How to Invest and Investment Opportunities in Angol

23rd of October 2020

 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

Core Business
Mission
Implementation of the Government Promote and Attract Private Investment
Policy for the realization of National and
Foreign Private Investment and
Promotion of Exports and Internationalization of Angolan
Promotion of Angola’s Exports
Companies

Objectives Evaluate Private Investment Proposals, Legal Process

Improve the business environment and (One-Stop Service)
facilitate the Investment process

Institutional Cooperation
 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

MACROECONOMIC INDICATORS OF ANGOLA

• Capital Luanda
• Population 29.250.009
• Surface Area 1.246.700 Km2
• Atlantic coastline 1600 kilometers
• Main languages Portuguese, Umbundo, Kimbundu and
Kikongo
• Political system Democratic Presidential Republic
• Currency Kwanza
• Religion Especially Christianity
• Member ACP, ECCAS, IMF, UN, OPEC, SADC, AU
• Inflation by 2020 24,3 %*
• GDP 2020 USD 1,8 %**

*/** www.jornaldeangola.sapo.ao/politica/oge-2020 • 2nd largest oil producer in Africa****

*** www.tradingeconomics.com • 3rd largest diamond producer by value in Africa*****
**** www.worldatlas.com/articles/top-10-oil-producing-countries-in-Africa
***** www.statista.com/statistics/1051516/african-diamond-production-by-country • 5th largest economy in Africa
ACP(The African, Caribbean and Pacific Group of States);
ECCAS(Economic Community of Central African States); 3
SADC(The Southern African Development Community)
 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

MACRO INDICATORS ANGOLA

Atlantic coastline: 1600 Km

$ 3,484.60

Member: ACP, ECCAS, IMF, UN, OPEC, SADC, AU

Source: https://www.cia.gov/library/publications/the-world-factbook (April 2020)
www.worldatlas.com/articles/top-10-oil-producing-countries-in-Africa 2nd largest oil producer in Africa
www.statista.com/statistics/1051516/african-diamond-production-by-country
ACP(The African, Caribbean and Pacific Group of States); 3rd largest diamond producer by value in Africa 4
ECCAS(Economic Community of Central African States);
SADC(The Southern African Development Community) 5th largest economy in Africa
 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

MARKET POTENTIAL
• 29.3 Million of Citizens WHY SHOULD YOU INVEST IN ANGOLA?
• GDP per capita US$ 3,484.60

• 300 Million consumers in SADC

• Replace imports with Private Investment in the priority sectors

SOCIOECONOMIC STABILITY
• Democratic Regime & Free Elections

POLITICAL WILL
• Government focused on attracting Private Investment
• New Private Investment Law 10/18
• Law of Competition
• Programs to encourage investment and diversification

CHALLENGES TO IMPROVE
• Infrastructures
• Human Capital
• Business Environment (Ranking No Doing Business)
• Productive Chains
• State support (Purchasing and Protection)

ADVANTAGES
• 50M Hectares of Forest
• 35M Hectares of Arable land (14% in Use)
• 1650 KM de Costa and Irrigation Capacity of 7.5M Hectares
• SADC, AGOA, WTO, Africa Free Trade Agreement
• Being the Pioneer (few players in the market)
• Similar soil and climate conditions - tropical
• Air Link between the two countries - (TAAG)
• Unique conditions for tourism
 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

SPECIFIC INVESTMENT OPPORTUNITIES

AGRICULTURE LIVESTOCK PRODUCTION FISHERIES

 Seed production, improved  Shipbuilding

and seedlings
 Fertilizers, pesticides
 Irrigation systems (large
pivot on the small dribs)
 Assembly units for tractors
and implements
 Poultry
 Small ruminants
 Bovinoculture
 Construction of Fisheries
 Processing and production of salt
 Aquaculture
 Exploitation of fish waste for
animal feed and agriculture

Copyright © 2017 by The Boston Consulting Group, Inc. All rights reserved.
EXTRACTION OF TOURISM
VEGETABLES PRODUCTION METALS AND MINERALS

 Iron ore  Cabo Ledo Touristic Pole

 Perennial Cultures: Corn, Beans,  Gold ore  Kalandula Touristic Pole
FOREST  House project - Okavango
Rice, Cassava, Soy and Cultures  Quartz
PRODUCTION  Campsite
traditional  Aluminum
 Industrial crops / yield:  Copper  Row of wood  Tourist Information Desk
Coffee, Cocoa, Palmares, Cashew  Manganese
and Cotton  Ornamental rocks
 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

BUSINESS ENVIRONMENT - IMPROVEMENTS

Auspicious measures and new management paradigm adopted by the angolan state as inducers
of investment attraction, improvement of the business environment and diversification of the
economy:

 Strengthening the fight against corruption and impunity

 Single investment window - speed of the procedure, in the legalization of companies
 Competition law
 New customs tariff
 Exemption/facilitation in obtaining visas
 Repatriation of dividends up to the amount of us$5 million, resulting from its activities, without the licensing of the
national bank of angola (bna)
 Bet on improving infrastructure to facilitate investment (general state budget gives priority to expenditure for the
construction of basic infrastructures - roads, power plants, transport and distribution of energy, water, telecommunications
and railways)
 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

