Why Senegal?
Welcome to Senegal, the Gateway of Africa, the Trade Hub of West Africa. Located at the most western point of Africa, Senegal extends over an area of around 200,000 square km; bordering Mauritania, in the north, Mali in the East, Guinea Conakry, in the South East and Guinea-Bissau, in the Southwest. The Gambia and Ivory Coast are Senegal's other near neighbors’.
With a Senegalese spirit and a French soul, Dakar is unlike any other city in Africa. Situated on the most western point of Africa, Dakar is home to a rich African heritage fused with European culture and traditions. Everything from pristine beaches to amazing nightlife with a vibrant music and art scene are waiting to be discovered.
Senegal is prominent member of Economic Community of West African States
(ECOWAS-CEDEAO), a market of 200 million consumers of 15 member states.
Capital and port city: DAKAR. Foreigners constitute about 5% of the population. They are particularly present in the capital, Dakar, where they are involved in trade, industry and service sectors as well as in international organizations
Reduction of tariff rates: Under the cover of the WAEMU, broad-based tariff reform has been implemented in 1999 (So called common external tariff),the number of tariff categories were reduced from 7 to 4, since 2000, there remain only 4 statutory tariff rate set at 0,5,10 and 20%. The 5% customs statistics duty has been replaced by 1 percent statistical tax on all imports. As a result of tariff reform, the average tariff rate has halved from 24 to 12 percent. Most trade within the WAEMU is free of duties.
Regional integration: Senegal is member of the West African Economic and Monetary Union
(WAEMU-UEMOA)*.
- An economic union of 8 West African States with same currency: Benin, Burkina Faso, Ivory Coast, Guinea Bissau, Mali, Togo, Niger and Senegal.
- A market of 60 million consumers based on free movement of people, goods and services.
- A market based on a common trade policy with the common external tariff (CET)
- A regional stock market,
- And the Economic Community of West African States (ECOWAS-CEDEAO), a market of 200 million consumers of 15 members states.
Multilateral trade agreements and WTO principles:
Senegal is a prime location offering preferential access to:
- The European Market (EU-ACP agreement)
- The US market -AGOA (Africa Growth and Opportunity Act)
Africa Growth and Opportunity Act (AGOA) - It provides beneficial countries in Sub Saharan Africa with the most liberal access to the U.S. market available to any country or region with which Senegal doesn’t have a Free Trade Agreement.
- Reinforces African reform efforts,
- Provides improved access to US credit and technical expertise, establishes a high-level dialogue on trade and investment in the form of U.S.-Sub-Saharan Africa Trade and Economic Forum.
In additional to the 'Traditional' guarantees offered to investors (free transfer of funds and profits (100% repatriation of profits by expatriates), no discrimination between nationals and foreigners, and no limitation on employing expatriates), the incentives provide:
- An import duty exemption on equipment required for investment programs and fiscal advantages during operational phase,
- Additional specific advantages for SME's , for firms developing local resources, firms promoting technological innovation and firms located outside Dakar,
- For industrial and agricultural enterprises which export at least 80% of their production, advantages such as:
- exemptions of customs duties and stamps for production and transportation equipment,
- exemptions for wages taxes: business license taxes, land tax and all registration and stamp duties, corporate tax at the rate of 15%.
