Are you planning to send money to Senegal for investment? Senegal has a well-diversified economy, characterized by a high reliance on imports, a low export rate, and a relatively small domestic market. More than 60% of the workforce now works in agriculture, which accounts for less than 17% of the country’s GDP. Dakar, like most other West African capitals, is engulfed by informal traders, who control a large portion of the labor market.
Despite a slow downturn and recession in previous years, Senegal’s economic growth has improved since 2016. Despite the fact that the country has not always been a successful investment destination, thanks to decades of political stability, it remains much more appealing to a large number of international investors and business opportunities.
The majority of Senegalese workers are employed in the fishing and agriculture industries, but other sectors such as tourism and industry are beginning to grow. A number of Senegalese work abroad and send money to Senegal online, which becomes significant support to the economy. Furthermore, many sectors can be tapped, and the country’s investment prospects remain extremely promising.
Is It Easy To Start A New Business In Senegal For Foreigners And Locals?
Senegal was listed 123rd in the world for ease of doing business in the World Bank’s Doing Business report for 2020. This is a significant improvement over the country’s ranking of 141st in the previous edition. Senegal has progressed in providing access to credit information by extending the credit bureau’s scope and providing credit scoring as a value-added service. It has also strengthened its tax collection system for money transfer to Senegal and domestic transactions by introducing an electronic filing and payment system and merging taxes to lower tax costs.
What Is Investment Framework And Opportunities For Overseas Senegalese In Home Country?
In comparison to its country, Senegal has a large stock of FDI. The government is promoting FDI inflows through an aggressive strategy. According to the UNCTAD 2020 World Investment Report, foreign direct investment in Senegal increased by 16 percent from USD 848 million in 2018 to USD 983 million in 2019. At the end of 2019, the total stock of FDI was USD 6,4 billion. Imports from EU countries have decreased in recent years, while imports from Asian countries have increased. Nonetheless, the Senegalese economy is still heavily reliant on European expansion.
Senegal offers investors a great deal of flexibility in all industries, including agribusiness, textiles, emerging technology, fisheries, tourism, and mining. International businesses have the same opportunities as domestic companies and investors. The online money transfer to Senegal is encouraged by the Diaspora of the country as this is an advanced and secure way for financial transactions.