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U.S. Department of State
Niger Country Commercial Guide
Office of the Coordinator for Business Affairs
Country Commercial Guide
Niger
Fiscal Year 1996
This Country Commercial Guide (CCG) presents a comprehensive look at
Niger's commercial environment through economic, political and market
analyses.
The CCGs were established by recommendation of the Trade Promotion
Coordinating Committee (TPCC), a multi-agency task force, to consolidate
various reporting documents prepared for the U.S. business community.
Country Commercial Guides are prepared annualy at U.S. Embassies through
the combined efforts of several U.S. governement agencies.
TABLE OF CONTENTS
-----------------
I. COMMERCIAL OVERVIEW: EXECUTIVE SUMMARY
II. ECONOMIC TRENDS AND OUTLOOK
III. POLITICAL ENVIRONMENT
IV. MARKETING U.S. PRODUCTS AND SERVICES
V. LEADING SECTORS FOR U.S. EXPORTS AND INVESTMENT
VI. TRADE REGULATIONS AND STANDARDS
VII. INVESTMENT CLIMATE
VIII. TRADE AND PROJECT FINANCING
IX. BUSINESS TRAVEL
X. APPENDICES
A. COUNTRY DATA
B. DOMESTIC ECONOMY
C. TRADE
D. INVESTMENT STATISTICS
E. U.S. AND COUNTRY CONTACTS
-----------------------------------------
I. COMMERCIAL OVERVIEW: EXECUTIVE SUMMARY
-----------------------------------------
IN RECENT YEARS THE GOVERNMENT OF NIGER HAS TRIED TO ENCOURAGE FOREIGN
TRADE AND INVESTMENT BY PUTTING INTO EFFECT NEW INVESTMENT, MINING, AND
PETROLEUM CODES. THE CODES PROVIDE: TAX ADVANTAGES TO FOREIGN
INVESTMENT; DUTY-FREE IMPORT OF CAPITAL EQUIPMENT; GUARANTEES AGAINST
EXPROPRIATION; AND THE RIGHT TO REPATRIATE EARNINGS AND DIVIDENDS.
THE GOVERNMENT IS COMMITTED TO RESTRUCTURING THE ECONOMY AND RESTARTING
GROWTH VIA A STRUCTURAL ADJUSTMENT PROGRAM WITH THE WORLD BANK AND
INTERNATIONAL MONETARY FUND. UNDER ITS EMERGENCY RECOVERY PROGRAM, THE
NEW GOVERNMENT HAS INCREASED REVENUES, LARGELY THROUGH CUSTOMS RECEIPTS,
AND HELD THE LINE ON CIVIL SERVICE SALARIES, A POLITICALLY DIFFICULT
TASK. THE GOVERNMENT HAS LIMITED EXPENDITURES TO THE LEVEL OF RECEIPTS
WHICH BALANCES THE BUDGET IN THE SHORT RUN, BUT LEAVES LARGE ARREARS AND
ADMINISTRATIVE EXPENSES UNPAID, AND PROVIDES NOTHING FOR LONG-TERM
INVESTMENTS. STILL, THE GOVERNMENT HAS TAKEN POSITIVE STEPS TOWARD
MEETING BANK AND FUND BENCHMARKS.
THE GOVERNMENT PLANS A MISSION TO WASHINGTON IN LATE JULY TO NEGOTIATE
WITH THE BANK AND FUND ON REJOINING THE 1994 STAND-BY AGREEMENT WITH THE
WORLD BANK AND SIGNING AN EXTENDED STRUCTURAL ADJUSTMENT FACILITY (ESAF)
WITH THE IMF IN SEPTEMBER. IF NEGOTIATIONS ARE SUCCESSFUL, FUNDS WOULD
BE AVAILABLE IN NOVEMBER TO HELP BALANCE THE BUDGET, RELAUNCH STALLED
DEVELOPMENT PROJECTS, AND STIMULATE THE ECONOMY. OPPORTUNITIES FOR U.S.
EXPORTS AND INVESTMENT MIGHT FOLLOW.
THE ECONOMY HAS ONLY A SMALL MODERN SECTOR WITH SOME LIGHT MANUFACTURING
AND A SMALL CLASS OF CONSUMERS FOR MANUFACTURED GOODS. SEVERAL PARTLY
OR WHOLLY GOVERNMENT-OWNED COMPANIES ACCOUNT FOR MOST FORMAL SECTOR
ACTIVITY. STILL, THE SYSTEM IS THOROUGHLY OPEN TO FOREIGN TRADE AND
FOREIGN INVESTMENT, INCLUDING FROM THE U.S.
THE MOST IMPORTANT OPPORTUNITY FOR U.S. BUSINESS, PARTICULARLY IF
AGREEMENTS ARE REACHED WITH THE BANK AND THE FUND, IS IN PROVIDING
CONSULTING AND ENGINEERING SERVICES TO DEVELOPMENT PROJECTS SUPPORTED BY
THE AFRICAN DEVELOPMENT BANK, OTHER MULTILATERAL BANKS, AND BILATERAL
DONORS. RECENT DEVELOPMENT OF GOLD DEPOSITS AND SPORADIC PETROLEUM
EXPLORATION ACTIVITY MAY LEAD TO INCREASED BUSINESS FOR U.S. COMPANIES.
OTHER INVESTMENT OPPORTUNITIES MAY EXIST IN TELECOMMUNICATIONS SERVICES
AND EQUIPMENT, VEHICLES (ESPECIALLY FOUR WHEEL DRIVE), PHARMACEUTICALS
(PARTICULARLY GENERIC DRUGS), HEAVY CONSTRUCTION AND EARTH-MOVING
EQUIPMENT, FOOD PROCESSING, AND COAL-FIRED ELECTRICAL GENERATING
EQUIPMENT. THE CESSATION OF HOSTILITIES WITH THE TUAREG ETHNIC GROUP IN
NORTHERN NIGER COULD LEAD TO EXPANDED TOURISM.
THE MAJOR ROADBLOCK TO DOING BUSINESS IS THE SMALL SIZE OF THE MARKET
AND THE LOW PER CAPITA INCOMES. THE ECONOMY IS CHARACTERIZED BY WIDE-
SPREAD SUBSISTENCE AGRICULTURE AND INFORMAL MARKET ACTIVITY. NIGER,
HOWEVER, IS A PART OF THE LARGER, FRENCH-SPEAKING WEST AFRICA CFA FRANC
ZONE: POTENTIALLY A MUCH LARGER MARKET. FRANCE, THE FORMER COLONIAL
POWER, IS VIRTUALLY THE ONLY FOREIGN INVESTOR IN NIGER. HOWEVER,
GOVERNMENT OFFICIALS ARE LOOKING TO ATTRACT TRADE AND INVESTMENT FROM
NON-TRADITIONAL SOURCES, ESPECIALLY THE U.S.
COUNTRY COMMERCIAL GUIDES ARE AVAILABLE ON THE NATIONAL TRADE DATA BANK
ON CD-ROM OR THROUGH THE INTERNET. PLEASE CONTACT STAT-USA AT 1-800-
STAT-USA FOR MORE INFORMATION, PLEASE USE THE FOLLOWING WORLD WIDE WEB
ADDRESS: WWW.STAT-USA.GOV. CCGS CAN ALSO BE ORDERED IN HARD COPY OR ON
DISKETTE FROM THE NATIONAL TECHNICAL INFORMATION SERVICE (NTIS) AT
1-800-553-NTIS.
------------------------------
II. ECONOMIC TRENDS AND OUTLOOK
------------------------------
MAJOR TRENDS AND OUTLOOK: THE DEVALUATION OF THE CFA FRANC IN JANUARY
1994 AND THE PROSPECT OF A STRUCTURAL ADJUSTMENT PROGRAM WITH THE WORLD
BANK AND CONCESSIONAL LOANS FROM THE INTERNATIONAL MONETARY FUND (IMF)
IN THE FALL OF 1995 HAVE IMPROVED THE OUTLOOK FOR THE ECONOMY OF NIGER.
THE DEVALUATION HAS INCREASED THE COMPETITIVENESS OF NIGER'S (AND OTHER
CFA FRANC ZONE) PRODUCTS. THE DEVALUATION HALVED THE COST OF LOCAL
INPUTS FROM THE POINT OF VIEW OF AN OUTSIDE PURCHASER OR INVESTOR.
SINCE THE DEVALUATION, 1994-1995 TRADE STATISTICS SHOW GAINS FOR NIGER'S
AGRICULTURAL PRODUCTS IN REGIONAL MARKETS.
THE GOVERNMENT RECENTLY ENACTED THE 1995 BUDGET WHICH AIMS AT SATISFYING
THE BRETTON WOODS INSTITUTIONS BY DEMONSTRATING NIGER'S RENEWED
COMMITMENT TO FISCAL RESPONSIBILITY. IT ENVISIONS INCREASED REVENUES
FROM CUSTOMS, DUTIES, AND TAXES AND CUTS EXPENDITURES ON WAGES AND
SCHOLARSHIPS. DESPITE THESE CUTS, THE PUBLIC SERVANT WAGE BILL OF $101M
REMAINS THE SINGLE LARGEST EXPENDITURE. THE OVERALL GOVERNMENT BUDGET IS
$8.1M LESS THAN IN 1994.
THE REAL QUESTION IS WHETHER THE GOVERNMENT HAS THE POLITICAL WILL TO
MAINTAIN ITS COMMITMENT TO REDUCE CIVIL SERVANT SALARIES AND RISK
POTENTIALLY CRIPPLING STRIKES. THE PUBLIC EMPLOYEES UNION (USTN) HAS
DEMONSTRATED ITS WILLINGNESS IN THE PAST TO SHUT DOWN THE COUNTRY IF
WAGES ARE THREATENED. AT THE TIME OF WRITING, THE OUTLOOK WAS
UNCERTAIN, BUT GOVERNMENT OFFICIALS WERE OPTIMISTIC THAT THEY COULD HOLD
THE BUDGET LINE.
