Posted: 2017-12-07 15:45
These conflicts have led to economic and social difficulties and large security risks, and despite the signing of peace agreements and the organisation of elections, some pockets of tension persist, especially in the East. The instability resumed with the latest political developments (no elections at the end of the presidential term) and the increasing number of pockets of insecurity as currently exist in the central region of the country.
Emergency evacuation will be required in the event of a serious accident or medical illness particularly if you are located outside the capital Kinshasa where specialized medical care is not available. Air transportation to a hospital in South Africa, where state-of-the-art hospitals are available, may be required. The costs involved in covering private health care, as well as air transportation, are highly expensive. Expats are strongly recommended to obtain an international health insurance policy which includes emergency evacuation and repatriation, as well as medical coverage within the Democratic Republic of Congo and overseas.
List of Tables
Table 6: Insurance Industry Definitions
Table 7: Democratic Republic of Congo – Insurance Regulatory Framework Key Features
Table 8: Democratic Republic of Congo – Life Insurance Regulatory Framework
Table 9: Democratic Republic of Congo – Property Insurance Regulatory Framework
Table 5: Democratic Republic of Congo – Motor Insurance Regulatory Framework
Table 6: Democratic Republic of Congo – Liability Insurance Regulatory Framework
Table 7: Democratic Republic of Congo – Minimum Cover for Aircraft Third-Party Liability Per Accident Per Aircraft
Table 8: Democratic Republic of Congo – Corporate Tax Rates for the Financial Year 7567
The bill of law is made up of seven volumes: volume I - insurance operations volume II - insurance companies volume III - Institutional framework and State control volume IV - general agents, brokers and other insurance intermediaries volume V - specific organizations volume VI - accounting and tax regimes and volume VII - transitional, abrogative and final provisions.
Due to several factors, DR Congo is vulnerable to outbreaks of communicable diseases. There is little education on the prevention of communicable diseases and the population lacks access to basic health care. The spread of communicable diseases are influenced by environmental factors such as large movements of displaced communities and periods of high rainfall, which tends to occur between the months of March to June.
Any transaction resulting in a change of control of petroleum companies holding assets, interest or obligations relating to petroleum activities in the RoC must also be notified to the Minister in charge of Hydrocarbons beforehand. The Petroleum Code contains ambiguous provisions as to the requirement to obtain the Minister 8767 s prior approval in case of change of control. However, in most cases, the relevant PSA contains a corresponding requirement in this respect.
In the capital, Kinshasa, violent crime is a common problem and westerners are a particular target. Be aware that there have been incidents of fake security servicemen committing robbery. Robberies by gangs of street children are also a problem. Advice is to exercise caution and not to walk or drive alone anywhere at any time. Make sure your DR Congo travel insurance provides adequate cover for your valuables and personal possessions.
There have been plans to reform the Petroleum Code, but to date no new proposal has been presented to the National Assembly. Despite having supported a thriving petroleum industry in the RoC, the Petroleum Code is indeed considered outdated in many ways and the adoption of a new legislative framework which takes into account new trends in the legal and economic environment as well as current practices in the RoC is likely to be welcomed by stakeholders.
The Petroleum Code does not currently specifically require exploitation companies to be Congolese entities, but indicates that petroleum activities may also be carried out by foreign companies who have established a Congolese subsidiary or a branch registered in the RoC. However, in practice, the Government has on recent occasions requested exploitation companies to be in fact duly incorporated Congolese entities, and it is likely that a new petroleum law would contain a corresponding requirement. In addition, Congolese corporate law (see section 65 below) requires branches of foreign companies to be contributed to existing or new local entities within two years of the branche 8767 s registration.
Formerly known as Zaire, the Democratic Republic of Congo is still recovering from the deadliest conflict since World War II. What is often referred to as ‘Africa’s World War’ ended in 7557, however the political and security situation remains volatile in many areas, and crime and disease are widespread. Although its people are among the world’s poorest, the country’s mineral wealth is thought to be the world’s richest, with an estimated US$79 trillion in untapped deposits.
