INVESTMENT FROM VIETNAM TO ALGERIA
1. Overview and investment potentials of Algeria.
Algeria, a North African country with abundant oil reserves, is always an attractive investment destination for international investors in general and particularly Vietnamese, especially in the fields of agriculture, tourism, information and communication technology, energy, construction infrastructure and health, ....
2. Algerian investment incentive policy for foreign investors.
Recently, Algeria has been chosen as an ideal place for investments by offering many incentive policies in fields. Specifically, Algeria has adopted a number of following incentive policies for foreign investors:
Regarding the holding regulation capital policy: In Algeria, foreign investors had been only allowed to hold 49% of the company's establishment shares, the rest 51% had been owned by Algerian enterprises for more than a decade. The 2020 Amendment Finance Law adopted by the Algerian Parliament on June 2th, 2020 has limited the "49%-51%" rule to only “purchase and resale activities” and 5 strategic sectors for attracting foreign investment capital (FDI), which allows foreign investors in Algeria own 100% capital company without involvement of the Algerian investor unless their investment areas are governed by the above strategic sectors.
Regarding tax incentives: Algeria's tax policies are imposed on all businesses established in the country including such general taxes as corporate income tax, value-added tax, personal income tax for employees,... In which, the corporate income tax rate ranges from 19%-26% depending on each business field. However, investors may benefit from a tax holiday for corporate income tax if they commit to reinvesting 30% of the saved tax within 04 years.
After receiving Client’s authority, DTD will realize legal procedures for investment in Algeria by contacting our reputable law firm partners in Algeria for Client’s necessary information approach suiting Client’s purposes and investment intentions.
On behalf of Client, DTD will assist the Client in performing necessary procedures including:
(i) Applying for an investment registration certificate to Algeria at a competent authority of Vietnam;
(ii) Registration of company name to National Trade Center (CNRC) or Trade Registry of Algeria, paying fees and registering taxes to Tax Authority, .... for a commercial presence establishment in Algeria.
(iii) Registration for a private capital account for insideout investment under the provisions of Vietnamese law.
With a large network of reputable partners and our lots of valuable experience in consulting for company establishment of Vietnamese enterprises around the world, DTD commits to be able to provide the best support to Clients during the establishment of a new company in Algeria.