THE NEW GOVERNMENT HOPES ITS EFFORTS TO RESTRUCTURE THE ECONOMY WILL BE
REWARDED BY INTERNATIONAL MONETARY INSTITUTIONS WITH A NEW STRUCTURAL
ADJUSTMENT PROGRAM (SAP) AND AN EXTENDED STRUCTURAL ADJUSTMENT FACILITY
(ESAF) IN THE FALL OF 1995. THE POSITIVE MEETINGS WITH IMF AND WORLD
BANK OFFICIALS IN THE SPRING OF 1995 ARE CAUSE FOR OPTIMISM. A SAP
WOULD BRING ADDITIONAL FUNDING FROM THE WORLD BANK, WHILE THE ESAF WOULD
PROVIDE ACCESS TO ADDITIONAL PREFERENTIAL LOANS. THESE AGREEMENTS WOULD
PRODUCE AN INCREASE IN CAPITAL AND MAY PROVIDE EXPANDED OPPORTUNITIES
FOR AMERICAN INVESTMENT IN NIGER.
INDUSTRIALIZED MEMBERS OF THE AFRICAN DEVELOPMENT BANK (AFDB) HAVE
HALTED THE REPLENISHMENT OF LOANABLE FUNDS PENDING AN INTERNAL
REORGANIZATION OF THE BANK. AN INITIAL REORGANIZATION TOOK PLACE IN THE
SPRING OF 1995 AND A NEW PRESIDENT AND NEW BOARD ARE SCHEDULED TO BE IN
PLACE BY SEPTEMBER 1995. A SUCCESSFUL REORGANIZATION SHOULD LEAD THE
INDUSTRIALIZED MEMBER NATIONS TO A REPLENISHMENT OF THE AFDB'S LOAN
FUNDS. HOWEVER, NIGER HAS FALLEN BEHIND ON ITS CURRENT DEBT PAYMENTS TO
THE AFDB, AND MUST SETTLE THESE ARREARS IN ORDER TO QUALIFY FOR
APPROXIMATELY $82M IN NEW INFRASTRUCTURE PROJECTS.
THESE MACROECONOMIC EVENTS PLAY OUT AGAINST THE BACKDROP OF A SMALL AND
FRAGILE ECONOMY BASED LARGELY ON SUBSISTENCE-LEVEL AGRICULTURE AND
ANIMAL HUSBANDRY. HARD HIT BY DROUGHT AND DESERTIFICATION, NIGER
REMAINS ONE OF THE POOREST COUNTRIES IN THE WORLD. URANIUM MINING
REPRESENTS THE ONE INDUSTRY OF INTERNATIONAL IMPORTANCE AND NIGER'S TOP
FOREIGN EXCHANGE EARNER. HOWEVER, DECLINING WORLD DEMAND HAS REDUCED
URANIUM REVENUES TO ABOUT HALF OF WHAT THEY WERE IN THE PEAK YEAR OF
1983. AS A CONSEQUENCE, OTHER SECTORS LIKE BANKING, CONSTRUCTION, AND
TRANSPORTATION, LARGELY DEPENDENT ON THE PROFITS AND REVENUES ONCE
GENERATED BY URANIUM, ARE ALSO SEVERELY DEPRESSED.
PRINCIPAL GROWTH SECTORS: THERE IS GROWTH POTENTIAL IN GOLD MINING.
PROVEN RESERVES HAVE ALREADY ATTRACTED THE ATTENTION OF NINE
INTERNATIONAL COMPANIES, INCLUDING TWO FROM THE U.S., WHO HAVE TAKEN OUT
EXPLORATION LICENSES. NIGER HAS SIZABLE COAL RESERVES THAT SUGGEST
POTENTIAL FOR FURTHER ELECTRICAL GENERATION. LIGHT MANUFACTURING HAS
BEEN MADE MORE COMPETITIVE BY DEVALUATION OF THE CFA FRANC, WHICH HAS
HALVED THE COST OF LOCAL INPUTS, ESPECIALLY LABOR, FROM THE POINT OF
VIEW OF FOREIGN INVESTORS. THE TELECOMMUNICATIONS SECTOR, ESPECIALLY
DIGITAL SWITCHING AND SATELLITE SERVICES, HAS POTENTIAL FOR
MODERNIZATION AND GROWTH AND HAS ATTRACTED THE ATTENTION OF POTENTIAL
U.S. INVESTORS. FOOD DRYING OR OTHER PROCESSING REMAINS AN UNTAPPED
POSSIBILITY, PARTICULARLY FOR ONIONS.
GOVERNMENT ROLE IN THE ECONOMY: THE GOVERNMENT MAINTAINS AND PROMOTES
AN OPEN ECONOMIC SYSTEM AND HAS A FREE-TRADE POLICY. NIGER WELCOMES
FOREIGN INVESTMENT. SEVERAL INDUSTRIAL ENTERPRISES ARE PARASTATALS
WHOLLY OR PARTIALLY OWNED BY THE GOVERNMENT. THE GOVERNMENT HAS MADE
SOME HEADWAY IN RESTRUCTURING, BUT WOULD LIKE TO MOVE MUCH FURTHER
TOWARD PRIVATIZATION. THE 35,000 CIVIL SERVANTS CONSTITUTE ABOUT HALF
THE WORKERS IN THE FORMAL SECTOR. ONE OF THE VERY MOST IMPORTANT ROLES
OF THE GOVERNMENT IS TO ATTRACT DEVELOPMENT PROJECTS FUNDED BY
MULTILATERAL DONORS -- THE WORLD BANK AND AFRICAN DEVELOPMENT BANK --
WHICH HAVE THE POTENTIAL TO BRING TENS OF MILLIONS OF DOLLARS INTO
NIGER'S ECONOMY.
BALANCE OF PAYMENTS: NIGER'S BALANCE OF TRADE DEFICIT FOR 1995 IS
ESTIMATED AT $46M. THE LONG TERM OUTLOOK IS FOR A MODEST SURPLUS DRIVEN
BY INCREASES IN THE VALUE OF URANIUM EXPORTS AND INCREASED
COMPETITIVENESS OF NIGER'S OTHER EXPORTS ALONG WITH SOME DECREASE IN
IMPORTS, ESPECIALLY FROM OUTSIDE THE CFA FRANC ZONE. THE BILL FOR
SERVICES WILL COST NIGER $165.2M IN 1995. THE ESTIMATED CURRENT ACCOUNT
BALANCE FOR 1995 IS A DEFICIT OF $130.8M. IF NIGER IS SUCCESSFUL IN ITS
EFFORTS TO SECURE A STRUCTURAL ADJUSTMENT PROGRAM, THE GOVERNMENT
PROJECTS THE OVERALL BALANCE OF PAYMENTS DEFICIT TO DIMINISH
SIGNIFICANTLY BY 1999.
INFRASTRUCTURE: NIGER HAS A MODERN TELEPHONE AND TELECOMMUNICATIONS
SYSTEM CAPABLE OF DIRECT DIAL SERVICE WORLDWIDE, BUT TELECOMMUNICATIONS
COSTS ARE EXPENSIVE. THERE ARE SEVERAL FLIGHTS WEEKLY FROM EUROPE, AS
WELL AS CONNECTIONS TO OTHER CITIES IN WEST AFRICA SEVERAL TIMES PER
WEEK. THERE IS NO REGULAR INTERNAL AIR SERVICE, BUT THERE IS A CHARTER
SERVICE. THE POSTAL SYSTEM IS EFFICIENT, BUT EXPENSIVE. THERE IS A
NATIONAL NETWORK OF PAVED ROADS THAT STRETCHES FROM NIAMEY IN THE WEST
TO THE FAR EAST OF THE COUNTRY WITH BRANCHES LEADING NORTH TO TAHOUA,
AGADEZ, AND ARLIT. THE NATIONAL SYSTEM TIES INTO THE NATIONAL SYSTEM IN
NIGERIA AT SEVERAL IMPORTANT POINTS. IT IS ALSO LINKED WITH THE ROADS
IN NEIGHBORING BENIN, TOGO, AND BURKINA FASO. UTILITIES ARE OF HIGH
QUALITY IN NIAMEY AND THE OTHER LARGER CITIES, BUT ARE EXPENSIVE.
-------------------------
III. POLITICAL ENVIRONMENT
-------------------------
NATURE OF POLITICAL RELATIONSHIP WITH UNITED STATES: BILATERAL
RELATIONS BETWEEN THE U.S. AND NIGER ARE GOOD. THE U.S. GOVERNMENT
MORALLY AND MATERIALLY SUPPORTED THE ADOPTION OF THE DEMOCRATIC
CONSTITUTION OF THE THIRD REPUBLIC AND THE SEVERAL ROUNDS OF FREE, FAIR,
AND OPEN ELECTIONS THAT FOLLOWED. NIGER IS A FUNCTIONING DEMOCRACY.
THE U.S. SUPPORTS ITS EFFORTS TO RESPECT HUMAN RIGHTS AND GOVERN MORE
EFFICIENTLY. SECONDLY, THE U.S. GOVERNMENT ACTIVELY ASSISTS IN THE
EFFORT TO ACHIEVE SUSTAINABLE ECONOMIC DEVELOPMENT.
MAJOR POLITICAL ISSUES AFFECTING BUSINESS CLIMATE: THE ANNUAL DEBATE
ABOUT THE GOVERNMENT BUDGET, WITH THE FOCUS ON THE 80% OF ALL
EXPENDITURES DEVOTED TO CIVIL SERVANT SALARIES, DOMINATES POLITICAL
DISCUSSION AND IS THE KEY FACTOR DETERMINING THE STATE OF THE ECONOMY.
GOVERNMENT SPENDING ON SALARIES MUST BE REDUCED IN ORDER TO OBTAIN A
SATISFACTORY AGREEMENT WITH IMF AND THE WORLD BANK. HOWEVER, THE PUBLIC
EMPLOYEES UNION WIELDS TREMENDOUS POWER AND CAN BRING THE COUNTRY TO A
HALT BY STRIKING. THE NEW GOVERNMENT'S SUCCESS OR FAILURE IN RESOLVING
THE SALARY ISSUE WILL LARGELY DETERMINE THE FUTURE PATH OF THE ECONOMY
OF NIGER.
