Burkina Faso

Despite being a major producer of cotton and gold, this landlocked country remains among the world’s poorest. With about 80% of the population engaged in subsistence farming, its economy is inextricably dependent on adequate rainfall. To pursue its economic development and diversification, Burkina Faso encourages foreign investment with tax rates below the regional average and additional incentives. While the bulk of foreign capital continues to flow into the mining industry, investors are also active in the agriculture, banking, transport and logistics, energy and telecommunications sectors. A member of the West African Economic and Monetary Union, the country also enjoys support from the international financial community.

Yet, burdensome regulations and opaque practices still hinder the growth of a more vibrant private sector. Other challenges include unreliable energy supplies, poor transportation infrastructure and a large informal sector. Particularly concerning is the deteriorating political stability and security environment, with coup attempts reportedly triggered by the government’s inability to counter armed Islamist groups controlling large swaths of the country.