LEGAL FRAME – PRIVATE INVESTMENT LAW 10/18

Investimennt Priority Development Investment Investor’s Jurisdictional

amount Sectors Zones Regimes Rights Guarantees

 No minimum amount of investment for private project;

 The law indicates nine (9) priority sectors and four (4) development areas
 There are currently 2 investment schemes (prior declaration and special scheme)
 A third regime, contractual regime, is being considered
 Equal rights, obligations, guarantees and tax benefits for domestic and foreign investors
 No obligation to partner - foreign investors and angolan entrepreneurs - recommendation
 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

INVESTOR’S RIGHTS
TRANSFER ABROAD

Amounts corresponding to Amounts corresponding to the
dividends product of liquidation of its
enterprises
Amounts corresponding to
compensations payable to them
Amounts corresponding to
royalties or other income from
the renumbering of
indirect investments,
associated with the transfer
of technology
 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

JURISDICTIONAL GUARANTEES

1 Access to Angolan Courts - Equal Rights for all Investors;

2 Use of alternative means of dispute resolution in relation to Private

Investment; Negotiation, Conciliation And Mediation.

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 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

PRIORITY SECTORS - BENEFITS FROM FISCAL REDUCTION

Education, technical and vocational training, higher

Agriculture, Food and Agro-industry education, scientific research / innovation

Basic sanitation, collection and treatment of solid

waste
Specialized Health Units and Services

Construction, public works, telecommunications and

information airport and railway infrastructures
Reforestation, industrial transformation of forest
resources and forestry

Textile, Clothing and Footwear

Production and distribution of electricity

Hospitality, Tourism and Leisure
 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

DEVELOPMENT AREAS A-B-C-D

• Zone A: Province of Luanda and the municipalities that shelter the

provinces of Benguela, Huíla and the municipality of Lobito; Cabinda

• Zone B: Provinces of Bié, Bengo, Cuanza-Norte, Cuanza-Sul, Zaire

Huambo, Namibe and other municipalities in the provinces of Uíge
Benguela and Huíla
Bengo
Cuanza Lunda Norte
Luanda Norte
• Zone C: Provinces of Cuando-Cubango, Cunene, Lunda-Norte, Malange
Lunda-Sul, Malange, Moxico, Uige and Zaire Lunda Sul
Cuanza Sul

• Zone D: Province of Cabinda.

Bié
Huambo Moxico
Benguela

Huíla

Namibe
Cuando Cubango
Cunene
 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

FISCAL BENEFITS PRE-DECLARATION REGIME 1 (2)

Industrial Tax (General,

Application of Capital Tax
Tax Benefits SISA Tax (2%) Agriculture, Provisory) Stamp Tax (1%)
(10%)
(30%; 15%, 2%)

Period of validity N/A 2 years 2 years 2 years

Percentage Tax Reduction 50% 20% 25% 50%

Sisa: This tax is levied on transfers of property or any right for property, real estate, capital contributions of companies,
acquisition of 75% or more in limited companies, in a collective name or in limited partnership .

Industrial: It is levied on the profits obtained in the exercise of any activity of a commercial or industrial nature, even if
accidental.

Application of Capital: It is levied on income from the simple application of capital

Stamp: It concerns all acts, contracts, documents, titles, books, papers and operations.
 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

FISCAL BENEFITS SPECIAL REGIME 2 (2)

APLICATION URBAN
INDUSTRIAL TAX
SISA TAX CAPITAL TAX PROPERTY TAX
DESCRIPTION (30%; 15%; 2%)
(2%) ( 10%) (0,5% on amount over
AKZ 5 Million)
Percentage reduction of 20% 25% N/A
50%
tax
ZONE A
Period of validity 2 years 2 years 2 years N/A

Percentage reduction of 75% 60% 60% 50%

tax
ZONE B
Period of validity N/A 4 years 4 years 4 years

Percentage reduction of 80% 75%

85% 80%
tax
ZONE C
Period of validity N/A 8 years 8 years 8 years

Percentage reduction of 92,50% 90% 82,50%

90%
tax
ZONE D N/A 8 years 8 years 8 years
Period of validity
 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

INVESTOR GATEWAY – NEW SERVICES

• The investor’s key to access the Angolan market;

• To facilitate the process of implementing and offer support to investment projects;

• To assure compliance with the deadlines for the execution of projects within the program
schedules;

• To appoint a key account manager for each project;

• To offer a range of services to investors.