OVERVIEW OF POLITICAL SYSTEM: NIGER IS GOVERNED BY A POPULARLY-ELECTED
PRESIDENT, AS WELL AS A PRIME MINISTER AND CABINET DRAWN FROM AN 83 SEAT
PARLIAMENT. THE JANUARY 1995 ELECTIONS PRODUCED A "COALITION" OR SHARED
GOVERNMENT OF TWO OPPOSING FACTIONS, SIMILAR TO THE CURRENT SITUATION IN
THE U.S. PRESIDENT MAHAMANE OUSMANE, ELECTED IN 1993, AND HIS COALITION
OF PARTIES ARE IN THE OPPOSITION WITH 40 SEATS, WHILE NEWLY APPOINTED
PRIME MINISTER HAMA AMADOU LEADS A FOUR-PARTY COALITION MAJORITY WHICH
HOLDS 43 SEATS. THE TWO FACTIONS ENGAGED IN A LEGALISTIC STRUGGLE FOR
POWER FOR SEVERAL MONTHS AFTER THE ELECTION, BUT BY SUMMER 1995 THE
PRIME MINISTER AND HIS COALITION HAD BEGUN TO USE THEIR SLENDER 3 SEAT
MAJORITY TO PASS LEGISLATION.
PRIME MINISTER HAMA AMADOU AND HIS PARLIAMENTARY MAJORITY SEEM COMMITTED
TO INCREASING REVENUES AND CUTTING SPENDING IN ORDER TO OBTAIN A NEW
STRUCTURAL ADJUSTMENT PROGRAM WITH THE WORLD BANK AND IMF. THE
COMBINATION OF A POSITIVE SERIES OF MEETINGS WITH THE BRETTON WOODS
INSTITUTIONS IN THE SPRING OF 1995 AND THE 1995 BUDGET CUTS ARE CAUSE
FOR SOME OPTIMISM.
IN THE PAST, THE FEDERATION OF LABOR UNIONS (USTN) HAS RESORTED TO
GENERAL STRIKES TO FORCE THE GOVERNMENT TO MAKE CONCESSIONS ON CIVIL
SERVANT SALARIES, BUT THE NEW GOVERNMENT IS TAKING A TOUGHER STAND.
A FURTHER IMPORTANT POLITICAL ISSUE IS THE RECENT PEACE SETTLEMENT WHICH
HALTED A REBELLION BY ELEMENTS OF THE TUAREG ETHNIC GROUP. SPORADIC
ATTACKS BY THE TUAREGS IN NIGER'S PART OF THE SAHARA HAD EFFECTIVELY
CLOSED THE NORTH OF THE COUNTRY TO BUSINESS AND TOURISM FOR SEVERAL
YEARS. THE PEACE ACCORD ESTABLISHES A PERMANENT CEASE-FIRE, PROVIDES
FOR A GENERAL AMNESTY, SETS A TIME-FRAME FOR DEMOBILIZATION OF TUAREG
FIGHTERS AND FOR GOVERNMENT DECENTRALIZATION, AND PROMISES AUGMENTED
SOCIAL INFRASTRUCTURE DEVELOPMENT IN THE NORTH.
---------------------------------------
IV. MARKETING U.S. PRODUCTS AND SERVICES
---------------------------------------
THE KEY TO MARKETING IN NIGER IS TAKING THE TIME TO KNOW THE COUNTRY AND
BUILD IMPORTANT BUSINESS CONTACTS. THE OFFICIAL LANGUAGE IS FRENCH, AND
SINCE FEW PEOPLE SPEAK ENGLISH, ENGAGING A LOCAL AGENT OR HIRING AN
INTERPRETER IS ESSENTIAL. AT A MINIMUM, A U.S. COMPANY SHOULD OBTAIN A
LOCAL AGENT.
DIRECT MARKETING: CHRYSLER/JEEP OPENED A DEALERSHIP IN NIAMEY IN 1994
AND HAS MADE INROADS IN THE FOUR-WHEEL DRIVE MARKET DOMINATED BY TOYOTA.
JOINT VENTURES/LICENSING: AN ELF/EXXON JOINT VENTURE DISCOVERED OIL IN
SOUTHEASTERN NIGER IN THE 1980'S, BUT LOW WORLD PRICES AND THE
REMOTENESS OF THE SITE HAVE THUS FAR PREVENTED EXPLOITATION.
SELLING TO THE GOVERNMENT: THE GOVERNMENT HAS RECENTLY OFFERED
INTERNATIONAL TENDER FOR GENERIC DRUGS AND FOUR WHEEL DRIVE VEHICLES.
THE BIDDING PROCEDURES ARE OPENLY PUBLICIZED, BUT SOME BIDDERS FEAR THAT
BIDS MAY NOT REMAIN SECRET. A LOCAL AGENT MAY HELP IN THE PROCESS,
WHICH IN ANY CASE, MOVES SLOWLY BY U.S. STANDARDS. WITH A WORLD BANK
STRUCTURAL ADJUSTMENT OPPORTUNITIES FOR U.S. BUSINESSES WOULD INCREASE.
DEVELOPMENT PROJECTS REQUIRING ENGINEERING CONSULTING SERVICES,
TECHNICAL ASSISTANCE, AGRICULTURAL PLANNING, AND SPECIALIZED EQUIPMENT
WOULD GO FORWARD.
NEED FOR A LOCAL ATTORNEY: THE LEGAL SYSTEM INHERITED FROM FRANCE IS
SUFFICIENTLY DIFFERENT FROM THE U.S. SYSTEM THAT RETAINING OR OBTAINING
THE ADVICE OF A LOCAL ATTORNEY IS WISE.
ADVERTISING AND TRADE PROMOTION: THE GOVERNMENT PUBLISHES THE FRENCH
LANGUAGE NATIONAL NEWSPAPER FIVE TIMES PER WEEK. IN ADDITION, THERE ARE
HALF A DOZEN WEEKLY INDEPENDENT FRENCH LANGUAGE NEWSPAPERS. ALL
NEWSPAPERS CARRY PAID ADVERTISING.
DAILY - LE SAHEL - DAILY
WEEKLY - SAHEL DIMANCHE
OR BI- LE DEMOCRATE
WEEKLY LE PAON AFRICAIN
HASKE
LE REPUBLICAIN
TRIBUTE DU PEUPLE
MOUSTIQUE
LE PATRIOTE
LE FLIC
ANFANI
ANNUAL BUSINESS GUIDE - ANNUAIRE ECONOMIQUE, PUBLISHED BY NIGER CHAMBER
OF COMMERCE
-------------------------------------------------
V. LEADING SECTORS FOR U.S. EXPORTS AND INVESTMENT
-------------------------------------------------
AMERICAN COMPANIES HAVE BEEN INVOLVED IN OIL EXPLORATION FOR SOME YEARS.
IN ADDITION, U.S. FIRMS HAVE SHOWN AN INTEREST IN GOLD MINING AND
TELECOMMUNICATIONS. BEYOND THESE SECTORS, THE BEST PROSPECTS FOR U.S.
BUSINESS ARE IN CONSULTING AND PLANNING SERVICES ON AFRICAN DEVELOPMENT
BANK AND OTHER INTERNATIONALLY FUNDED PROJECTS. DEVELOPMENT PROJECTS
SUPPORTED BILATERAL DONORS ALSO AFFORD SOME POSSIBILITIES.
BEST PROSPECTS FOR NON-AGRICULTURAL GOODS AND SERVICES
PART I. RANKING
NON-AGRICULTURAL GOODS
1 - MINING (MIN)
2 - TELECOMMUNICATIONS EQUIPMENT (TEL)
3 - VEHICLES (AUT)
4 - PHARMACEUTICAL (DRG)
5 - CONSULTING SERVICES (MCS,TES,AGS,WRE)
6 - CONSTRUCTION EQUIPMENT (ON)
7 - OIL PRODUCTION EQUIPMENT AND SERVICES (OGM)
8 - COAL RESERVES (COL)
PART II. NARRATIVE
-- MINING: PROVEN LARGE GOLD RESERVES HEAD THE LIST. NINE COMPANIES,
INCLUDING SANTA FE AND PIONEER FROM THE U.S., ARE CURRENTLY INVOLVED IN
EXPLORATION OF GOLD DEPOSITS. POTENTIALLY COMMERCIAL QUANTITIES OF
SILVER, PLATINUM, PHOSPHATES, TITANIUM, NICKEL AND OTHER MINERALS EXIST
IN THE SAME WESTERN NIGER REGION AS THE GOLD SEAMS. NIGER HAS LARGE
DEPOSITS OF COAL AND IS A LEADING GLOBAL PRODUCER OF URANIUM.
-- TELECOMMUNICATIONS: U.S. EQUIPMENT IS LIKELY TO BE COMPETITIVE AS
THE TELECOMMUNICATIONS SYSTEM IS RESTRUCTURED, MODERNIZED AND EXTENDED.
FUTURE GROWTH AREAS INCLUDE DIGITAL SWITCHING TECHNOLOGY, SATELLITE
SERVICES, AND CELLULAR PHONES.
-- VEHICLES: THE MARKET FOR FOUR WHEEL DRIVE VEHICLES IS SUBSTANTIAL
AND DOMINATED BY VEHICLES OF JAPANESE MANUFACTURE. HOWEVER, IF CURRENT
JAPANESE EXCHANGE RATES REMAIN HIGH, U.S. COMPANIES HAVE THE OPPORTUNITY
TO GAIN MARKET SHARE WITH COMPETITIVE PRICING. THE HIGH YEN CURRENTLY
TRANSLATES INTO A 50% HIGHER PRICE FOR COMPARABLE JAPANESE VEHICLES IN
THE NIGER MARKET. CHRYSLER/JEEP OPENED A DEALERSHIP IN NIAMEY IN JULY
1994.
-- PHARMACEUTICAL: U.S. PRODUCTS MAY BE COMPETITIVE WITH EUROPEAN
IMPORTS PURCHASED BY THE GOVERNMENT-OWNED MONOPOLY IMPORTER AND
WHOLESALER FOR DISTRIBUTION TO NEIGHBORHOOD PHARMACIES. THE GOVERNMENT,
MOTIVATED BY INTERNATIONAL DONORS, IS PLANNING TO PURCHASE GENERIC
DRUGS. U.S. COMPANIES MAY FIND IT DIFFICULT TO COMPETE WITH ASIAN
MANUFACTURERS IN THE LESS EXPENSIVE, EASIER TO PRODUCE END OF THE
MARKET. HOWEVER, THERE IS A POTENTIAL UNDEVELOPED MARKET IN THE
PRODUCTION OF MORE COMPLEX, HARDER TO MANUFACTURE GENERIC DRUGS WHERE
HIGH QUALITY IS IMPORTANT.
