authentication of visa, certificate of non-state employee, criminal record, etc.;
• Noticeable cut of the costs to obtain the New Trade Register;
• Publication of enterprise charters in the Gazette (Official Journal) through internet to save time;
• Set-up of many notaries offices throughout the country;
• Mechanisms for the safety of investments such as DR Congo

SETTING UP SUPPORT STRUCTURES FOR INVESTORS
To provide investors with a profitable support likely to guarantee their competitiveness, it is established a State structure totally dedicated to their service: ANAPI (National Agency for Investment Promotion).

ANAPI offers various services (before, during and after installation) to investors in the Democratic Republic of the Congo, the most important of which are:

• Help set up enterprises;
• Provision of information in due time that will be provided directly on the ANAPI website [www.investindrc.cd], communication materials such as Newsletter and multimedia platforms such as social media.
• Granting of tax and customs benefits under the Investment Code;
• Obtaining an entry or settlement visa;
• Search for developed or non developed land and premises (water and electricity);
• Establishing partnerships with both public and private operators;
• Access to finance;
• Obtaining the required sector licenses;
• Welcoming at the airport or port;
• Organization of stay (appointments with authorities or potential partners);
• Transportation from the airport or the port to downtown and back to the airport;
• Accompaniment in Kinshasa and in the provinces.

NB: ANAPI provides all the necessary services investors need.

PROCEDURE FOR APPROVAL TO THE INVESTMENT CODE BENEFITS REPOSITORIES

• Law No. 004 of 21 February 2002 on the Investment Code;
• Decree 009/33 of 08/08/2009 on the Statutes, Organization and Functioning of ANAPI;
• Decree No. 12/046 of 01/11/2012 concerning implementation measures of the Investment Code;
• Approval procedural Manual of projects enacted by the approval Council July 2013.

PROCEDURE

The promoter sends an application for approval to the National Agency for Investment Promotion at the afore-mentioned address, with a file containing the following elements (Click here to download it in french):

1. A copy of the investment project as per the model attached to the Investment Code;
2. A list of equipment and materials to be imported electronically;
3. Evidence of the legal existence of the company (notarized Statutes, the RCCM n°, tax n°) and other useful documents (ownership, partnership contract, etc.);
4. Payment proof of filing fees of the file with the Bank: $ 1,000 for large companies and UD 500 for SMEs projects and the request (for a file being processed).

• ANAPI receives investment projects after payment of filing fees to the bank, analyzes them and gives opinion for their approval to the general advantages of the Investment Code regime;
• The approval Council scrutinizes the investment projects analyzed by ANAPI, validates them through a minutes report after amendments.
• ANAPI informs the promoter about the approval or rejection of the project by the approval Council.
• The drafts of the inter-ministerial decrees approved by the approval Council are submitted for signature respectively to the Ministers of Planning and Finance.
• The inter-ministerial approval decree is handed to the promoter by ANAPI within 30 days maximum from the date of submission of the application for approval to ANAPI. After this deadline, the authorization is taken for granted.
• The financial authorities and ANAPI are therefore required to have the investor enjoy all the benefits of the Investment Code upon presentation of the submission receipt of the file signed by the Managing Director of ANAPI or his delegate, and the list of goods to be imported signed by ANAPI delegates, DGDA (Customs authority), DGI (Tax Authority) and DGRAD.

INVESTMENT PROTECTION MECHANISMS

• The Constitution and Laws of the countries enacts that the property (private and collective) of any person in the Democratic Republic of the Congo is sacred, which protects the land owner (except cases provided by law, particularly in cases of court sentences for certain offenses).
• The Law (the Investment Code) excludes nationalization and expropriation of investment made in the country (except in extreme cases for a public purpose for a fair and just compensation paid in advance).
• The Law provides and guarantees equal treatment to all national and foreign investors. No discrimination can thus be made between a Congolese investor and a foreign investor.
• The Investment Code guarantees respect for the rights acquired by investors: no subsequent law or regulation should restrict the advantages previously granted in a legal and regular manner to an investor unless the Government has amended the Law.
• The Law guarantees the freedom to transfer abroad without any restrictions, revenues, dividends and other earnings from investments made in the Democratic Republic of the Congo.
• The Law emphasizes, in case of any investment dispute, an amicable settlement or arbitration.

NOTE:
The Democratic Republic of the Congo is member of the ICSID (Convention of 18 March, 1965 on the Settlement of Investment Disputes between States and Nationals of other States) since April 29, 1970. This legal instrument provides particularly for dispute resolution mechanisms consistent with business requirements and that focuses on amicable settlement and arbitration.

The Democratic Republic of the Congo is a member of MIGA (Multilateral Investment Guarantee Agency), a branch of the World Bank Group that ensures international investors against non-commercial risks such as insurgencies, civil wars, popular uprisings, looting, etc.

The Democratic Republic of the Congo is a member of the Agency for Trade Insurance in Africa (ACA) based in Nairobi, Kenya. This international institution aims to facilitate, encourage and develop the provision or supports insurance and reinsurance, guarantees and other financial instruments for purposes of trade, investment and other producing activities in Africa. The guarantees offered may cover political and commercial risks or non-commercial risks.

The Democratic Republic of the Congo has become a full member of OHADA (Organization for the Harmonization of Business Law in Africa) since July 13, 2012. Since September 12, 2012, this modern business law in Africa entered into force in DRC. As it is known, the OHADA law is characterized by simplifying procedures in regards to business and increased legal and judicial security for investors through various mechanisms, including but not limited to a Common Court of Justice and Arbitration (CCJA), a simplified procedure of setting up a business, debt collection, a regular procedure for informing and warning shareholders.

The Democratic Republic of the Congo has signed several bilateral agreements for the promotion and reciprocal protection of investments with several partner countries including the United States of America, France, Belgium, Luxembourg, Germany, Greece, Sweden, Italy, Switzerland, China, South Korea, Republic of South Africa, Jordan, Israel, and Egypt.