DR Congo :: SADC Investment Portal

DR Congo

Country Profile

Flag_of_the_Democratic_Republic_of_the_Congo_SADCWebsite.jpg The Democratic Republic of the Congo (DRC), located in Central Africa, is the second-largest country on the continent measuring 2 345 410 km². The Country is in the heart of Africa located on the Equator. It is surrounded by 9 neighbouring countries: Central African Republic, South Sudan, Angola, Zambia, Republic of Congo, Enclave of Cabinda, Uganda, Rwanda, Burundi, and Tanzania.

With a population of over 102 million, the DRC is culturally diverse and rich in natural resources. The economy relies heavily on the mining sector, with abundant reserves of cobalt, copper, and diamonds.

Official Name	Democratic Republic of the Congo (DRC)
Political system	Semi-presidential
Form of State	Unitary and highly decentralized
President	Son Excellence Felix Tshisekedi
Capital	Kinshasa (City-Province)
Population (2023)	102,262,808
Time Zone	GMT +1, Kinshasa and Mbandaka time GMT +2, time of Lubumbashi, Kisangani and Goma
Official Languages	French (business official), Lingala, Tshiluba, Swahili and Kikongo
Measures	Metric System
Currency unit	Congolese Franc (CDF)
Currencies used in business transactions	Free circulation of all foreign currencies with the Congolese Franc
GDP (current US$) 2022	64.72 billion (World Bank)
GDP growth % 2022	8.9 (World Bank)
GDP/Capita 2022	657.3 USD (World Bank)
Volume of FDIs entering in 2022	USD 1.846 billion USD (UNCTAD World Investment Report 2023)
Internet penetration rate in 2021	26 %
Mobile telephone penetration rate in 2023	52,70 %
Number of Commercial Banks in 2023	15

Geographical Overview

DRC has 80 million hectares of arable land and 4 million hectares of irrigable land and a fishing potential of 700,000 tons of fish per year. Democratic Republic of Congo has an important hydrographic network covering about 77,810 km², including the Congo River (about 4,320 km long), lakes and rivers constituting about 52% of the total surface area of water reserves on the African continent.

The Congo River represents a very important hydrographic potential, with a basin of nearly 3.75 million Km², which places It in 2nd position in the world, just after the Amazon. It is also the second longest river in Africa after the Nile and the fifth longest in the world (after the Nile, the Amazon, the Mississippi and the Gyang-Tse). The flow of the Congo River is regular and powerful (40,000 m3/d) due to its proximity to the Equator.

The availability of renewable water resources is estimated at over 300 billion m3 per year. The DRC not only abounds in splendid sites (1,156 sites), a majestic river dotted with numerous tributaries, with escarpments and numerous waterfalls, an Atlantic coastline (+ 40 km), lakes, but also an important and diversified tourist potential due to its biodiversity, the predominance of reliefs (volcanoes), its climatic variety and its important ethnic and cultural diversity (+ 400).

In addition, the DRC has about 1000 forest species, 480 species of mammals, 1139 species of birds, 13,000 species of fish, 350 species of reptiles, 220 species of amphibians and more than 11007 angiosperms which allow it to occupy the 5th rank of the mega biodiversity in the world. Some of the nine national parks in the DRC are on the World Heritage List, including Virunga National Park, Garamba National Park, Kahuzi-Biega National Park and Salonga National Park.

Economic Overview

DRC Real GDP grew by 8.9% in 2022 World Bank), up from 6.2% in 2021 due to momentum in the extractive sector (which grew 20.8%) and recovery in the non-extractive sector (which grew 3.2%), driven by services. Economic growth was driven on the demand side by robust exports (which grew 23.8%) and investment (which grew 18.6%), despite a global energy crisis. Inflation reached 9.1% in 2022 due to high food and imported energy prices.

The Democratic Republic of the Congo (DRC) has a diverse yet challenging economy. The country possesses immense natural resources (1,100 minerals), including cobalt, copper, diamonds, nickel-chromium, tin and gold, making the mining sector a significant contributor to GDP. Agriculture, though promising, remains largely subsistence-based.

Legal and Political System

DRC's Constitution, approved by referendum in 2005, establishes a:

Unitarian republic;
Multi-party-political system;
Separation of powers between the government, the parliament and the judiciary.