-- CONSULTING SERVICES: IF THE ANTICIPATED STRUCTURAL AGREEMENT IS
REACHED WITH THE WORLD BANK AND THE IMF IN FALL 1995, SIGNIFICANT
CAPITAL WILL BE AVAILABLE FOR MAJOR DEVELOPMENT AND CONSTRUCTION
PROJECTS THROUGH THE AFRICAN DEVELOPMENT BANK AND OTHER INTERNATIONAL
FINANCIAL INSTITUTIONS. CONSULTING OPPORTUNITIES FOR U.S. ENGINEERING
FIRMS HEAD THE LIST OF POTENTIAL VENTURES. CURRENTLY, THE TAMS
ENGINEERING FIRM (TIPPETS-ABBETT-MCCARTHY-STRATTON) OF NEW YORK IS BEING
CONSIDERED FOR A $1.2M FEASIBILITY STUDY FOR THE PROPOSED KANDADJI DAM
ON THE NIGER RIVER NORTH OF NIAMEY. THE PROJECT HAS BEEN APPROVED BY
THE AFDB, BUT IS ON HOLD PENDING REPLENISHMENT OF FUNDS TO THE AFDB.
-- CONSTRUCTION EQUIPMENT: THE URANIUM MINING COMPANIES, COMINAK AND
SOMAIR, ALREADY PURCHASE LARGE CATERPILLAR DUMP TRUCKS AND LOADERS WHICH
HAVE PROVEN THEMSELVES IN THIS MARKET. IF THE KANDADJI DAM PROJECT GOES
FORWARD, U.S. COMPANIES WOULD BE A GOOD POSITION TO PROVIDE HEAVY EARTH
MOVING EQUIPMENT.
-- OIL PRODUCTION EQUIPMENT AND SERVICES: ONE U.S. COMPANY, HUNT OIL,
IS CURRENTLY INVOLVED IN OIL EXPLORATION. AN ELF/EXXON JOINT VENTURE
WAS ACTIVE UP TO 1994 AND FOUND OIL. IF MAJOR DEPOSITS ARE FOUND, THERE
MAY BE DEMAND FOR OIL EXPLOITATION EQUIPMENT OF ALL KINDS IN THE MEDIUM
TO LONGER TERM.
-- COAL RESERVES: MAJOR COAL RESERVES HAVE BEEN FOUND IN CENTRAL NIGER.
A MARKET MAY EXIST FOR COAL-FIRED ELECTRICAL GENERATING EQUIPMENT AS THE
NATIONAL NEED FOR ENERGY INCREASES.
PART III. DATA TABLE
(1995/1996 STATISTICS NOT AVAILABLE)
1994
A. TOTAL MARKET SIZE NA
B. TOTAL LOCAL PRODUCTION NA
C. TOTAL EXPORT $60.4M
D. TOTAL IMPORTS $188.0M
E. IMPORTS FROM THE U.S. $6.07M
(THE ABOVE STATISTICS ARE UNOFFICIAL ESTIMATES)
BEST PROSPECTS FOR AGRICULTURAL PRODUCTS
PART I. RANKING
1 - FOOD PROCESSING
2 - LEATHER PRODUCTS
PART II. NARRATIVE
-- FOOD PROCESSING: EQUIPMENT AND TECHNIQUES FOR DRYING OR OTHERWISE
PROCESSING ONIONS, GARLIC, AND TOMATOES WOULD ADD VALUE TO THE EXISTING
SUBSTANTIAL OUTPUT AND EXPORT WITHIN THE REGION. SIMILAR POTENTIAL MAY
EXIST FOR MEAT DRYING OR OTHER PROCESSING.
-- LEATHER PRODUCTS: OPPORTUNITIES EXIST FOR THE PRODUCTION OF
PARTIALLY FINISHED LEATHER TO BE EXPORTED. THERE IS AN ABUNDANCE OF
CHEAP CATTLE AND ARTISANAL PRODUCTION OF LEATHER AND LEATHER PRODUCTS.
THINK REGIONALLY: COUNTRIES IN WEST AFRICA ARE USUALLY VIEWED AS
INDIVIDUAL, SEPARATE MARKETS WITH LOW POPULATIONS DENSITIES, POOR
INFRASTRUCTURE, LOW PER CAPITA INCOME, AND ONLY A SMALL ELITE WITH
RELATIVELY GREATER BUYING POWER. THAT VIEW OBSCURES THE BUSINESS
POTENTIAL OF TAKING A GROUP OF COUNTRIES OR WEST AFRICA AS A REGION.
THE CFA FRANC ZONE, WITH ITS COMMON CURRENCY, LANGUAGE, AND LEGAL
SYSTEMS, COULD BE PROFITABLY REGARDED AS ONE MARKET.
----------------------------------
VI. TRADE REGULATIONS AND STANDARDS
----------------------------------
TRADE BARRIERS: THERE ARE NO CODIFIED IMPEDIMENTS TO U.S. OR FOREIGN
BUSINESS. THE MAJOR INFORMAL BARRIERS FOR U.S. COMPANIES ARE THE
HISTORIC AND ECONOMIC TIES TO FRANCE, THE FORMER COLONIAL POWER IN
NIGER, AND IT IS BOTH CUSTOM AND HABIT TO DO BUSINESS WITH FRENCH
COMPANIES. THE CFA FRANC IS PEGGED TO THE FRENCH FRANC AT THE RATE OF
100 CFA TO ONE FRENCH FRANC.
TARIFFS AND IMPORT TAXES: THERE ARE DUTIES ON IMPORTED GOODS. MOST
GOODS FACE A CUSTOMS CHARGE OF FIVE PERCENT OR MORE, BUT CERTAIN GOODS,
LIKE FERTILIZER, ARE EXEMPT. IN ADDITION, THERE ARE TAXES ON IMPORTS
RANGING UP TO 66 PERCENT DEPENDING ON THE TYPE OF PRODUCT. KEY
AGRICULTURAL INPUTS LIKE MOTOR PUMPS AND GRAIN MILLS ARE EXEMPT. THERE
ARE ADDITIONAL TAXES THAT MAY APPLY: STATISTICAL TAX OF 4.5 PERCENT,
VALUE ADDED TAX RANGING FROM 10 TO 24 PERCENT, AND A TAX ON PROFITS OF
FOUR PERCENT.
CUSTOMS VALUATION: CUSTOMS ARE DETERMINED BY CIF (COST, INSURANCE AND
FREIGHT) FOR IMPORTS AND FOB (FREE ON BOARD) FOR EXPORTS. IMPORTS ARE
VALUED BASED ON THE TOTAL COST OF THE GOODS, THE INSURANCE AND FREIGHT
CHARGES. EXPORTS ARE DETERMINED BY THE VALUE OF THE GOODS UPON ARRIVAL
AT THE PORT OF ENTRY INTO NIGER.
IMPORT LICENSES: IMPORT COMPANIES MUST HAVE A BUSINESS CERTIFICATE
ISSUED BY THE PREFECT (LOCAL ADMINISTRATOR) AND A CERTIFICATE OF PAYMENT
OF DUES FROM BOTH THE CHAMBER OF COMMERCE AND THE NIGERIEN COUNSEL OF
PUBLIC TRANSPORTATION. PLUS, ALL COMPANIES MUST BE ON THE TRADE
REGISTRY, THE EMPLOYERS REGISTRY, AND HAVE A BUSINESS LICENSE. IMPORT
LICENSES ARE REQUIRED. IMPORTING THE FOLLOWING GOODS REQUIRES SPECIAL
AUTHORIZATION GRANTED BY THE MINISTRY OF COMMERCE: PETROLEUM PRODUCTS,
METAL CONTAINERS, SHEET METAL, BOTTLED CARBONATED DRINKS AND LEMONADE,
BOTTLED BEER, WAX PRINT COTTON CLOTH, PAINT PRIMER (LIME), SOAP, NON-
ALCOHOL LIQUID PERFUME. (NOTE: THIS LIST LIKELY REFLECTS THE DESIRE TO
PROTECT THE POSITION OF WELL-ENTRENCHED LOCAL IMPORTERS.)
EXPORT CONTROLS: EXPORTERS REQUIRE A LICENSE ISSUED BY THE MINISTRY OF
COMMERCE.
TEMPORARY ENTRY: THERE ARE NO FREE TRADE ZONES IN NIGER, THEREFORE, NO
PROVISION FOR TEMPORARY ENTRY EXISTS.
PROHIBITED IMPORTS: FOREIGN COMPANIES ARE PROHIBITED FROM DEALING IN
ARMS OR AMMUNITION, OPERATING AS AN IMMIGRATION OR EMIGRATION AGENT,
OPERATING A PRIVATE POLICE OR GUARD FORCE, RUNNING A PRIVATE FINANCIAL
PLACEMENT SERVICE, OR ORGANIZING RELIGIOUS PILGRIMAGES.
STANDARDS: NIGER CONVERTED TO THE INTERNATIONAL HARMONIZED SYSTEM OF
PRODUCT CODES IN EARLY 1995.
FREE TRADE ZONES: NO FREE TRADE ZONES EXIST, ALTHOUGH THERE IS SOME
TALK OF CREATING ONE IN MARADI, A MAJOR CITY IN THE TRADE WITH NIGERIA.
SPECIAL IMPORT PROVISIONS: THERE ARE NO SPECIAL IMPORT PROVISIONS,
ALTHOUGH DURING THE MONTHS IMMEDIATELY FOLLOWING DEVALUATION OF THE CFA
FRANC IN JANUARY 1994, THE GOVERNMENT ALLOWED THE DUTY-FREE IMPORT OF
IMPORTANT FOOD ITEMS. THOSE SPECIAL PROVISIONS WERE LIFTED IN APRIL OF
1994.
MEMBERSHIP IN FREE TRADE ARRANGEMENTS: NIGER IS A MEMBER OF ECOWAS AND
THE WEST AFRICAN MONETARY UNION (UMOA), BOTH OF WHICH ARE DESIGNED TO
INCREASE COOPERATION IN TRADE AND OTHER MATTERS BETWEEN COUNTRIES IN THE
REGION, BUT WHICH FALL WELL SHORT OF BEING FREE TRADE ZONES.
-----------------------
VII. INVESTMENT CLIMATE
-----------------------
A. NIGER'S INVESTMENT POLICIES AND PRACTICES
---------------------------------------------
A1 OPENNESS TO FOREIGN INVESTMENT
----------------------------------
THE GOVERNMENT OF NIGER WELCOMES FOREIGN PRIVATE INVESTMENT AND
CONSIDERS IT THE KEY TO RESTORING GROWTH TO NIGER'S ECONOMY. THE
GOVERNMENT HAS WELCOMED RECENT INVESTMENT PROPOSALS BY U.S. COMPANIES.
