CÔTE D'IVOIRE: An Introduction

West Africa can be divided into two zones: an English-speaking one (led by Nigeria) and a French-speaking one (to which Côte d’Ivoire is the gateway). The French-speaking states of West Africa, which share a common currency (the Franc of the Financial Community of Africa, or FCFA) and a common central bank, are state members of the West African Economic and Monetary Union (WAEMU).

Côte d’Ivoire’s GDP – estimated by the World Bank at more than USD70 trillion in 2021 – represents more than 40% of the GDP of the WAEMU. Since 2012, the country has steadily recorded an annual growth rate of more than 7% (with a doubling of per capita income to USD2,287 in 2020). This gives some indication as to the acceleration of its development during the past ten years.

Business Opportunities 

From agriculture to agro-industries 

Renowned for being the world’s leading producer of cocoa beans since 1980 (ahead of Ghana and Brazil), Côte d’Ivoire is also the world’s leading producer of rubber, cashew nuts and cola. Agriculture is thus one of the key activities in the country’s success story.

The National Development Plan 2021–25 (the “NDP 21–25”) plans on agricultural product transformation through the creation of nine agricultural growth poles (“agro poles”) in the different regions of the country. Each agro pole is oriented towards two or more high added-value agriculture products. The local processing of agricultural production is now one of the authorities’ top priorities.

On this basis, Côte d’Ivoire is also accelerating the transformation of its economic structure, particularly through the industrialisation and development of other sectors of economic growth. As a result, new business opportunities will emerge in the agro-industrial sector through the cultivation, processing and distribution of products.

Transformation of the economy’s structure 

The goal of the NDP 21–25 is to structurally transform the Ivorian economy in all sectors of economic growth (eg, animal and fisheries resources, mining and hydrocarbons, crafts and culture, tourism, and leisure).

Following our experience of the past ten years, this structural transformation will be pursued in partnership with the private sector – as was the case with the ambitious programme of infrastructure development (eg, bridges, highways, metro, stadiums and others) that began in 2011. Most of these projects have been developed within the legal framework of PPPs through project delivery models such as build–operate–transfer (BOT), design–build–operate (DBO) or design–build–finance–operate (DBFO).

Energy and renewable energy 

To support this industrialisation, rapid development is necessary in the energy and renewable energy sectors.

Indeed, the 2,229 MW installed in 2019 – thanks to projects implemented to increase electricity production – must be completed, given that Côte d'Ivoire provides energy to its sister countries. This is also the case for the “Baleine”, which is an oil and gas field (block CI-101) with estimated volumes of 2 billion barrels of crude oil and 2.4 billion cubic feet of natural gas that was discovered offshore near Assouindé (82 km south-east of Abidjan) in August 2021 by the Italian company ENI.

Infrastructure, roads and construction 

According to officials, from 2011 to the end of 2019, 3,894 km of roads (including unpaved roads) and about 20 bridges were built for an investment of more than FCFA3,000 billion (equivalent to USD4.9 billion). As for the paved road network, it has increased from 6,500 km of roads in 2011 to more than 7,500 km in 2022 (ie, more than 1,000 km of paved roads, in addition to the 2,000 km of roads under construction).

The construction of the Grand-Bassam highway (40 km south-east of Abidjan) as part of the Abidjan–Lagos (Nigeria) sub-regional corridor project should also be noted – along with the northern highway, which is also being extended to connect Abidjan to Ouagadougou in Burkina Faso.

The appearance of the economic capital (the city of Abidjan) has been changed by the delivery of major infrastructures such as the HKB Bridge, the Ivorian–Japanese Friendship Interchange, and the interchanges of Cocody and Marcory. Other important infrastructures are under construction, including the Boulevard Valery Giscard d'Estaing Interchange, the Riviera–Marcory Viaduct, Cocody Bay and its marina, and the Cocody Bridge. Likewise, the Abidjan metro is under construction and the stadiums for the next African Cup of Nations will be delivered soon.

In addition to the structuring projects already allocated, many others are planned by the NDP 21–25. Therefore, investors have many upcoming opportunities to seize in this sector.

Business Climate 

Business climate improvements 

Owing to an awareness of the importance of the business climate, Ivorian authorities are continuing their efforts in areas identified as critical for business by: 

  - improving the security environment with fight against businesses unjustified additional costs; 

  - improving and reinforcing the efficiency of the public administration; and

  - improving the institutional and operational framework for the economic activities exercise.

Business climate backlashes 

Unfortunately, there have been some backlashes. The time to set up a company, which used to vary from 48 hours to five days, has increased to months ever since this activity was exclusively entrusted to the Guichet Unique de l’Investisseur (One-Stop Investor Centre) hosted by the Centre de Promotion de l'Investissement en Côte d'Ivoire (CEPICI).

Furthermore, the latest reform of the Investment Code (resulting from Ordinance No 2019-1088) has made the Investment Code less attractive for investors by introducing the tax credit as a replacement for tax exemptions or reductions in some cases.

Finally, the Commercial Courts are supposed to offer rapid and efficient justice to investors and economic operators. However, they are struggling to achieve these objectives, owing to a lack of suitable infrastructure and sufficient material resources, as well as lacking the staff necessary to deal effectively and seriously with the large volume of litigation that is brought before them. In addition to these issues that must be urgently addressed, it should be stressed that specialised and specific training is necessary for all those involved in running these courtd.

These challenges do not call into question the attractiveness of the economies of Côte d’Ivoire and other French-speaking West African countries to investors who are looking to invest in the fastest-growing markets in Africa and what is currently the most dynamic and promising business place in the world.