The Democratic Republic of the Congo is a semi-presidential republic. The President is directly elected through a First-Past-the-Post (FPTP) system for a 5-year term that is renewable only once. The Prime Minister is appointed by the President, usually from the majority party or coalition in the National Assembly.

Further, it has bicameral parliament composed of the National Assembly) and the Senate. In the Senate 108 members are indirectly elected by provincial assemblies through an open-list proportional representation system to serve 5-year terms. In the National Assembly (Assemblée Nationale), there are 62 single member constituencies and 438 multi-member constituencies. In single-member constituencies, the winner is decided by simple majority via FPTP. In multi-member constituencies (two or more seats), a single vote is cast for open proportional representation lists. All members of the National Assembly serve 5-year terms.

The DRC legal system is based on civil law and is comprised of independent courts and tribunals including:

The Constitutional Court;
The Council of State (Conseil d’état);
The Court of Cassation;
Appeal courts;
Tribunals.

Why Invest in DR Congo?

a) Availability of a Huge Consumer Market

DRC has the largest resource portfolio in the world and a population close to 102 million people which comprises of a young, skilled and growing population, who offer significant potential for labour. Further, its strategic geographic position favours the expansion of its market to the 9 neighbouring countries with around 250 million potential consumers.

b) Member to Trade Agreements

DRC is a member to several trade agreements which gives goods origination from the region preferential trade preferences. For example, in 2021 the DRC government became eligible for preferential trade preferences under the Africa Growth and Opportunity Act (AGOA). DRC also has bilateral trade agreements with over 50 countries and is a member of several regional economic blocks, including the Southern African Development Community (SADC), the Common Market for Eastern and Southern Africa (COMESA), the Economic Community of Central African States (ECCAS), and the Economic Community of the Great Lakes Countries (ECGLC), World Trade Organization, Nile Basin Initiative (NBI), Communauté Economique des Pays des Grands Lacs (CPGL) and Organization for harmonization of the business law in Africa (OHADA).

c) Investment Guarantees

The Constitution and Investment code provides for the following guarantees to investors wishing to invest in DR Congo:

Protection of Individual or collective property rights acquired by an investor;
No nationalization or expropriation except in the public interest and upon payment of just and fair compensation;
Equal treatment of all investors, national and foreign;
Freedom to transfer abroad dividends and generated income, royalties, principal, interest and related charges;
Non-withdrawal by a subsequent provision of the guarantees and benefits granted.

DR Congo is also a member of ICSID (International Centre for Settlement of Investment Disputes) which provides means of conciliation and arbitration to settle investment disputes between contracting states and nationals of other contracting states.

Further DR Congo is party to MIGA (Multilateral Investment Guarantee Agency) and ACA (African Trade and Insurance Agency) which covers risks incurred by foreign direct investors and domestic investors including commercial risks.

The New York Convention, which DR Congo is party to allows for the recognition and enforcement of Foreign Arbitral Awards. It also emphasizes the resolution of disputes arising from commercial relations through arbitration, given its speed, neutrality and efficiency.

d) Availability of Mineral Resources

The Democratic Republic of Congo is extremely rich in precious minerals and has an estimated US$24 trillion in untapped deposits of raw minerals, including the world's largest reserves of cobalt (60% of known reserves) and significant quantities of diamonds, gold and copper.

e) Single Window for Business Registration

DRC government has created a “one-stop shop” for foreign investors, the Guichet Unique (https://www.guichetunique.cd/), brings together all the government entities involved in the registration of a company in the DRC.

National Agency for Investment Promotion (ANAPI)

The National Agency for Investment Promotion (ANAPI), provides investment facilitation services for initial investments over $200,000 and is mandated to simplify the investment process, make procedures more transparent, assist new foreign investors and improve the image of the DRC as an investment destination.

As part of the facilitation, ANAPI provides various services to investors before, during and after their establishment.