UNDER THE 1990 INVESTMENT CODE (AND AMENDMENTS) INDUSTRIAL INVESTMENTS
ENJOY TAX AND CUSTOMS EXONERATIONS AND EVEN, IN SOME CASES, EXEMPTIONS
FROM THE VALUE ADDED TAX (VAT). ALL INVESTORS BENEFIT FROM PERIODS OF
SPECIAL TAX TREATMENT AND TARIFF PROTECTION WHICH VARY WITH THE LEVEL OF
INVESTMENT. THE INVESTMENT CODE CONTAINS NO PROVISIONS FOR SCREENING
AND GUARANTEES EQUAL TREATMENT TO ANY FOREIGN INVESTOR, REGARDLESS OF
NATIONALITY. TOTAL FOREIGN OWNERSHIP IS PERMITTED IN ALL SECTORS EXCEPT
THOSE FEW RESTRICTED FOR NATIONAL SECURITY PURPOSES LIKE ARMS AND
MUNITIONS AND PRIVATE SECURITY FORCES.
THE INVESTMENT CODE OFFERS ADVANTAGES TO SECTORS THAT THE GOVERNMENT
DEEMS PARTICULARLY IMPORTANT TO THE COUNTRY'S ECONOMIC DEVELOPMENT:
ENERGY PRODUCTION, MINERAL EXPLORATION AND MINING, AGRICULTURE AND
RELATED ACTIVITIES, FOOD PROCESSING, FORESTRY, FISHING, LOW-COST HOUSING
CONSTRUCTION, HANDICRAFTS, HOTELS, SCHOOLS, HEALTH CENTERS AND
TRANSPORTATION.
THE GREATEST BARRIERS TO INVESTMENT ARE THE SMALL SCALE OF THE ECONOMY,
LIMITED BUYING POWER, LOW RATES OF CAPITAL ACCUMULATION, AND THE FACT
THAT AN ESTIMATED TWO THIRDS OF GDP IS GENERATED BY INFORMAL
MANUFACTURING AND TRADING. IN ADDITION, TRANSPORTATION COSTS ARE HIGH
AND THE GOVERNMENT BUREAUCRACY CAN BE CUMBERSOME AND SLOW.
A2 CONVERSION AND TRANSFER POLICIES
-----------------------------------
NIGER MAINTAINS AN EXCHANGE SYSTEM THAT IS FREE OF RESTRICTIONS ON
PAYMENTS AND TRANSFERS. INVESTMENT CAPITAL AND RETURNS TO CAPITAL CAN
BE TRANSFERRED TO AND FROM NIGER THROUGH FRENCH BANKS. NIGER IS A
MEMBER OF THE CFA (COMMUNAUTE FINANCIERE AFRICAINE) ZONE ("FRANC ZONE")
AND THE WEST AFRICAN MONETARY UNION (ECOWAS). THE CFA FRANC IS FULLY
CONVERTIBLE INTO FRENCH FRANCS (FIXED AT CFA 100 TO ONE FRENCH FRANC).
THERE ARE NO RESTRICTIONS ON FOREIGN EXCHANGE AND THE INTERNATIONAL
INVESTOR COMMUNITY HAS NOT COMPLAINED OF DIFFICULTY IN THE TRANSFER OF
FUNDS.
OPIC HAS NO PROJECTS IN NIGER. (SEE SECTION C BELOW) THE ESTIMATED
ANNUAL U.S. DOLLAR VALUE OF LOCAL CURRENCY USED BY THE U.S. MISSION IS
APPROXIMATELY $4M. THE CURRENT EXCHANGE RATE IS 500 CFA FRANCS TO THE
DOLLAR. HOWEVER, THE RATE FLUCTUATES WITH THE FRENCH FRANC TO DOLLAR
RATE AND HAS RANGED FROM 530 TO 488 TO THE DOLLAR DURING THE FIRST HALF
OF 1995.
A3 EXPROPRIATION AND COMPENSATION
----------------------------------
THE INVESTMENT CODE GUARANTEES THAT NO BUSINESS WILL BE SUBJECT TO ACTS
OF NATIONALIZATION OR EXPROPRIATION, EXCEPT WHEN DEEMED TO BE "IN THE
PUBLIC INTEREST" AS PRESCRIBED BY THE LAW. THE CODE REQUIRES THAT THE
GOVERNMENT COMPENSATE ANY EXPROPRIATION MEASURE WITH JUST AND EQUITABLE
PAYMENT. NO EXPROPRIATIONS HAVE TAKEN PLACE IN RECENT YEARS AND, GIVEN
THE GOVERNMENT POLICY OF PROMOTING PRIVATE INDUSTRY, NONE ARE EXPECTED.
A4 DISPUTE SETTLEMENT
----------------------
NIGER HAS AN INDEPENDENT COURT SYSTEM WHICH RESPECTS AND PROTECTS
PROPERTY AND COMMERCIAL RIGHTS. THERE HAVE BEEN NO MAJOR INVESTMENT
DISPUTES EITHER INVOLVING U.S. OR OTHER INVESTORS IN NIGER. THE
INVESTMENT CODE PROVIDES FOR THE SETTLEMENT OF DISPUTES AND
INDEMNIFICATION EITHER BY ARBITRATION OR RECOURSE TO THE INTERNATIONAL
CENTER FOR SETTLEMENT OF DISPUTES ON INVESTMENTS WHICH WAS CREATED IN
1965 BY THE WORLD BANK.
A5 PERFORMANCE REQUIREMENTS/INCENTIVES
---------------------------------------
PERFORMANCE REQUIREMENTS ARE NOT IMPOSED AS A CONDITION FOR
ESTABLISHING, MAINTAINING OR EXPANDING FOREIGN DIRECT INVESTMENTS.
INCENTIVES DO, HOWEVER, BECOME MORE FAVORABLE AS THE SIZE OF THE
INVESTMENT AND NUMBER OF JOBS CREATED INCREASE.
THE INVESTMENT CODE OFFERS GENEROUS, VAT-INCLUSIVE TAX EXEMPTIONS,
DEPENDING ON THE SIZE OF THE BUSINESS. AREAS COVERED BY POTENTIAL TAX
EXEMPTIONS INCLUDE: START-UP COSTS; PROPERTY, INDUSTRIAL AND COMMERCIAL
PROFITS; SERVICES AND MATERIALS REQUIRED FOR PRODUCTION; AND ENERGY USE.
EXEMPTION PERIODS RANGE FROM 10-15 YEARS AND ALSO INCLUDE WAIVERS OF
DUTIES AND LICENSE FEES.
A6 RIGHT TO PRIVATE OWNERSHIP AND ESTABLISHMENT
------------------------------------------------
BY LAW AND IN PRACTICE, FOREIGN AND DOMESTIC PRIVATE ENTITIES HAVE THE
RIGHT TO ESTABLISH AND OWN BUSINESS ENTERPRISES AND ENGAGE IN ALL FORMS
OF REMUNERATIVE ACTIVITY. PRIVATE ENTITIES CAN FREELY ESTABLISH,
ACQUIRE, AND DISPOSE OF INTERESTS IN BUSINESS ENTERPRISES. LEGALLY
ESTABLISHED PRIVATE SECTOR COMPANIES HAVE THE SAME ACCESS TO MARKETS,
CREDIT AND OTHER BUSINESS OPERATIONS AS DO PUBLIC ENTERPRISES
(PARASTATALS). THE GOVERNMENT IS RECEPTIVE TO FOREIGN INTEREST IN
ACQUIRING OWNERSHIP IN PRIVATIZED PARASTATALS.
A7 PROTECTION OF PROPERTY RIGHTS
---------------------------------
NIGER IS A MEMBER OF THE WEST AFRICAN INTELLECTUAL PROPERTY ORGANIZATION
(OAPI) WHICH ESTABLISHES THE LEGAL FRAMEWORK FOR PROTECTING INTELLECTUAL
PROPERTY AND APPROVES REQUESTS FOR REGISTRATION. PROTECTION IS
INITIALLY GRANTED FOR 10 YEARS AND IS RENEWABLE FOR UP TO ANOTHER 10
YEARS.
AS A SIGNATORY TO THE 1983 PARIS CONVENTION FOR THE PROTECTION OF
INDUSTRIAL PROPERTY, NIGER PROVIDES NATIONAL TREATMENT UNDER NIGERIEN
PATENT AND TRADEMARK LAWS TO FOREIGN BUSINESSES. NIGER IS ALSO A MEMBER
OF THE WORLD INTELLECTUAL PROPERTY ORGANIZATION AND A SIGNATORY TO THE
UNIVERSAL COPYRIGHT CONVENTION. TRADE SECRETS CAN BE ADEQUATELY
PROTECTED WITHIN INDIVIDUAL BUSINESS AGREEMENTS IN NIGER.
A8 REGULATORY SYSTEM: LAW AND PROCEDURES
------------------------------------------
THE 1990 REVISION OF THE INVESTMENT CODE REDUCED THE BUREAUCRATIC
IMPEDIMENTS TO FOREIGN INVESTMENT. THE GOVERNMENT NOW PROMISES
AUTHORIZATION FOR AN INVESTMENT THREE MONTHS FROM THE DATE OF
APPLICATION. NEVERTHELESS, INVESTORS SHOULD BE PREPARED FOR DELAYS
CAUSED BY THE PROCESS OF ACQUIRING INTERMINISTERIAL APPROVALS.
WHILE EFFORTS CONTINUE TO MAKE THE TAX LAWS MORE TRANSPARENT, INVESTORS
FIND IT USEFUL TO SPECIFY FINANCIAL OBLIGATIONS, SUCH AS TAX LIABILITY,
IN INDIVIDUAL BUSINESS AGREEMENTS.
AN UPDATED PETROLEUM CODE, BASED ON INTERNATIONAL STANDARDS, WAS ADOPTED
IN 1992. IN 1993 THE GOVERNMENT REVISED THE MINING CODE WHICH OFFERS
SPECIFIC INCENTIVES BEYOND THOSE OFFERED BY THE INVESTMENT CODE: FIVE
YEAR INCOME TAX HOLIDAY FOR LARGE MINES (TWO YEARS FOR SMALL) AND
EXEMPTION OF CUSTOMS DUTIES ON IMPORTED EQUIPMENT FOR USE IN EXPLORATION
OR MINING OPERATIONS.
