Once hailed as a potential model for African development, Guinea-Bissau is now one of the richest inventory countries in the world. Formerly Portuguese Guinea, Guinea-Bissau won independence from Portugal in 1974 after long struggle spearheaded by the left-wing African Party for the Independence of Guinea and Cape Verde (PAIGC). For the next six years post-independence leader Luis Cabral presided over a command economy.
• Politics: Stable since New Government establish latest in April 2012
• Economy: Political instability and mismanagement have undermined the economy.
• Country is dependent on primary crops mainly cashew nuts - and subsistence agriculture. Government often struggles to pay wages. New economic policy in place by the Prime Minister will give a good population take off.
• International: Country has become transhipment point for Latin American drugs; army clashed with Senegal's Casamance separatists in 2006.The country's vital cashew nut crop provides a modest living for most of Guinea-Bissau's farmers and is the main source of foreign exchange.
• Guinea-Bissau's parliament in the capital Bissau
1. AGRO PROCESSING INDUSTRIES Climate
There are no significant investments in this area; however, given the size of annual imports of commodities such as fruit juice and sauces, roasted confectionery nuts, chicken feed, and dairy products, the sub-sector offers immense investment opportunities. There is a need for establishing a fruit juice processing industry to cater for the surplus on exports of fresh mangoes, oranges, tomatoes, and other fruits. Production of hot pepper sauce tomato paste and processing of wheat flour will go a long way towards reducing their annual import requirements. Similarly, establishment of a feed mill will complement investments in the livestock sector. These products have greater export opportunities to the sub-region as well as meeting demand due to expansion in our tourism industry.
There are a number of enterprises in this sector seeking joint venture and/or financing for expansion and modernization of their plant to meet rapid increases in demand for Guinea Bissau fish products in the export markets. Investors in the fisheries sector are accorded development incentives and also assisted by identifying export markets. There are only three companies with processing facilities of which two are operating and have very good infrastructure facilities but are currently under receivership. Potential buyers are welcome to make a turn-around of these companies. According to the most recent resource survey conducted in 1992, the Biomass estimation of all fish is up to 1 Million Tons.
Livestock production accounts for about 6% of the GDP at current market prices (1991/92 preliminary estimates). The sector's activities are limited to rearing of cattle, pigs, small ruminants and poultry for the domestic market. In the absence of organized cattle ranching to cater for the demand for beef and dairy products in the domestic market as well as our growing tourism industry, the sector offers investment opportunities. Similarly, enterprises engaged in poultry production are constrained by high cost of imported feed, resulting to poor supply response in hotels and the local market.
Manufacturing activities are limited to small and medium-scale enterprises producing mainly for the domestic market. There are large deposits of kaolin discovered in one of the provinces, titaniferous beach sands, and salt which are currently unexploded. The demand for sanitary wares and quality ceramic tiles are currently met through imports. Investment in a foundry that uses scrap metals for the production of finished-iron and metal plates required in the construction industry and small-scale repair workshops, offers good opportunity. Similarly, light pharmaceutical industry and light engineering for manufacturing and assembling of electrical and mechanical components for domestic appliances and repair workshops, are considered to be potential areas of investment.
project's feasibility study. Due to its strategic location and competitive prices, manufacturing sector in the Guinea Bissau enjoys export opportunities to the sub-regional markets. Already, plans are under-way for the establishment of an industrial estate with factory cells and several banks has been approached for financing, the
The government is committed to an orderly development and expansion of the sector to include cultural and eco-tourism in order to maximize the benefits from tourism. In this regard, the expansion of infrastructures to designated tourism development areas including natural forest parks, land marks and monuments of cultural significance are considered under the sector's development strategy. Effective marketing and promotional strategies for the U.S. markets and other European destinations is currently under review and it is anticipated that these strategies will take-off in mid 2012.Tourism sector continues to play a dominant role in the Guinea Bissau's economic development process. The sector provides employment opportunities as well as enhances foreign exchange earnings for the country. The number of visitors to the country is low and the investor as a unique opportunity to share the 94 paradise island.
There are number of hotel development projects seeking for joint venture and/or financing including, construction of 5 Star hotels, bar and restaurants, and recreation facilities. However, the immediate investment priority for the sector is in tour operations targeting the Middle-East, U.S. and Europe. Investments in airline operations linking the Guinea Bissau and the targeted destinations have greater potentials and will give impetus to the growth and development of the Guinea Bissau tourism industry.
6. SERVICE SECTOR
The development of capital market and expansion of financial intermediaries to broaden and ease access to credit by investors in the productive sectors of the economy will enhance the production capacity of these enterprises with the multiplier effects on the growth of our economy. Government is committed to establishment of a capital market and other financial intermediaries. Private sector investments in this area are most welcome.
Finally, the new 2012 Guinea Bissau's open door policy, respect for human rights and rule of law, provides an ideal investment climate.of raw material inputs for the industries. Similarly, investment in river transportation linking, Bissau to the others interior port and up-country will facilitate movement of goods and people to urban centres.Guinea Bissau and the sub-region to enhance trade as well as facilitate supply sourcesInvestment opportunities are available in air and sea transport services linking the