These services include:

Accompaniment in Kinshasa and provinces in prospecting mission;
Facilitations to investors seeking land (premises) and connection to water and electricity network;
Assistance in obtaining settlement visas;
Support to obtain special licenses (mines, banks, telecommunications, air transport, etc.);
Support for the setting up of companies;

Granting of customs, fiscal and para-fiscal benefits;
Customs, fiscal and para-fiscal benefits;
Advocacy with state departments;
Information on tenders issued by the Government;
Intervention in case of difficulties with the Congolese authorities

Incentives

a) Investment Code Benefits

The Investment Code provides for attractive customs and tax exemptions for the benefit of investors who present to ANAPI their investment projects (business plan), once the project is approved by ANAPI within a period not exceeding 30 days, the investor benefits from the customs, tax and parafiscal advantages hereafter:

Exemption from import duties and taxes on machinery, materials and equipment (excluding the administrative tax of 2% and VAT (to be paid upstream by the promoter, but to be reimbursed by the Tax Administration);
Exemption from corporate income tax;
Exemption from property tax;
Exemption from proportional rights when creating SARLs or increasing their share capital;
Exemption of entry fees for equipment and materials.

The duration of the advantages granted is 3, 4 or 5 years depending on the economic region where the investment is located:

3 years: economic region A (Kinshasa, the Capital);
4 years: economic region B (Bas-Congo, cities of Lubumbashi, Likasi, Kolwezi);
5 years: economic region C (everywhere else).

The conditions for accessing the benefits of the Investment Code are as follows:

Constitute an economic entity under Congolese law;
The overall cost of the planned investment (all expenses included) must be at least USD 200,000 (or at least USD 10,000 for SMEs);
Commitment to respect environmental regulations;
Commitment to comply with labour regulations;
The investment must guarantee a rate of added value of at least 35%.

b) Special Economic Zones Benefits

Decree n° 20/004 of 5 March 2020 of DRC, provides for the benefits granted to investors operating in the Special Economic Zones in the DRC. These include:

For Planners

Total exemption from property, furniture and business tax on profits for 10 years, renewable once after evaluation;
50% reduction of the tax rate set from the 21st year;
Total exemption from import duties and taxes on machinery, tools and equipment, new or used, capital goods for 10 years;
Total exemption from personal income tax for 10 years renewable once after evaluation.

For Companies

Total exemption from property, furniture and business tax on profits for 5 years, renewable once after evaluation;
50% reduction of the tax rate set from the 11th year;
Application of the exceptional depreciation system;
Total exemption from import duties and taxes on machinery, tools and equipment, new or used, capital goods for 10 years;
Exemption from export duties and taxes on finished products for 10 years.

c) Agricultural Law

Law No. 11/022 of 24th December 2011on the fundamental principles relating to Agriculture

Incentives

Expenses related to the maintenance of the section of road linking the farmer's concession to the public highway are deductible from the taxable base;
Farmers benefit from a preferential rate in the consumption of water, electrical energy and petroleum products;
The consumption for farming purposes of water and energy produced by the farmer himself is exempt from all duties and taxes;
The industrial farmer is allowed to set up a tax-exempt provision not exceeding 3% of the turnover of the financial year for the rehabilitation of arable land, the prevention of major risks and agricultural disasters. This provision shall be used within two years; failing this, it shall be reintegrated into the taxable base of the year following the expiry of the period defined above;
With the exception of administrative charges, imported agricultural inputs intended exclusively for agricultural activities are exempt from import duties and taxes;
Agricultural products are exempt from export duties and taxes;
Fees and charges for services rendered by public bodies operating at border crossings may not exceed 0.25% of the value of the exported products;
Built-up and unbuilt areas used exclusively for farming are exempt from property tax;
Exemption from tax of all rolling stock used exclusively for farming.
The benefits granted under the Agricultural Code extend throughout the duration of the agricultural project.

Law No. 14/023 of July 07, 2014 laying down the rules relating to the conditions and modalities of rescue of the industrial enterprise in difficulty

Total exemption on import of inputs, except for the relevant administrative fee;
Total exemption from import duties and taxes for new machinery, tools and equipment, spare parts of first endowment not exceeding 10% of the CIF value of the said equipment;
Application of declining balance depreciation, the rate of which is determined in the programme contract, for capital goods acquired;
The duration of the benefits granted under this Act shall be one year.