A9 EFFICIENT CAPITAL MARKETS/PORTFOLIO INVESTMENT
--------------------------------------------------
WHILE THE GOVERNMENT'S FINANCIAL POLICIES DO NOT PREVENT THE FREE FLOW
OF CAPITAL, THE SMALL BANKING SECTOR CAN BE AN IMPEDIMENT. ONLY THE
MOST ESTABLISHED BUSINESSES OBTAIN BANK CREDIT AND THE COST OF CREDIT IS
HIGH. BANKS OFFER ONLY A LIMITED ARRAY OF FINANCIAL INSTRUMENTS:
LETTERS OF CREDIT AND SHORT- AND LONG-TERM LOANS.
A10 POLITICAL VIOLENCE
-----------------------
THERE HAVE BEEN NO INCIDENTS IN RECENT YEARS OF POLITICALLY MOTIVATED
DAMAGE TO DEVELOPMENT PROJECTS OR INSTALLATIONS. THE 1995 PEACE
SETTLEMENT BETWEEN THE GOVERNMENT AND THE TUAREGS ENDED AN ARMED
CONFLICT THAT HAD BEEN GOING ON FOR FOUR YEARS IN NORTHERN NIGER. THE
GOVERNMENT HAS PLEDGED TO COMMIT SUBSTANTIAL RESOURCES TO THE NORTH
WHICH SHOULD EFFECTIVELY OPEN UP THE AREA TO BUSINESS INVESTMENT AND
TOURISM. AT THE TIME OF THIS WRITING, AGADEZ AND ARLIT (INCLUDING THE
TWO URANIUM MINES) ARE WELL-POLICED AND SAFE, BUT OCCASIONAL BANDITRY
OUTSIDE THE TWO CITIES CAN MAKE TRAVEL DANGEROUS. THE U.S. EMBASSY IN
NIAMEY RESTRICTS OFFICIAL TRAVEL NORTH OF THE CITY OF TAHOUA ON A
PERMISSION BASIS ONLY.
-----------------------------------
B. BILATERAL INVESTMENT AGREEMENTS
-----------------------------------
NIGER'S BILATERAL INVESTMENT AGREEMENT WITH THE UNITED STATES DATES FROM
SEPTEMBER 1962. ALMOST ALL INVESTMENT IN NIGER, HOWEVER, IS FRENCH OR
AT LEAST HAS SOME FRENCH PARTICIPATION. THE INVESTMENT CODE MAKES NO
DISTINCTION BETWEEN INVESTORS' COUNTRIES OF ORIGIN. NIGER'S GOVERNMENT
WELCOMES FOREIGN DIRECT INVESTMENT, REGARDLESS OF COUNTRY OF ORIGIN.
NIGER IS A MEMBER OF THE ECONOMIC COMMUNITY OF WEST AFRICAN STATES
(ECOWAS), THE WEST AFRICAN MONETARY UNION (UMOA), AND THE LOME
CONVENTION.
------------------------------------------------
C. OPIC AND OTHER INVESTMENT INSURANCE PROGRAMS
------------------------------------------------
WHILE NIGER IS ELIGIBLE FOR THE OPIC PROGRAM, OPIC HAS NOT BEEN INVOLVED
IN ANY INVESTMENT TO DATE. AREAS FOR POTENTIAL INVESTMENTS INCLUDE:
GOLD MINING, MINERAL MINING AND PROCESSING, PETROLEUM PRODUCTION,
AGRICULTURAL PROCESSING, MEAT PROCESSING, SEMI-FINISHED HIDES, AS WELL
AS SMALL-SCALE MANUFACTURING.
---------
D. LABOR
---------
THE SUPPLY OF SKILLED WORKERS, TECHNICIANS, AND PROFESSIONALS IS VERY
RESTRICTED. THERE ARE NO MORE THAN 65,000 SALARIED, FORMAL SECTOR
WORKERS, HALF OF WHOM ARE EMPLOYED IN THE PUBLIC SECTOR. THUS 95
PERCENT OF THE COUNTRY'S POPULATION MAKES ITS LIVING FROM AGRICULTURE,
HERDING, PETTY MANUFACTURING OR ARTISANAL PRODUCTION, AND INFORMAL
TRADING. WAGES ARE LOW AND THE POOL OF SKILLED LABOR IS SMALL.
THE GOVERNMENT CONSIDERS ORGANIZED LABOR A KEY "SOCIAL" PARTNER IN
RUNNING AND SEEKING TO DEVELOP THE COUNTRY. LABOR-MANAGEMENT RELATIONS
ARE GENERALLY GOOD. HOWEVER, THE NATIONAL FEDERATION OF LABOR UNIONS
(USTN) IS WELL-ORGANIZED AND HAS THE DEMONSTRATED ABILITY TO EFFECTIVELY
SHUT DOWN THE COUNTRY WITH GENERAL STRIKES. UNIONS HAVE REPEATEDLY
DEMONSTRATED THEIR WILLINGNESS AND CAPACITY TO FORCE THEIR POLITICAL
AGENDA UPON THE GOVERNMENT REGARDING CIVIL SERVANT WAGES. LABOR LAW AND
PRACTICE CONFORMS TO INTERNATIONAL LABOR ORGANIZATION (ILO) PRINCIPLES.
-----------------------
E. FOREIGN TRADE ZONES
-----------------------
NIGER IS A LANDLOCKED COUNTRY. WITH NO WINDOW ON THE SEA, GOODS ARRIVE
ON THE SURFACE VIA THE PORTS OF COTONOU, ABIDJAN, LOME OR SOMETIMES
LAGOS AND PORT HARCOURT OR ARE SENT AIR FREIGHT, USUALLY FROM PARIS. BY
VIRTUE OF A TRANSPORT AGREEMENT WITH BENIN, THE GOVERNMENT OF NIGER
FAVORS COTONOU. NIGER HAS NOT ESTABLISHED ANY FREE TRADE ZONES.
--------------------------
F. CAPITAL OUTFLOW POLICY
--------------------------
SEE SECTION A2 - CONVERSION AND TRANSFER POLICIES
------------------------
G/H. FOREIGN INVESTMENT
------------------------
SINCE THE URANIUM-LEAD BOOM ENDED IN THE EARLY 1980'S THERE HAS BEEN
LITTLE FOREIGN INVESTMENT IN NIGER. IN FACT, MANY EUROPEAN FIRMS HAVE
EITHER REDUCED THEIR OPERATIONS OR PULLED OUT ALL TOGETHER. HOWEVER,
WITH DEVALUATION MAKING LOCAL INPUTS MUCH LESS EXPENSIVE AND WITH A
STRUCTURAL ADJUSTMENT PROGRAM POSSIBLE BY LATE 1995, INVESTMENT
POTENTIAL HAS IMPROVED.
SEVERAL U.S. COMPANIES HAVE BEEN ACTIVE IN PETROLEUM EXPLORATION. EXXON
AND ELF-AQUITAINE (WITH ELF AS THE OPERATING PARTNER IN NIGER) HAVE
ADVANCED THEIR OIL EXPLORATION ACTIVITY TO THE DRILLING STAGE IN
SOUTHEASTERN NIGER NEAR LAKE CHAD. THEY DISCOVERED IMPORTANT, BUT NOT
YET COMMERCIAL QUANTITIES OF OIL AND COMPLETED DRILLING IN THE FALL OF
1994. MEANWHILE, HUNT OIL COMPANY IS EXPLORING FOR PETROLEUM IN THE
DJADO PLATEAU OF EXTREME NORTHEASTERN NIGER, AND IN 1995/1996 IS
PLANNING SEISMIC TESTING.
OTHER U.S. COMPANIES HAVE SHOWN INTEREST IN INVESTING IN GOLD MINING AND
TELECOMMUNICATIONS.
FRENCH BUSINESSMEN HAVE BEEN REDUCING THEIR OPERATIONS IN NIGER SINCE
THE URANIUM BUST IN THE 1980'S, BUT THE MAJORITY OF EQUIPMENT, PARTS,
AND MATERIAL INPUTS STILL COME FROM FRANCE.
OFFICIAL STATISTICS SHOW NIGER'S SECOND LARGEST TRADING PARTNER TO BE
NIGERIA AND THESE FIGURES DO NOT REFLECT NIGER'S SIZEABLE INFORMAL TRADE
WITH ITS NEIGHBOR TO THE SOUTH. SOUTH AND EAST ASIAN COUNTRIES HAVE
EARNED A PLACE IN THE MARKET PLACE WITH FOOD STUFFS AND INEXPENSIVE
MANUFACTURED GOODS (CHINA AND JAPAN). NIGER IMPORTS RICE FROM PAKISTAN.
NIGER ALSO HAS IMPORTANT TRADE RELATIONS WITH GERMANY, HOLLAND, UNITED
KINGDOM AND, IN THE REGION, WITH IVORY COAST, GHANA, AND BENIN.
FOREIGN INVESTMENT IN NIGER
--------------------------------------------------
CAPITAL
NAME PRODUCT (USD MILL) COUNTRY
---- ------- --------- -------
SONICHAR COAL 35.8 FRANCE
SOMAIR URANIUM 8.2 FRANCE, GERMANY
COMINAK URANIUM 6.3 FRANCE, JAPAN, SPAIN
BRANIGER BREWING 2.7 FRANCE
STIN TELECOMM 2.5 FRANCE/NIGER
SPCN SOAP 0.4 NETHERLANDS
SNDT STEEL 0.4 FRANCE
NIGERAL ALUMINUM 0.4 PAKISTAN, FRANCE
SNPA CANDY 0.2 FRANCE
--------------------------------------------------
TOTAL 56.9
--------------------------------------------------
TOTAL FOREIGN INVESTMENT WAS APPROXIMATELY
2.4 PERCENT OF GROSS DOMESTIC PRODUCT IN 1993.
----------------------------------
VIII. TRADE AND PROJECT FINANCING
----------------------------------
THE BANKING SYSTEM IS SERVED BY ONLY ONE LARGE INTERNATIONAL BANK, THE
MERIDIEN-BIAO. THE BIAO IS A REGIONAL BANK WITH CLOSE CONNECTIONS TO
THE FRENCH BANKING SYSTEM. BIAO CONFORMS TO INTERNATIONAL BANKING
STANDARDS. THE OTHER BANKS OPERATING IN NIGER ARE SMALLER: SONIBANK
(SOCIETE NIGERIENNE DE BANQUE), BCN (BANQUE COMMERCIALE DU NIGER) WHICH
IS JOINTLY OWNED BY THE GOVERNMENTS OF NIGER AND LIBYA, AND THE AFRICAN
NATIONAL BANK WHICH IS THE CORRESPONDENT BANK WITH CITIBANK.
