According to the most recent report of the United Nations Conference on Trade and Development (UNCTAD) published on Wednesday, June 7, 2017, foreign direct investment (FDI) to Africa fell by 3% in 2016 to 59 billion of dollars.
Flows were mainly captured by five countries: Angola, Egypt, Nigeria, Ghana and Ethiopia. According to the report, FDI to Egypt increased 17 percent last year to $ 8.1 billion.
These flows boosted the performance of the North African region to $ 14.5 billion in FDI, up 11%.
The UNCTAD report highlights the efforts of the Tunisian government to attract more foreign capital.
“The government has passed a new law that eliminates taxation on profits for any major investment project for 10 years.
That legislation also facilitates the transfer of capital outside the country to foreign investors, which measures should make it possible to attract more foreign investment in the country, “the report said.
UNCTAD is however more optimistic about 2017. The report estimates that FDI is expected to pick up in 2017. “Although the least developed countries are able to attract more FDI in the manufacturing and services sectors, oil and gas will remain the most attractive in the future, “UNCTAD said.
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