Law No. 13/005 of 11 February 2014 on the tax, customs, parafiscal, non- tax revenue and exchange regime applicable to collaboration agreements and cooperation projects

Exemption from national, provincial and municipal taxes, duties, levies, fees, direct or indirect, domestic, import or export;
Suspension of the collection of customs duties and value added tax on the import of capital goods, equipment, tools and spare parts intended exclusively for the production of electrical energy;
Suspension of the collection of customs duties and value added tax on the import of electrical energy;
Payment of a 1% export duty on electrical energy.

d) Electricity Incentives

Decree No. 18/054 of December 27, 2018 on tax and customs relief measures applicable to the production, import and export of electrical energy

Electrical energy, capital goods, equipment, tools and spare parts imported and intended exclusively for the production, transmission, distribution and marketing of electricity as well as for the exploitation of solar energy and any other renewable energy source are subject to the tariff of import and export duties and taxes instituted by Ordinance-Laws No. 011/2012 and 012/2012 of September 21, 2012;
By way of derogation from the above-mentioned provisions, the following electrical energy and goods shall benefit from the suspension of the collection of customs duties and import VAT:

- Imported energy to ensure the public service of electricity and to cover the needs of local industry;
- Materials, equipment, tools as well as spare and replacement parts imported and intended for the development and maintenance of the infrastructure of the activities of production, transmission and distribution of electrical energy defined by Law No. 14/011 of June 17, 2014 on the electricity sector;
- Materials and equipment for saving electrical energy, especially reactive energy compensation equipment, harmonic filters and electrical energy meters;
- Materials and equipment for the exploitation of solar energy and those adapted to other renewable energies;
- Inputs intended for the manufacture and local assembly of the materials and equipment concerned by this decree;
- The export of electrical energy is subject to the payment of customs duties at the rate of 1%;
- In addition to the advantages guaranteed by the Investment Code, the suspension of VAT collection is granted to the sale of the above materials and equipment produced locally;
- Duration of benefits: 4 years renewable, if necessary, after evaluation, except for the import and export of electrical energy, which is 5 years.

e) Incentives for Entrepreneurship and Startups

Ordinance Law No. 22/0030 of September 8, 2022 on the promotion of entrepreneurship and start ups

Micro, small and medium enterprises and start-ups benefit from all the tax advantages provided for by the tax legislation in force and by the investment code;
Without prejudice to the tax legislation in force, the public authorities shall implement, over time and in accordance with conditions to be defined, the appropriate incentives, particularly in the area of taxation and the business climate:

Total or partial exemption to the payment of charges for water consumption, electricity and internet provided by the public sector;
Total or partial exemption from taxes, duties and various taxes for the benefit of entrepreneurs or start-ups incubated in the training and coaching infrastructures;
Tax amnesty, for one year following the entry into force of this Ordinance-Law, for the benefit of micro, small and medium-sized enterprises and start-ups in the informal sector that have made an irrevocable formal commitment to migrate from the informal to the formal sector;
Introduction of moratoriums on the payment of taxes on the profits and earnings of micro, small and medium-sized enterprises and start-ups;
Simplification of tax and non-tax procedures;
Establishment of Single Tax Counters throughout the country;
Tax relief for micro, small and medium-sized enterprises and start-ups.

f) Mining Incentives

Law n°18/001 of March 09, 2018 amending and supplementing law n°007/2002 of July 11, 2002 on the mining code

Goods and equipment used exclusively for mining purposes prior to the actual mining operation are subject to a 2% tax;
Equipment entry fee of five percent rate;
Fuels and lubricants for mining activities: 5%;
All intermediate products and other consumables: 10% DDI;
The benefit of the privileged customs regime at the preferential rate in case of importation in the framework of extension works, provided that the production capacity of the mine or of the processing entity and/or of the approved transformation in question is increased by at least 30% and for very precise and limited works (Art 233);

Exemption from customs duties and other taxes on exports;
Exemption from customs duty on the export of samples intended for industrial analyses and tests on the condition that the export tax is paid by the exporter;
Exemption from tax on vehicles used exclusively within the mining perimeter;
Exemption from property tax on interest paid by the holder to affiliates under loans contracted in foreign currencies abroad, provided that the interest rate does not exceed the annual average of the effective rates charged by credit institutions in the country where the lending company is established according to data provided by the Central Bank of Congo;
10% property tax must be paid on dividends and other distributions paid to shareholders by the holder.

g) Collaboration Agreements and Cooperation Projects incentives

Law No. 13/005 of February 11, 2014 on the tax, customs, parafiscal, non-tax revenue and foreign exchange regime applicable to collaboration agreements and cooperation projects

Exemption from taxes, duties, fees, customs duties and royalties. Linked to the convention and cooperation projects;
Exemption from import duties and taxes;
Duration: These benefits are granted for the duration of the project.

