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Ease of Doing Business in

Djibouti

Djibouti Download Profile (1713.8KB, pdf)
Region Middle East & North Africa
Income Category Lower middle income
Population 887,861
GNI Per Capita (US$) 1,789
City covered Djibouti Ville

190

1

DB 2017 Rank

1

100

DB 2017 DTF (% points)

  • local_library
  • group
Topics DB 2017 Rank DB 2016 Rank info_outline Change in Rank DB 2017 DTF (% points) info_outline DB 2016 DTF (% points) info_outline Change in DTF (% points) info_outline
Overall 171 168 down
3
44.50 44.42 down
0.08
Starting a Business 172 171 down
1
66.91 66.45 up
0.46
Dealing with Construction Permits 120 118 down
2
64.87 64.66 up
0.21
Getting Electricity 172 171 down
1
39.49 38.90 up
0.59
Registering Property 168 166 down
2
41.34 41.30 up
0.04
Getting Credit 181 181
-
5.00 5.00
-
Protecting Minority Investors 178 180 up
2
30.00 30.00
-
Paying Taxes 106 103 down
3
68.96 68.96
-
Trading across Borders 155 155
-
51.87 51.87
-
Enforcing Contracts 184 184
-
28.39 28.39
-
Resolving Insolvency 71 67 down
4
48.20 48.65 down
0.45

DB 2017 Rank: 172

DB 2016 Rank: 171

Change in Rank: down1

DB 2017 DTF (% points): 66.91

DB 2016 DTF (% points): 66.45

Change in DTF (% points): up0.46

Standardized Company
Legal form: Limited Liability Company
Paid-in minimum capital requirement: DJF 0
City: Djibouti Ville
Indicator Djibouti Middle East & North Africa OECD high income
Procedure – Men (number) info_outline 7.0 7.8 4.8
Time – Men (days) info_outline 14.0 20.1 8.3
Cost – Men (% of income per capita) info_outline 167.0 26.3 3.1
Procedure – Women (number) info_outline 7.0 8.6 4.8
Time – Women (days) info_outline 14.0 20.9 8.3
Cost – Women (% of income per capita) info_outline 167.0 26.3 3.1
Paid-in min. capital (% of income per capita) info_outline 0.0 11.2 9.2
  • No. Procedure Time to Complete Associated Costs
    1

    Deposit the initial capital at the bank and obtain a receipt

    Agency: Bank

    The bank must check the origin of the funds and the purpose of the initial capital. The parties must submit a document stating their intent to start a new business. If during the company’s life the capital should change, the company’s registrar must be notified.
    2 days no charge
    2

    Draft the company statutes with a lawyer

    Agency: Notary

    There is no legal obligation to draft the company statutes with a lawyer and since February 2014, statute templates are available online at the ODPIC website (www.odpic.info). However, most entrepreneurs still draft the company statutes with a lawyer.
    Lawyers charge approximately FCFA 10,000 to draft the statutes.

    When the statutes are drafted by a notary, the average cost is 100,000 FCFA.
    3 days DJF 10,000
    3

    Register statutes with the Direction des Impôts

    Agency: Service des Impots

    All new companies must register statutes with the Direction des Impôts.
    3 days on average 5% of capital + DJF 1000 per page stamp duties (x16 or 17 pages).
    4

    Reserve the company name, register with the chamber of Commerce and publish the notice of commencement of activity

    Agency: ODPIC

    In order to obtain the name certificate (certificat negatif) and register with the chamber of commerce, both at the at the ODPIC (Office Djiboutien de la Propriete Intelectuelle et Commerciale), the following documents are required:
    - forms CN1 and RC1
    - 2 copies of the representative’s power of attorney
    - 2 certified copies of the statutes
    - 2 copies of the bank deposit receipt
    - 2 sworn statement copies or 2 copies of the criminal record.

    The ODPIC is also in charge of the publication of the notice of commencement of activity in the newspaper La Nation.
    1 day DJF 132,500 registration fees (l’immatriculation) and DJF 5000 name reservation
    5

    Register for taxes and obtain professional license (patente)

    Agency: Tax administration

    Entrepreneurs must go to the Service des Patentes to obtain a license, using the registration number obtained at the registrar. This registration also serves as tax registration.
    2 days DJF 100,000 to 300,000.
    6

    Create a company seal, letterhead and books

    Agency: Seal-making shop

    Creating a company seal, letterhead and books can be done at the Seal-maker for DJF 2000 - 3000 (for seal and letterhead) + DJF 5000 - 7000 (books).
    3 days DJF 2,000 - 3,000 (for seal and letterhead) + DJF 5,000 - 7,000 (books)
    * 7

    Register employees with the Caisse Nationale de la Sécurité Sociale

    Agency: Caisse Nationale de la Sécurité Sociale

    The Company must register and register each employee to the Social Security.
    1 day (simultaneous with previous procedure) no charge

    * Takes place simultaneously with previous procedure.