How to invest?
Investing in Angola requires knowing the basic elements contained in the Foreign Investment Law.
- What is a foreign investment?
Angolan law considers investment as the introduction and use of capital, equipment, and technology in the national territory, or the use of funds that can be transferred abroad under the foreign exchange law.
- Which operations are considered foreign investments?
Foreign investment operations are defined by the law as the establishment and expansion of branches, or other forms of the social representation of foreign companies, or the establishment of new companies solely owned by the investor. Foreign investment operations include participation or acquisition of participation in company share capital, total or partial acquisition of commercial and industrial establishments through an asset acquisition, or leasing contracts.
The law also considers the acquisition of real estate on national territory as part of foreign investment projects.
- Operating Forms
Foreign investments are made through the transfer of funds from abroad, the use of foreign currency in bank accounts established in Angola by non-residents, the import of equipment, accessories, and materials, or the incorporation of credits and other assets of the investor that may be transferred abroad under the foreign exchange law. Technology incorporation is also a form of realization and foreign investment in Angola.
- Prohibited areas to foreign investment
Foreign investors are prohibited from investing in areas such as defence, security, and internal order, banking activity related to issuing bank functions, and other sectors that are considered legally an absolute reserve of the State.
- Rights and guarantees
The foreign investor may transfer dividends or distributed profits after deducting legal amortizations and taxes, the proceeds from the liquidation of their investments, including capital gains, after paying taxes, and any amounts owed to them, which under the terms of the law constitute foreign investments.
- Obligations
The law obliges investors to respect the legislation of the country, promote the national workforce, set up funds and reserves and make provisions, apply the chart of accounts and the existing rules of stability, and respect the defence of the environment, hygiene, protection and safety of workers and keep insurance against accidents and occupational diseases up to date.
- Tax regime, use of credit and bank accounts
Companies covered by the foreign investment law are subject to the tax law of the country, enjoying the same benefits as national ones, can resort to internal and external credit (object of licensing and authorization from the Ministry of Finance and the Central Bank) and must mandatorily have accounts in national and foreign currencies in banks domiciled in Angola.