IN MAY OF 1995, THERE WAS A RUN ON THE MERIDIAN-BIAO NIGER BRANCH
PRECIPITATED BY THE LIQUIDATION OF THE MERIDIEN INTERNATIONAL BANK IN
PARIS. LOCAL DEPOSITORS, CONCERNED THAT MERIDIEN-BIAO NIGER WOULD
FOLLOW ITS FRENCH MAJORITY SHAREHOLDER INTO BANKRUPTCY, WITHDREW OVER
$6M IN A FEW DAYS. THE MINISTER OF FINANCE INTERVENED TO RESTORE PUBLIC
CONFIDENCE AND THE OTHER BANKS OPERATING IN NIGER OFFERED SHORT TERM
CASH LOANS TO HELP MERIDIEN-BIAO NIGER THROUGH THE INITIAL CRISIS.
SINCE THIS INCIDENT, THE BANKING SYSTEM IN NIGER HAS RESUMED ITS NORMAL
COURSE OF AFFAIRS.
THE EXCHANGE SYSTEM IS FREE OF RESTRICTIONS ON PAYMENTS AND TRANSFERS.
INVESTMENT CAPITAL AND EARNINGS ON INVESTED CAPITAL -- DIVIDENDS,
INTEREST, LOAN AND LEASE PAYMENTS, ROYALTIES, AND FEES -- CAN BE
TRANSFERRED TO AND FROM NIGER THROUGH FRENCH
BANKS.
IN RECENT YEARS SEVERAL BANKS HAVE CLOSED, AND THE REMAINING BANKS HAVE
TIGHTENED LENDING CRITERIA. ONLY THE MOST ESTABLISHED AND CREDIT-WORTHY
BUSINESSES OBTAIN CREDIT. THE COST OF CREDIT IS HIGH AND BANKS OFFER
ONLY A LIMITED ARRAY OF FINANCIAL INSTRUMENTS.
IN THE PAST, THE EXIMBANK HAS PROVIDED FINANCING FOR EXPORT SALES TO
NIGER.
THE AFRICAN DEVELOPMENT BANK HAS APPROVED THE FOLLOWING PROJECTS:
-- 3 LIVESTOCK PROJECTS, $33M, MINISTRY OF AGRICULTURE.
-- NATURAL RESOURCES MANAGEMENT, $27M, MINISTRY OF AGRICULTURE.
-- WATER SUPPLY CENTERS, $14M, MINISTRY OF HYDROLOGY AND ENVIRONMENT.
-- SEXUALLY TRANSMITTED DISEASE PREVENTION, $7M, MINISTRY OF HEALTH.
-- STUDY TO DEFINE MINING STRATEGY AND ENCOURAGE INVESTMENT IN SECTOR,
$1M, MINISTRY OF ECONOMY AND
FINANCE.
IN ADDITION, A $1.5M FEASIBILITY STUDY ON A POTENTIAL DAM PROJECT ON THE
NIGER RIVER AT KANDADJI HAS BEEN APPROVED BY THE AFDB. IF AFDB FUNDS
ARE REPLENISHED AND NIGER PAYS OFF ITS EXISTING DEBTS (SEE SECTION II),
BIDS WILL BE TAKEN FOR THE STUDY.
-------------------
IX. BUSINESS TRAVEL
-------------------
BUSINESS CUSTOMS: NIGERIEN CULTURE IS LARGELY TRADITIONAL AND MUSLIM
AND MOST POTENTIAL BUSINESS PARTNERS ARE OBSERVANT MUSLIMS. GETTING TO
KNOW A FUTURE POTENTIAL BUSINESS PARTNER IS VERY IMPORTANT AND TAKING
TIME FOR VISITS AND MEALS TOGETHER IS IMPORTANT. RUSHING MATTERS IS
UNSEEMLY AND MAY ONLY SERVE TO DESTROY CONFIDENCE IN THE FOREIGNER'S
GOOD INTENTIONS.
TRAVEL ADVISORY AND VISAS: WITH A PEACE SETTLEMENT IN PLACE, THE
NORTHERN REGION OF THE COUNTRY IS AGAIN SAFE AND OPEN FOR TRAVEL AFTER
HAVING BEEN AFFECTED BY THE TUAREG REBELLION FOR THE LAST SEVERAL YEARS.
VISITING BUSINESS PEOPLE (AND TOURISTS) MUST HAVE A VISA ISSUED BY THE
EMBASSY OF THE REPUBLIC OF NIGER IN WASHINGTON, D.C. VISAS ARE
INITIALLY VALID FOR THREE MONTHS, BUT A SOJOURN PERMIT VALID FOR TWO
YEARS AND RENEWABLE FOR ANOTHER TWO CAN BE OBTAINED ONCE IN THE COUNTRY.
THE VISITOR MUST ALSO HAVE PROOF OF YELLOW FEVER VACCINATION.
NATIONAL HOLIDAYS INCLUDE: 1 JANUARY, EASTER MONDAY, RAMADAN, 1 MAY,
TABASKI (MUSLIM CELEBRATION USUALLY IN MAY DEPENDING ON THE LUNAR
CALENDAR), 3 AUGUST (INDEPENDENCE DAY), MOULOUD (MOHAMMED'S BIRTHDAY),
18 DECEMBER (PROCLAMATION OF THE REPUBLIC), AND CHRISTMAS.
BUSINESS INFRASTRUCTURE: THE OFFICIAL LANGUAGE OF NIGER IS FRENCH, AND
ALL POTENTIAL BUSINESS PARTNERS AND GOVERNMENT OFFICIALS SPEAK IT.
NIAMEY HAS A MODERN AIRPORT WITH FOUR FLIGHTS PER WEEK TO EUROPE AND
CONNECTIONS TO THE U.S. NIGER IS SERVED BY AIR FRANCE, AIR AFRIQUE, AIR
ALGERIE, AIR MOROCCO, AND AIR ETHIOPIA. MOST SIZABLE TOWNS WITHIN NIGER
HAVE AIRPORTS, BUT DOMESTIC SERVICE IS RESTRICTED TO CHARTER SERVICE
PROVIDED BY NIGERAVIA OUT OF NIAMEY. THE NATION IS SERVED BY A NETWORK
OF MODERN PAVED HIGHWAYS STRETCHING ACROSS THE POPULATED SOUTHERN REGION
TO THE BORDER WITH CHAD. BRANCH HIGHWAYS STRETCH NORTH TO TAHOUA,
AGADEZ, AND ARLIT AND CONNECT SOUTH INTO NIGERIA, BENIN, AND TOGO AND
WEST INTO BURKINA FASO.
NIAMEY HAS ONE MODERN FOUR STAR HOTEL (FRENCH SOFITEL) AND SEVERAL
LESSER ACCOMMODATIONS. REGIONAL BUSINESS CENTERS HAVE ONLY TWO AND
THREE STAR ACCOMMODATIONS WHICH ARE BELOW THE STANDARDS THAT MOST
WESTERN BUSINESS PEOPLE ARE ACCUSTOMED TO. NIGER'S CLIMATE IS EXTREMELY
HOT (100 - 120 DEGREES) FOR MOST OF THE YEAR AND WATER-BORNE AND AIR-
BORNE DISEASES ARE PREVALENT.
APPENDICES
A. COUNTRY DATA
1. PROFILE
POPULATION: 8.5 MILLION PEOPLE (1995 ESTIMATE).
POPULATION GROWTH RATE: 3.3 PERCENT.
RELIGIONS: 98 PERCENT MUSLIM, 1 PERCENT CHRISTIAN, 1 PERCENT ANIMIST.
GOVERNMENT SYSTEM: THE CONSTITUTION OF THE THIRD REPUBLIC WAS ADOPTED
BY A VOTE OF THE ENTIRE POPULATION IN DECEMBER OF 1992. THE
CONSTITUTION ESTABLISHES A DEMOCRATIC SYSTEM. A UNICAMERAL PARLIAMENT
WITH 83 MEMBERS AND THE PRESIDENT OF THE REPUBLIC WERE INITIALLY ELECTED
IN THE SPRING OF 1993. NEW LEGISLATORS WERE ELECTED IN JANUARY OF 1995
AND SUBSEQUENTLY A NEW PRIME MINISTER, HAMA AMADOU, WAS CHOSEN IN MARCH.
CURRENTLY THERE IS A "COALITION" GOVERNMENT WHEREBY THE TWO MAJOR
PARTIES SHARE POWER. THERE IS A FREE PRESS, OPEN AND CRITICAL PUBLIC
DEBATE, AND LABOR UNIONS AND OTHER ORGANIZATIONS OPERATE FREELY.
LANGUAGES: FRENCH IS THE OFFICIAL LANGUAGE AND THE LANGUAGE OF
BUSINESS. HAUSA AND DJERMA ARE ALSO WIDELY SPOKEN ALONG WITH OTHER LESS
WIDELY SPREAD INDIGENOUS LANGUAGES.
WORK WEEK: 40 HOURS MONDAY THROUGH FRIDAY. THE WORK DAY IS 8:00 AM TO
6:30 PM WITH A TWO TO THREE HOUR BREAK IN THE EARLY AFTERNOON.
B. DOMESTIC ECONOMY
-- GROSS DOMESTIC PRODUCT:
1993 -- 2.34 BILLION DOLLARS (285 CFAF/$).
1994 -- 1.71 BILLION DOLLARS (500 CFAF/$).
(THE CFA FRANC WAS DEVALUED 100 PERCENT IN JANUARY 1994 TO 100 CFA PER
FRENCH FRANC FROM THE PREVIOUS 50 TO ONE RATIO.)
-- GDP GROWTH RATE 1995: 6.7 PERCENT CITED BY MINISTRY OF FINANCE.
-- GDP PER CAPITA: 1994 -- $201
-- GOVERNMENT SPENDING AS PERCENT OF GDP: 16.2 PERCENT.