Investment Opportunities

The Democratic Republic of the Congo (DRC) offers substantial investment opportunities across various sectors.

a) Mining

The mining industry, abundant in cobalt, copper, tin, nickel-chromium, diamonds, and gold, presents avenues for exploration, extraction, and value-added processing projects. Other opportunities entail:

Setting up of processing units of the transformation of mining products;
Setting up of diamond hewing, gold refinery and tin ores smelting;
Existence of geological research zones for exploration works and development of deposits and convincing indices of cassiterites, wolfram, coltan, gold, diamond and copper.

Note: Prospecting is open to investors through a certificate issued by the Mining Registry.

b) Agriculture

The agricultural sector holds potential for investment in commercial farming, agribusiness, and food processing. Specific opportunities entail;

Fish farming;
Production of fertilizer, herbicides, pesticides, and fungicides;
Farm equipment leasing and financing;

Development of Agricultural industrial parks;
Commercial farming in of maize, manioc, rice and soya;
Value addition industries in coffee, cocoa, tea, cinchona, rubber, sugar, pam oil, cattle and poultry.

c) Energy

The DRC immense energy potential consists of non-renewable resources such as oil, natural gas, uranium, and renewable energy sources including hydroelectric, biomass, solar, wind, and geothermal power. The government’s vision is to increase the level of service up to 32% in 2030.

The Congo River, which is the second largest river in the world with its basin astride the Equator provides an energy potential estimated at 100,000 MW spread across 780 sites in 145 territories and 76 000 villages. This potential represents approximately 37% of the African overall potential and about 6% of the global potential.

Of the total installed capacity in DRC estimated at 2,516 MW, Societe Nationale d’Electricite (SNEL) has a generation capacity of about 2,416 MW or 96% of Hydroelectric power which accounts of domestic power generation and is generated by the Inga I and Inga II dams that are located in Kongo Central province. Current production is only 6,000 to 7,000 Gwh.

Investment opportunities entail:

Construction of hydroelectric dams;
Construction of 4 Pan African energy;
Construction of hydroelectric plants Wanie of Rukula (688 MW) of Sombwe (186 MW) of Kalengwe (204 MW), Kamimbi / FUTA (53 MW), and Nepoko (400 Mw);
Rehabilitation and modernization of G16 and G13 groups of Inga I and G24 Inga II;
Construction of Inga III low head (4800 MW);
Construction of Inga III high head (3000MW);
780 hydroelectric sites identified for construction of hydroelectric power plants;
Production Potential estimated at 44000MW;
Transportation, Distribution and Marketing potentials.

d) Forestry

Opportunities entail:

Investment in Agro forestry;
Development of production industries for paper pasta;
Industrial transformation of wood: sawing, cutting, plywood, beam and rafters;
Production of wooden poles for electric lines;
Production and transportation of logs.

e) Tourism Sector

DRC offers a wide range of tourist attractions in different provinces ranging from the seaside to the safaris and cultural structures. Wildlife reserves, indigenous cultures, and geological wonders makes it a perfect country for those who seek to connect to nature and mankind.

Opportunities include:

Rehabilitation and construction of hotels, restaurants, protected areas and other touristic infrastructure;
Designing new touristic sites;
Modernization of national parks and joint management opportunity;
Development of eco-tourism;
Construction of hotel in the Virunga Park and a tourist site;
Rehabilitation of the botanical EALE Botanical Garden in Equator;
Creation of fluvial boating touristic transportation;
Creation of a marina, lakeside transportation and hiking;
Setting up of a cable car in the Virunga Mountains and in the volcanic site with accommodation and catering;
Creation of seaside resorts with beaches, shoreline access and camping equipment.

f) Banking and Finance

DRC’s banking system is comprised of the BCC and 15 commercial banks as well as savings/credit cooperatives, microfinance institutions, financial transfer services, and one development bank, SOFIDE. A postal checking system and several credit cooperatives exist.

