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Ease of Doing Business in

Equatorial Guinea

Equatorial Guinea Download Profile (1720KB, pdf)
Region Sub-Saharan Africa
Income Category Upper middle income
Population 845,060
GNI Per Capita (US$) 7,790
City covered Malabo

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 178 175 down
3
39.83 41.36 down
1.53
Starting a Business 187 188 up
1
36.90 36.59 up
0.31
Dealing with Construction Permits 160 157 down
3
54.97 55.06 down
0.09
Getting Electricity 143 137 down
6
53.75 55.20 down
1.45
Registering Property 160 158 down
2
44.45 44.45
-
Getting Credit 118 109 down
9
40.00 40.00
-
Protecting Minority Investors 137 136 down
1
41.67 41.67
-
Paying Taxes 179 156 down
23
39.25 53.39 down
14.14
Trading across Borders 174 174
-
32.05 32.05
-
Enforcing Contracts 103 101 down
2
55.25 55.25
-
Resolving Insolvency 169 169
-
0.00 0.00
-

Positive=Doing Business reform making it easier to do business. Negative=Change making it more difficult to do business.

DB 2017 Rank: 187

DB 2016 Rank: 188

Change in Rank: up1

DB 2017 DTF (% points): 36.90

DB 2016 DTF (% points): 36.59

Change in DTF (% points): up0.31

Standardized Company
Legal form: Limited Liability Company (SARL)
Paid-in minimum capital requirement: XAF 1,000,000
City: Malabo
Indicator Equatorial Guinea Sub-Saharan Africa OECD high income
Procedure – Men (number) info_outline 17.0 7.8 4.8
Time – Men (days) info_outline 134.0 27.3 8.3
Cost – Men (% of income per capita) info_outline 102.7 54.0 3.1
Procedure – Women (number) info_outline 17.0 7.9 4.8
Time – Women (days) info_outline 134.0 27.5 8.3
Cost – Women (% of income per capita) info_outline 102.7 54.1 3.1
Paid-in min. capital (% of income per capita) info_outline 27.8 33.1 9.2
  • No. Procedure Time to Complete Associated Costs
    1

    Notary legalizes company statutes

    Agency: Notary

    Although it is not required by law, lawyers prepare company statutes in practice. By law, however, a public notary must legalize the statutes and prepare the public deed. There is one notary in Malabo (island) and one in Bata (mainland).
    9 days on average 3-6% of capital
    2

    Register public deed

    Agency: Commercial Registry (Registro de la Propiedad y Mercantil)

    For registration, the entrepreneur must provide the legalized copies of the statutes. By law, the company must use a unique company name, but in practice, they do not verify the name beforehand. The registry simply refuses the application if the name already exists.
    2 days on average 3% of capital
    3

    Open a bank account and obtain a bank certificate (solvencia bancaria)

    Agency: Bank

    Legally, the company must deposit the minimum capital before company registration. However, this is not possible in practice because copies of the legalized statutes and the registration certificate are required to open a bank account.
    1 day no charge
    4

    Obtain certificate of solvency

    Agency: Ministry of Finance

    The certificate of solvency is obtained at the Ministry of Finance.
    2 days CFA 10,000 – 15,000 (stamps)
    5

    Apply for authorization of establishment by the Prime Minister

    Agency: Prime Minister's Office

    The application for authorization of establishment includes an explanatory note on the company’s objectives and its value to society (often elaborated by a lawyer). Depending on the company’s industrial sector, before granting the authorization the Prime Minster may ask the supervising ministries for their opinion on the application. The company must also provide the certificate of solvency and an investment plan.
    120 days on average CFA 2,000 (stamp)
    * 6

    Apply for registration with the Department of Business and Private Investment at the Ministry of Commerce (Ministerio de Economia, Comercio y Promoción Empresarial)

    Agency: Ministry of Commerce

    This annual fee varies by company.
    1 day (simultaneous with previous procedure) CFA 100,000
    * 7

    Apply for registration with the Department of Commerce at the Ministry of Commerce (Ministerio de Economia, Comercio y Promoción Empresarial)

    Agency: Ministry of Commerce

    This annual fee varies by company.
    1 day (simultaneous with previous procedure) CFA 150,000
    * 8

    Apply for tax registration

    Agency: Public Treasury

    The documents required to apply for tax registration include a copy of the application for authorization of the establishment approved by the Prime Minister, and the notarized statutes. The fees are paid at the bank into an account of the Public Treasury. After obtaining the Treasury’s confirmation of receipt of payment, the applicant returns to the tax authorities to obtain the tax identification number. To save time, the applicant (or a designated agent) would first visit all agencies (tax administration, labor, social security, etc.) to apply for the respective authorization or document, make all bank payments, and obtain Treasury confirmation. The applicant would then visit all agencies again to obtain the final authorization.
    1 day (simultaneous with previous procedure) 1% of capital (tax identification number – NIF) + 1% of capital (minimum fiscal quota) + CFA 2,000 (tax ID number)
    * 9

    Apply for registration with the Ministry of Labor of the start of operations

    Agency: Ministry of Labor

    As with tax registration, fees are paid to the Treasury through a private bank. Once operational, the employer pays 1% of salaries to the worker protection fund (Fondo de Proteccion del Trabajador). Employees pay 0.5% of their salary. Although the indicated fees are official fees, fees might be higher in practice.
    1 day (simultaneous with previous procedure) CFA 300 (form) + CFA 6,750 (small enterprises) or CFA 12,500 (medium-sized enterprises)
    * 10

    Pay fees into treasury’s bank account

    Agency: Bank

    All payments to public institutions (ministries, for example), must be made directly to the Treasury’s bank account through a private bank.
    1 day (simultaneous with previous procedure) included in procedures 7-10
    * 11

    Obtain confirmation from Treasury for receipt of payment

    Agency: Public Treasury

    All new businesses must obtain confirmation from Treasury for receipt of payment in order to obtain a license from the Ministry of Commerce.
    4 days on average (simultaneous with previous procedure) no charge
    * 12

    Provide confirmation of payment and obtain a license from the Department of Business and Private Investment at the Ministry of Commerce (Ministerio de Economia, Comercio y Promoción Empresarial)

    Agency: Ministry of Commerce

    All new businesses must provide confirmation of payment and obtain a license from Department of Small and Medium-Sized Enterprises.
    14 days (simultaneous with previous procedure) included in procedure 7
    * 13

    Provide confirmation of payment and obtain a license from the Ministry of Commerce

    Agency: Ministry of Commerce

    All new businesses must provide confirmation of payment and obtain a license from the Ministry of Commerce.
    14 days (simultaneous with previous procedure) included in procedure 8
    * 14

    Obtain tax identification number (NIF)

    Agency: Ministry of Finance

    The tax identification number (NIF) can be obtained at the Ministry of Finance.
    2 days (simultaneous with previous procedure) included in procedure 9
    * 15

    Obtain registration number with Ministry of Labor

    Agency: Ministry of Labor

    All new businesses must obtain their registration number at the Ministry of Labor.
    1 day (simultaneous with previous procedure) included in procedure 10
    * 16

    Obtain social security number

    Agency: Social Security Institute (INSESO)

    All new businesses must ensure that their employees have their social security numbers.
    1 day (simultaneous with previous procedure) no charge
    * 17

    Register for social security

    Agency: Social Security Institute (INSESO)

    The company must register its employees for social security in the first month that the employees receive a salary. Social security payments are 21.5% of salary for the employer and 4.5% for the employee. To register for social security, the company must buy special forms to list all employees.
    1 day (simultaneous with previous procedure) CFA 300 per page

    * Takes place simultaneously with previous procedure.