-- INFLATION: THE CONSUMER PRICE INDEX ROSE 42 PERCENT BY AUGUST 1994
AFTER THE DEVALUATION IN JANUARY. SINCE THEN, INFLATION HAS SLOWED
CONSIDERABLY. IN JULY 1995, THE CPI HAD RISEN 45 PERCENT SINCE
DEVALUATION ONE AND A HALF YEARS EARLIER. OVER THE COURSE OF THE FIVE
YEARS PRIOR TO THE DEVALUATION NIGER EXPERIENCED A FIVE PERCENT
DEFLATION.
-- UNEMPLOYMENT: ONLY A SMALL PERCENTAGE OF THE ECONOMICALLY ACTIVE
POPULATION OF NIGER IS EMPLOYED IN THE FORMAL SECTOR WHILE AN ESTIMATED
90% WORKS IN AND IS SUPPORTED BY SUBSISTENCE FARMING. MOST OF THAT
BASIC ECONOMY IS ONLY MINIMALLY MONETIZED. MOST OF THE REMAINING
WORKERS ARE PETTY TRADERS IN UNLICENSED AND UNTAXED INFORMAL ACTIVITY.
FORMAL SECTOR EMPLOYMENT TOTALS ONLY SOME 65,000 JOBS, HALF OF WHICH ARE
IN THE PUBLIC SECTOR. ACCURATE STATISTICS EXIST ONLY ON THE UNEMPLOYED
WHO CONTACT THE EMPLOYMENT SERVICE WHICH RECORDED APPROXIMATELY 25,000
JOB SEEKERS IN EACH OF THE LAST SEVERAL YEARS. (NOTE: THE CONSISTENCY
OF THAT FIGURE SUGGESTS THAT IT REPRESENTS THE CAPACITY OF THE
EMPLOYMENT SERVICE TO REGISTER JOB SEEKERS RATHER THAN THE ACTUAL NUMBER
OF POTENTIAL UNEMPLOYED.)
-- FOREIGN EXCHANGE RESERVES: $217.4M WHICH REPRESENTS 7.8 MONTHS OF
CIF IMPORT COVER.
(WORLD BANK)
-- AVERAGE EXCHANGE RATE FOR USD 1.00: SEPTEMBER 1994 - 530
CFAF/DOLLAR. JANUARY 1995 - 530 CFAF/DOLLAR. JULY 1995 - 490
CFAF/DOLLAR.
-- FOREIGN DEBT: AFTER DEVALUATION AND PARIS CLUB AND OTHER DEBT
FORGIVENESS, NIGER'S FOREIGN DEBT AS OF JULY 1995 TOTALED $1.41 BILLION
(706 BILLION CFA FRANCS AT 500 CFAF/DOLLAR). AT THE END OF 1993 FOREIGN
DEBT WAS $2.45 BILLION (698.9 BILLION CFAF AT 285 CFAF/DOLLAR).
-- DEBT SERVICE RATIO: NIGER'S 1994 DEBT SERVICE RATIO IN PERCENT OF
EXPORTS BEFORE DEBT FORGIVENESS WAS 174 PERCENT ($105M DEBT
SERVICE/$60.4M TOTAL EXPORTS). AFTER DEBT FORGIVENESS, IT STOOD AT 31
PERCENT ($18.4M DEBT SERVICE/$60.4M TOTAL EXPORTS).
-- THE USAID BUDGET FOR FISCAL 1995 WAS $16M, BUT IS SLATED TO INCREASE
TO $19M IN FISCAL 1996, SUBJECT TO CONGRESSIONAL APPROVAL. U.S.
MILITARY ASSISTANCE TO NIGER HAS BEEN ABOUT $200,000 PER YEAR FOR
SEVERAL YEARS IN TRAINING AND PROFESSIONAL MILITARY EDUCATION PROGRAMS.
THE U.S. DEPARTMENT OF DEFENSE ALSO PROVIDES HUMANITARIAN AID AND HAS
FUNDED A SMALL BIODIVERSITY PROJECT.
--------------------
C. TRADE: U.S./NIGER
--------------------
NOTE:
1. VALUES ARE C.I.F. BASIS.
2. IMPORTS INCLUDE THOSE BROUGHT INTO COUNTRY DUTY-FREE UNDER BILATERAL
OR MULTILATERAL ASSISTANCE PROGRAMS.
TOTAL COUNTRY EXPORTS:
1993 -- $236.8M (285 CFAF/$)
1994 -- $60.4M (500 CFAF/$)
TOTAL COUNTRY IMPORTS:
1993 -- $242.5M (285 CFAF/$)
1994 -- $188M (500 CFAF/$)
U.S. EXPORTS 1993 IN MILLIONS OF DOLLARS:
(285 CFA FRANCS/DOLLAR -- CUSTOMS VALUATION)
1. WHEAT 1.92
2. AIRCRAFT 1.27
3. CANNED FISH .87
4. MEDICINE .82
5. SORGHUM .71
6. DATA PROCESSING MACHINES .69
7. VEHICLE PARTS .51
8. MACHINES FOR EXCAVATION AND EXTRACTION .44
9. MACHINE PARTS .42
10. CIGARETTES .29
TOTAL US EXPORTS 1993 13.49
----------------------------------------------------
U.S. IMPORTS 1993 IN MILLIONS OF DOLLARS:
(285 CFA FRANCS/DOLLAR -- CUSTOMS VALUATION)
1. COTTON .48
TOTAL US IMPORTS 1993 .5
----------------------------------------------------
U.S. EXPORTS 1994 IN MILLIONS OF DOLLARS:
(500 CFA FRANCS/DOLLAR)
TOTAL U.S. EXPORTS 1994 6.07
----------------------------------------------------
U.S. IMPORTS 1994 IN MILLIONS OF DOLLARS:
(500 CFA FRANCS/DOLLAR)
TOTAL U.S. IMPORTS 1994 .273
D. INVESTMENT STATISTICS
-------------------
TRADE: NIGER/FRANCE
-------------------
NIGER IMPORTS FROM FRANCE 1993 IN $M:
(285 CFA FRANCS/DOLLAR -- CUSTOMS VALUATION)
1. MEDICINE 8.65
2. SUGAR 6.64
3. TELECOMMUNICATIONS EQUIPMENT 3.04
4. REFINED SULPHUR 2.5
TOTAL 74.03
----------------------------------------------------
NIGER EXPORTS TO FRANCE 1993 IN $M:
(285 CFA FRANCS/DOLLAR -- CUSTOMS VALUATION)
1. URANIUM 60.47
2. AVIATION GASOLINE .56
TOTAL 61.51
----------------------------------------------------
NIGER IMPORTS FROM FRANCE 1994 IN $M:
(500 CFA FRANCS/DOLLAR)
TOTAL 48.7
----------------------------------------------------
NIGER EXPORTS TO FRANCE 1994 IN $M:
(500 CFA FRANCS/DOLLAR)
TOTAL 15.4
----------------------------------------------------
--------------------
TRADE: NIGER/NIGERIA
--------------------
NIGER IMPORTS FROM NIGERIA 1993 IN $M:
(285 CFA FRANCS/DOLLAR -- CUSTOMS VALUATION)
1. GASOLINE 9.16
2. DIESEL FUEL 9.01
3. SUGAR 3.96
4. CEMENT 3.23
5. PEALED FRUIT 2.89
TOTAL 44.45
----------------------------------------------------
NIGER EXPORTS TO NIGERIA 1993 IN $M:
(285 CFA FRANCS/DOLLAR -- CUSTOMS VALUATION)
1. CIGARETTES 13.18
2. LIVESTOCK 7.80
3. COTTON CLOTH (WAX PRINTS) 7.74
TOTAL 37.29
----------------------------------------------------
NIGER IMPORTS FROM NIGERIA 1994 $M:
(500 CFA FRANCS/DOLLAR)
TOTAL 18.5
----------------------------------------------------
NIGER EXPORTS TO NIGERIA 1994 IN $M:
(500 CFA FRANCS/DOLLAR)
TOTAL 14.5
----------------------------------------------------
------------------
TRADE: NIGER/JAPAN
------------------
NIGER IMPORTS FROM JAPAN 1994 IN $M
(500 CFA/DOLLAR -- CUSTOMS VALUATION)
TOTAL 9.7
----------------------------------------------------
NIGER EXPORTS TO JAPAN 1994 IN $M
(500 CFA/DOLLAR -- CUSTOMS VALUATION)
TOTAL 15.2
----------------------------
E. U.S. AND COUNTRY CONTACTS
----------------------------
(NIGER TELEPHONE/FAX COUNTRY CODE - 227)
1. CHAMBRE DE COMMERCE, D'AGRICULTURE, D'INDUSTRIE ET D'ARTISANT DE LA
REPUBLIQUE DU NIGER
CONTACT: MRS. AISSA DIALLO, DIRECTOR OF FOREIGN TRADE
ASSOCIATION
ADDRESS: BP 209, NIAMEY
PHONE: 73-22-10/22-88
FAX: 73-46-68/46-20
2. MINISTRY OF COMMERCE
CONTACT: MRS. DIA BRIGITTE, SECRETARY GENERAL
PHONE: 73-29-76
FAX: 73-22-50
3. MINISTRY OF FINANCE AND PLANNING (PROJECTS)
CONTACTS: MR. ABDOU ISSAKA, SECRETARY GENERAL
MR. GATY SEYBOU, DEPUTY SECRETARY GENERAL
ADDRESS: PO BOX 389, NIAMEY
PHONE: 72-20-37
FAX: 72-33-71
4. BIAO (INTERNATIONAL BANK OF WEST AFRICA)
CONTACT: MR. KONE ALHASSANE, DEPUTY DIRECTOR GENERAL
ADDRESS: PO BOX 10350
PHONE: 73-31-01/34-31
FAX: 73-35-95
5. MINISTRY OF MINES & ONAREM (JOINT GOVERNMENT/PRIVATE MINING COMPANY)
CONTACT: MR. MELLY ADAM, SECRETARY GENERAL
PHONE: 72-38-51
FAX: 73-58-67
6. SONIBANK (NATIONAL BANK OF NIGER)
CONTACT: CHAKIB SIALA, DIRECTOR GENERAL
ADDRESS: PO BOX 891, NIAMEY
PHONE: 73-46-43/47-40
FAX: 73-46-93
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