Opportunities abound in:

Creation of business specialized banks: development bank, settlement bank, farming bank, etc;
Creation of a structured financial market;
Creation of micro-finance institutions in the countryside, where more than 70% of the population live are excluded from the formal banking system;
Setting up leasing company;
Creation of insurance companies, reinsurance, health insurance and intermediary in private insurance.

g) Transport and Infrastructure Sector

Opportunities entail:

Development of a new public transport policy joining efficiency / profitability and social and setting up incentives to attract private investment in the sector, particularly in mass transport systems such as urban train, tramway and urban river transport;
Improvement of the state of urban roads to reduce the cost of depreciation of vehicles and fluidity traffic;
Increase the automotive cartage of public transport portfolio companies;
Encourage private operators to invest in the sector through public-private partnerships, particularly in mass transport systems;
Strengthening the capacity in rolling stock and spare parts of public carriers with around 1,500 buses in 5 years, at a rate of 300 buses per year;
Create a national fund to promote public transport, funded by the toll roads and some public car parks in major cities;
Rehabilitate and modernize the SCTP urban train and ports;
Establish urban river transport system of the SCTP to ease surface transport;
Extending the railway Kin-Matadi until Banana for the implementation of the deep-water port, etc;
Construction of a deep-water port at Banana;
Construction of railroads, including the Banana-Matadi-Kinshasa- Ilebo railway;
Modernization of SNCC railroads;
The modernization and equipment of the maritime ports of Matadi and Boma.

Starting a Business

Forms of Business

According to the provisions of Article 6 of the Uniform Act of 30 January 2014 relating to the law on commercial companies and economic interest grouping, the legal forms of companies recognized in the DRC are as follows:

Establishment (or sole proprietorship or individual trader);
The Limited Liability Company (SARL);
The Public Limited Company (SA);
The Simplified Joint Stock Company (SAS);
Collectively Owned Company (SNC);
The Limited Partnership (SCS);
The Economic Interest Grouping (EIG).

Business Registration Process

Any investor, who would like to create their company in the DRC, saves time by contacting the Single Window for business creation.

a) Documents to be Filed with the "Single Window for Business creation" (www.guichetunique.cd) are as follows:

Corporate Entity

Letter of request for the creation of a company addressed to the Managing Director of the Single Window;
Articles of Association of the company in 4 copies + the electronic version of the articles of association for publication in the Official Journal;
Specimen of the manager’s signature (plus the photocopy of the validity of the visa in case the manager is a foreigner);
Declaration of subscription to and payment of the share capital;
Proof of payment of the share capital (Paying-in slip or Certificate issued by a banking or micro-finance institution duly approved in the State Party of the registered office). For the Limited Liability Company (SARL), there is no requirement for the amount of the minimum capital even though the nominal value of the contributions should not be less than the equivalent of FCFA 5,000 each (USD 10);
For the Public Limited Company (SA), the share capital should be the equivalent of at least 10,000,000 FCFA (USD 20,000) when it does not go public and 100,000,000 FCFA (USD 200,000) otherwise. In addition to this amount of share capital, in accordance with Congolese tax legislation, a proportional duty of 1% of the value of the share capital (at the creation, and possibly at the increase of the share capital or the extension of the duration of the company) is added;
Proof of payment of administrative fees.

Natural Person for the Constitution of an Establishment

Letter of request for the creation of a company addressed to the Managing Director of the Single Window;
Title deed or lease contract or occupancy title;
Recognized identity document;
Extract from the criminal record or sworn statement valid for 75 days;
Residence permit -visa (for foreigners);
Marriage contract (for foreigners if necessary);
Mandate or Power of Attorney (in case of absence of the manager to start the procedure).

b) Documents Provided by Administrations and the GUCE

Acknowledgement of receipt for company registration;

Collection note from the General Directorate of State Revenue and Participation (DGRAD);
Articles of Association and Notarial Deeds;
Trade and Personal Property Credit Register (RCCM);
Deed of deposit;
National Identification No;
Tax No. Directorate General of Taxes, DGI;
INPP No.;
CNSS No.;
Certificate of registration from the National Employment Office (ONEM).
Acknowledgement of receipt of the environment.

c) Cost of Setting up the Business (legal and natural person):

Physical person: 40 USD

Legal Person (SARL, SNC, SCS): 100 USD when the applicant firm presents the notarized articles of association and 90 USD in case of private sub-sexed articles of association presented to the Single Window for Business Creation (GUCE).