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 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

SETIP - PRIVATE INVESTMENT ELECTRONIC PROCESSING SYSTEM

SETIP is an electronic tool to submit private investment proposals and facilitate the interaction
between investors and public administration bodies involved in the private investment approval
procedure

1 - Submit investment proposal from any point of the globe, 24/7

2 - Fill in the application in stages and submit only when the investor wishes

3 - Correct/update the application without visiting the offices of AIPEX

4 - Track the process of registration of the proposal online

5 – To be notified via email on the status of the application

6 - Access the services provided by AIPEX

 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

RWANDA MACRO INDICATORS

Source: https://www.cia.gov/library/publications/the-world-factbook (April 2020)

www.worldatlas.com/articles/top-10-oil-producing-countries-in-Africa
www.statista.com/statistics/1051516/african-diamond-production-by-country
ACP(The African, Caribbean and Pacific Group of States);
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ECCAS(Economic Community of Central African States);
SADC(The Southern African Development Community)
 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

SETIP - PRIVATE INVESTMENT ELECTRONIC PROCESSING SYSTEM

RWANDA AT GLANCEE
MAIN ECONOMIC SECTORS:

AGRICULTURE -
90% of the
workforce employed
BANANA, MANIOC, BEANS, TEA AND COFFEE.

INDUSTRY TEXTILES, FOOD, BEVERAGES, TOBACCO AND PETROCHEMICALS.

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 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

TOP COMPANIES IN THE REPUBLIC OF RWANDA*

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*Source: The New Times
 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

TRADE BALANCE
ANGOLA
ECONOMIC EXPORTS IMPORTS TRADE BALANCE
PARTNER 2018 2018 2018

REPUBLIC OF 246.000,00 USD 0,00 usd 246.000,00 USD

RWANDA

TOP PRODUCTS ANGOLA TOP PRODUCTS RUANDA

EXPORTED TO RWANDA 2018 EXPORTED TO ANGOLA 2018 Rwandan exports are
concentrated in gold (65.6%),
ore (7.91 %) and coffee
• Machinery (6.85%). Imports consist
basically of furniture (6.03%)
and distribution equipment
(4.76%).

Only 2 investment projects (in the Trade and

Industry sectors) of Rwandan origin have been
approved by AIPEX, and are valued at USD
2,295,000.00.
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Source: http://www.agt.minfin.gov.ao/PortalAGT/#!/servicos/estatisticas
 ANGOLA’S EXPORT MARKETS
SECTOR PRODUCTS POTENTIAL EXPORT MARKET
Horticulture
Democratic Republic of Congo, Namibia, Republic of Congo, Poland
(Sweet Potato, Onion, Watermelon, Lettuce)
Coffee Egypt, Argentina, Malaysia, Germany, EU, South Africa, UAE
Democratic Republic of Congo, Republic of the Congo, Panama &
Honey
United States of America, EU, UAE
AGRICULTURE & FORESTRY United States of America, Democratic Republic of Congo, EU, South
Tropical Fruit
Africa, UAE
USA,
Wood Mozambique, India, China, Vietnam, Turkey, Hong Kong, Cuba, EU,
Ethiopia, Japan, South Korea and Namibia, UAE
Organic Fertilizer (Bat Guano) South Africa, Congo, DRC
Ornamental Rocks EU & Asia, UAE
GEOLOGY & MINING
Pearl and precious stones India, UAE
Guinea-Bissau, Equatorial Guinea, DRC, Ivory Coast,
Beverages Mozambique, EU, Namibia, Singapore, Panama, Malta, Argentina,
United Kingdom, China, South Africa
INDUSTRY Cement DRC, Republic of the Congo, São Tome e Pricipe, Cape Verde, Zambia
Burkina Faso, Benin, DRC, Republic of Congo, Ivory Coast,
Glass
Madagascar, Guinea-Bissau, Mali, Niger, Senegal, Togo
Malaysia, Portugal, Guinea Conakry, Hong Kong, Namibia, Netherlands,
Fish, Seafood & Shellfish
DRC
FISHERY Iodized Salt DRC, Republic of Congo
Fish's Flour Turkey, Namibia, South Africa
Telecommunications Brazil, Portugal, South Africa, USA, Senegal and China
SERVICES Tourism Portugal, South Africa, USA, Germany,
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EU
Transports Namibia, DRC, Congo, Zambia
 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS
AGÊNCIA DE INVESTIMENTO PRIVADO E PROMOÇÃO DAS EXPORTAÇÕES

REGISTERED PROJECTS OF RWANDAN ORIGIN

Sectores de Actividade Valor de Investimento

Ano de Aprovação N.º de Projectos Aprovados

Comércio 250.000,00 USD

1996 1

Indústria 2.045.000,00 USD

2019 1

TOTAL 2.295.000,00 USD

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 AGENCY FOR PRIVATE INVESTMENT AND PROMOTION OF EXPORTS

COOPERATION AREAS TO EXPLORE

• Cooperation on administrative and urban organization (2nd country in Africa that receives
the most international conferences due to its - conference zone)

• Education

• Tourism / Tourism Management (Rwanda knowledge/expertise and services – Ecotourism)

• Agriculture Management (coffee, tea)

• Flight connections – Direct connection through TAAG

• Export of Angolan products - fruits, vegetables, wood, fish, seafood & shellfish, salt,
construction materials
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“AIPEX WORKING TOWARDS THE DIVERSIFICATION OF THE
ANGOLAN ECONOMY”

THANK YOU!

geral@aipex.gov.ao

www.aipex.gov.ao