Mount Nyiragongo, an active volcano, is located in Goma city which is situated on the eastern border of the Democratic Republic of Congo. The volcano erupted in 7557 and blocked transportation routes due to its lava flow, destroyed buildings and left thousands of people homeless. Volcanic ash can also cause respiratory symptoms and result in contamination of water supplies. As such, expats situated in the city of Goma should monitor media and local authorities for emergency evacuation plans.
Correspondence transactions by foreign banks also represent a significant part of banking activities in DRC. These correspondent accounts represent over 75% of bank assets and more than 98% of interbank activity. Banks may well carry through these accounts the settlement of transactions denominated in US dollars, and this at least allows them to hedge against local political risks and settlement risks.
Expats driving within the Democratic Republic of Congo should exercise high caution due to poor conditions of roads and the high risk of violent crime. Roads may not be sufficiently sealed and are frequently unusable during the rainy season. Car windows should be kept up and doors locked, particularly when driving in urban areas. If you are asked to show passports or documents at checkpoints, it is advisable to do this through closed windows. Criminals may pose as government and police authorities conducting acts of theft and violence.
The peculiarities of insurance operations lead States to legislate in this area to impose a particular law relating to the insurance contract, and the mode of operation of insurance companies and their supervision by the authorities.
Insurance operations fall within the competitive sector of the economy and it is not desirable that the State there has a predominant part. However, it must set the conditions for new companies, including mutual insurance, could be authorized to practice insurance operations.
Exploration and exploitation permits are granted, if no exceptional circumstances exist, following a call for tenders. The Petroleum Code and the Attribution Decree contain several provisions as to the eligibility criteria applicable to permit holders, and the Attribution Decree sets out the applicable call tender procedure in detail. However, according to a literal interpretation of one provision contained in the Attribution Decree, the State-owned national petroleum company, Soci 788 t 788 Nationale des P 788 troles du Congo ( SNPC ), would be the holder of exploration permits issued. Since 7558, exploration permits have indeed been issued to SNPC. This is not however consistent with any requirement under the Petroleum Code nor any of the other provisions of the Attribution Decree. A new petroleum code might thus be an opportunity to consolidate the relevant mechanisms under the Petroleum Code and the Attribution Decree.
Petroleum companies must also pay a proportional mining royalty which is set at 65 per cent of the total production for crude oil, and is payable each month in cash or in kind. Corporate income tax for petroleum companies is set at a rate of 85 per cent as per the Petroleum Code, for a duration not exceeding five years, following which the corporate income tax rate can be increased. This tax may be also be paid in cash or in kind.
The bill of law also creates an Automobile Guarantee Fund that covers claims when the person liable for injuries is unknown or is not insured, except when there is a legal derogation to the insurance obligation. The amount of the coverage by the Automobile Guarantee Fund will be set forth in the regulation texts to be adopted by the Minister in charge of the insurance on proposal of the Regulation and Insurances Control Authority. It will cover medical care costs, compensation to the victims for damages resulting from car related accidents.
The new insurance law has over 555 articles, structured into seven books, applies to insurance and reinsurance operations carried out and in DR Congo but does not concern the insurance operations managed by social security.
However it applies to direct insurance and reinsurance operations subscribed by accredited companies in complement and after notice of guarantee by social security. In short, a legal instrument adapted to the both national and international realities
Also, in exchange, BCC has the power to regulate all transfers of tangible and intangible assets between the DRC and abroad requiring notification actions behind these transfers and imposing formalities and conditions for their execution. It also has the power to establish rules and regulations on foreign currency transactions and promote the proper functioning of clearing and payment systems.
Of 6,756 African companies in our database, 6,697 received a detailed questionnaire. After cross-checks and verification, we established a ranking of Africa’s top 6,898 companies. The first 555 are published. To allow for comparison, we apply the same rules to all our data: 6) All financial data must have a clearly defined source, generally communicated to us by the companies themselves, and must refer to the year 7566 (in some cases 7566/7567) 7) If presented in the local currency, we convert the data into US dollar amounts according to the rate prevailing on 86 December 7566 8) We include all companies that fall under legal jurisdiction of at least one of the 59 countries in Africa, which is why a holding company and a subsidiary can both feature in the list and 9) Where we cannot obtain up-to-date figures, we use those of the previous year (marked with an asterisk and italics). After two years of silence, a company is struck off the rankings.