SA: 110 USD

d) File Processing Time

3 days.

e) Constituent Requirements for a Representative Office

Subsidiary and Branch Office (Articles 116-120 and 179-180 of the Uniform Act relating to the law on commercial companies and economic interest grouping).

Requirements

Deed of decision to create the Office, Branch, Parent Company or Subsidiary, legalized and stamped by the Embassy of the DRC in the country where the applicant is located;
Physical address;
Name of the person in charge;
Identity document;
Filing and opening of the file;
Statutes;
Extract of "K bis" from the Register.

The representative or liaison office may be the establishment of a foreign company, but is also subject to the law of the State Party in which it is located and is registered in the Trade and Personal Property Credit Register (RCCM) in accordance with the provisions in force.

If the activity of the representative office justifies its conversion into a branch, a request for rectification to the RCCM must be made within thirty (30) days following such change of situation. If the status is not authenticated, this cost is reduced from 100 to 90 USD.

Taxation

Tax Payer Registration

Every company must register with the Regional Revenue & Customs Office (RRCO) within 3 months the date of incorporation. Registration is done online (http://ramis.drc.gov.bt/taxpayerRegistrationHome.html) where the applicant is able to apply and obtain the Taxpayer Number (TPN)

Requirements for taxpayer registration

Company incorporation documents;
Identity documents.

Taxation Regime

Tax	Material or taxable base	Rate
Corporate income tax	Profit made in Congo	30 %
Rental income tax (Provincial Edits and Ordinance-Law N° 69/009)	Renting buildings in Congo	20 - 22 %
Tax on income from movable property	(Dividend, Interest, Royalties) paid to Congo	20 %
Taxes on the surface area of land concessions	Surface area of properties located in Congo	Depending on the location of the dealership
Value Added Tax (Order-Law no. 10/001 of 20 August 2010 instituting VAT (Amended and supplemented) Several times)	Liability for the supply of goods, services and imports; - Applicable to all taxable transactions excluding transactions subject to the reduced rate or zero;	16 %
Value Added Tax (Public Finance Act 2022)	Applicable to the following products: horse mackerel, salted fish (herring, cod, anchovy, tilapia), other salted fish, meat of bovine animals, pigs, and offal of poultry (Fresh, chilled or frozen), husked rice (cargo or brown).	8%
Value Added Tax (Public Finance Act 2022)	Applicable to exports and similar operations.	0%
Business tax on remuneration	Gross salary of national and expatriate employees. It is dependent on the employee.	The rate is progressive and cannot exceed 30% of the gross salary.

Special tax and customs regimes

Tax and customs regime for the mining sector
Tax	Material or taxable base	Rate	Other advantages
Tax on the surface area of mining concessions	Mining Research Titles - For the first 2 years - After the first 2 years Mining titles	2.5USD 26USD 425 USD
Corporate income tax	Profit made in Congo	30 %	Exceptional depreciation foreign currency bookkeeping
Tax on interest	Interest on foreign loans	0 %
Dividend tax	Dividend paid	10 %
TVA	Domestic sale: - to a processing company - to another entity Domestic Purchasing of Services
1st (Exceptional Tax on Expatriate Remuneration)		10 %	Tax deductible from profit
Mining royalty	Sale of Mineral Products Abroad	4 %	Calculated on the sales price minus sales and distribution costs

Investment Code Regime

Tax	Rate	Observations
Duties and taxes on imports of machinery, plant and equipment	0 %	Excluding the 2% administrative tax and VAT (refundable)
Export duties and taxes	0 %
Income tax	0 %	For a period of 3, 4 or 5 years.
Proportional rights when creating SARLs or increasing their share

Immigration Procedures

To enter DRC, any foreigner must have the documents hereafter:

A national or international passport in the process of validity or any other travel certificate bearing one of the visas provided for by the law;
An airport visa;
A travel or tourist visa;
An individual pass (IP) for the border countries;
An international vaccination certificate required by the health police rules.

