Ease of Doing Business in


This page summarizes Doing Business 2015 data for Eritrea. The first section presents the Ease of Doing Business rank (out of 189 economies) and the distance to frontier (DTF)** measure, overall and by topic. The second section summarizes the key indicators for each topic benchmarked against regional averages.

Economy Overview

Region Sub-Saharan Africa
Income Category Low income
Population 6,333,135
GNI Per Capita (US$) 490
City covered Asmara
Doing Business 2015 Rank Doing Business 2014 Rank*** Change in Rank
189 189 0

Doing Business 2015 DTF** (% points) Doing Business 2014 DTF** (% points) Change in DTF** (% points)
33.16 32.72 down 0.44

Starting a Business


The challenges of launching a business are shown below. Included are: the number of steps entrepreneurs can expect to go through to launch, the time it takes on average, and the cost and minimum capital required as a percentage of gross national income (GNI) per capita.

DB 2015 Rank 183 DB 2014 Rank*** 182 Change in Rank down-1
DB 2015 DTF** (% points) 44.81 DB 2014 DTF** (% points) 42.80 Change in DTF** (% points) up2.01

Information on new business density and number of newly created firms with limited liability can be found at Entrepreneurship Database.

Indicator Eritrea Sub-Saharan Africa OECD

The total number of procedures required to register a firm. A procedure is defined as any interaction of the company founders with external parties (for example, government agencies, lawyers, auditors or notaries).

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Procedures (number)
13.0 7.8 4.8

The total number of days required to register a firm. The measure captures the median duration that incorporation lawyers indicate is necessary to complete a procedure with minimum follow-up with government agencies and no extra payments.

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Time (days)
84.0 27.9 9.2

Cost is recorded as a percentage of the economy’s income per capita. It includes all official fees and fees for legal or professional services if such services are required by law.

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Cost (% of income per capita)
41.5 56.2 3.4

The amount that the entrepreneur needs to deposit in a bank or with a notary before registration and up to 3 months following incorporation and is recorded as a percentage of the economy’s income per capita.

View methodology
Paid-in min. capital (% of income per capita)
182.1 95.6 8.8
No. Procedure Time to Complete Associated Costs
1 Deposit initial capital in bank account 1 day no charge
2 Search for a company name 2 days no charge
3 Notarize company statutes 3 days ERN 715.2
4 Register with the Commercial Registry 7 days no charge
5 Publish the incorporation notice in the official journal 33 days ERN 600 –1000
6 Apply for a tax identification number (TIN) at the Inland Revenue Department 7 days no charge
7 Obtain tax clearance from the Inland Revenue Department 1 day no charge
8 Apply for a business license at the Ministry of Trade and Industry 14 days ERN 500
* 9 Receive inspection from the Ministry of Trade and Industry 7 days (simultaneous with previous procedure) ERN 500
10 Obtain approval from the local municipality 2 days ERN 100-500
11 Notify the Ministry of Labor and Human Welfare 1 day no charge
12 Make a company seal 3 days ERN 400
13 Apply for tax receipts from the Inland Revenue Department 10 days ERN 200 for 10 packs of receipts
  * Takes place simultaneously with another procedure.

**The distance to frontier score shows how far on average an economy is at a point in time from the best performance achieved by any economy on each Doing Business indicator since 2005 or the third year in which data for the indicator were collected. The measure is normalized to range between 0 and 100, with 100 representing the frontier. Read more...

***Last year's rankings are adjusted. They are based on 10 topics and reflect data corrections.

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