Note:

Any foreigner who does not live in the DRC should have a valid transport ticket when returning or when they desire to continue their travel outside the DRC.

Visa

Any foreigner visiting DRC is required to obtain a visa. Before applying for a visa, investors should check the visa exemption regime link.

Visa application is done online through the DGM portal (https://evisa.gouv.cd/ ) where applicants are able to apply, pay and download their visa within 72 hours (if all conditions are met).

The cost of the e-Visa is 300 USD of which $50 is the administrative fee and the $250 is the price of the e-Visa itself.

Types of Visas

Travel Visa (or tourist)

It is issued by the diplomatic and consular missions of the DRC abroad.

Conditions:

• Be the holder of a valid passport,

• Have sufficient means of subsistence,

• Be supported by a legal or natural person regularly established in the DRC.

Note: The Travel Visa does not authorize the exercise of a paid activity in the DRC. The validity of this visa is 6 months maximum. This visa can be extended by the General Directorate of Migration for a period of one, two or three months in order to total the completed six months.

Airport Visa and Flying Visa

These visas are provided to foreigners from countries where the DRC is not diplomatically represented or on discretion decision from the Managing Director.

Flying Visa

Authorization granted by the Director General to a foreigner coming from a country where the DRC does not have diplomatic or consular representation. This authorization allows the Interested Person to arrive at the border and benefit from an airport or port visa to access Congolese territory. It is also granted to guests of the Congolese Government.

NB: Visa prices are set by interministerial decree (Ministry of Finance, Budget and Interior, Decentralization & Security).

Conditions to benefit from a flying visa:

• Letter of request addressed by the applicant to the Director General of Migration;

• Photocopy of the applicant's passport;

• Photocopy of the identity of the caregiver, if he is Congolese or of the passport, if he is a foreigner.

Airport/ Port Visa

It is provided to a flying visa holder at Entry post. It is valid for seven days. It is also granted to any person authorized to go to the borders of DR Congo.

Establishment Visa

It is Issued to foreigners wishing to settle in the DRC. It confers to the latter, not only the status of resident, but also the possibility of carrying out professional or economic activities under the conditions set by the Law.

Types of Establishment Visas

Ordinary Establishment Visa;
Work Establishment Visa;
Specific Work Establishment Visa;
Establishment Visa for Studies;
Establishment Visa for foreign spouses of nationals (marital);
Special Establishment Visa;
Permanent Establishment Visa.

General conditions for all establishment visas

Be legally staying in the DRC;
Have stayed for at least six months in the DRC;
Valid passport (at least six months);
Registration form;
4 recent and identical passport-sized photos;
International vaccination card;
Certificate of good conduct from resident country (dated less than 3 months);
Certificate of residence issued by the municipality of residence (dated less than 3 months);
Original and copy of the consular certificate or registration;
Evidence of sufficient means of subsistence.

Work permits

To take up employment in the Democratic Republic of Congo, any foreigner must obtain a work permit.

Any employer wishing to hire or retain a foreign worker under an employment contract must apply for and obtain a work card for the benefit of that worker.

Short Term Work Permit Visa

A short-term work permit visa is designed for foreign nationals intended to work for six (6) months or more. A short-term work permit is valid for a maximum period of a year and is non-renewable.

Requirements

A valid entry visa to the DRC;
Medical certificate;
A DRC residence certificate;
A DRC police clearance certificate no more than 3 months old.

Long Term Work Permit Visa

A long-term work permit visa is designed for foreign workers intending to work in the Democratic Republic of Congo for a period that exceeds 12 months up to 2 years. The long-term work permit visa is issued with an initial period of 2 years and is renewable in-country. The long-term work permit process for the DRC is multi-step.

Applicants must first obtain a work card with the National Commission for Foreign Employment and thereafter apply for the long-term work permit with the DRC Migration Authority.

To obtain this card, the employer must submit a file to the National Commission for Foreign Employment (CNEE), containing the following information:

a. Case of Recruitment

Card request form;
Transmittal letter form;
Nominal roll form for foreign personnel;
Draft employment contract;
Work Curriculum Vitae;
Documents establishing the worker’s professional qualification (education credentials or any other supporting documents);
Passport photo;