October 2023 / Focus Africa

18 Ottobre 2023

Egypt, Tax Authority Allows Expense Deduction for E-Commerce Taxpayers

The Egyptian Tax Authority (ETA) has authorized e-commerce taxpayers to deduct certain expenses from annual income. This authorization is set out in a directive in which the following items are listed as deductible:

  • 25% of rental costs;
  • 75% of Internet invoices; and
  • 20% of electricity invoices.

The directive also specifies that taxpayers can benefit from this deduction if they carry on e-commerce activities from their homes.

12 Ottobre 2023

Egyptian Tax Authority Urges Taxpayers to Apply Withholding Rates on Purchases

The Egyptian Tax Authority (ETA) has urged taxpayers to apply withholding tax to their purchases. The reminder is in line with Article 59 of Income Tax Law No. 91 of 2005, which stipulates that tax authorities may directly email or WhatsApp certain taxpayers to apply withholding tax rates to their purchases. The taxpayer should present the following documents when visiting the tax authority:

  • tax identification number;
  • commercial Register;
  • company agreement (single company);
  • corporate agreement;
  • proof of ownership/lease of the business premises; and
  • receipt from utility company.
29 Ottobre 2023

Africa in Review by the Numbers (October 2023)

€150 billion Financing allocated to African countries by the European Union under its Global Gateway Initiative to boost infrastructure development in the region. The four-year programme will enhance connectivity and sustainable development, support SMEs, boost the digital and improve energy infrastructure in Africa. (Business Insider Africa)

40% Reduction in carbon emissions expected from the implementation of Nigeria's Gas Flare Commercialisation Scheme, which recently awarded contracts to 42 indigenous firms operating 49 sites. As well as curbing emissions, the programme is expected to raise between $70 million and $100 million in annual revenues from gas flare sales, according to the upstream regulator. (Arise Nigeria)

7 Recent graduates of the 6th cohort of the Women in Tech programme in Kenya who will benefit from the $70,000 seed funding allocated by Standard Chartered Bank in partnership with iBizAfrica Incubation Centre. To date, 32 women-led startups have been awarded seed funding worth a total $320,000 from the initiative, which has received over 2,250 applicants. (Africa Business Communities)

$150 million Investment to be made by Kuramo Capital Management to empower female-led enterprises over the next 10 years. The financing will be made under the Moremi Platform and will involve a three-pillar initiative involving an accelerator programme, a warehousing or lending facility and a Fund of funds. (Africa Business Communities)

400 MW Large-scale solar power plant to be installed in Mozambique by the IFC and Cahora Bassa Hydroelectric Plant (HCB). The project will increase access to affordable renewable energy in the country and raise the production capacity of HCB to 4,000 MW by 2032. (Club of Mozambique)

47,800 tonnes First batch of fertilisers arrived at the port of Mombasa in Kenya for distribution to over 650,000 small-scale tea farmers. The consignment is part of a 92,737-tonne order that the tea management agency placed for the 2023/24 season to be delivered through their respective factory companies in an effort to keep down transport costs and reduce the end-price to farmers. (Food Business Africa)

$100 million Dual line of credit comprising €50 million each from the African Development Bank and ECOWAS Bank of Investment and Development (EBID) to support agriculture enterprises in West Africa. The credit supports EBID's strategic goal of assisting small and medium-sized firms, regional business cooperatives and farmers to promote food security. (TechEconomy)

700 MW Generation capacity of the Zungera hydropower plant commissioned in Nigeria, which is expected to meet 10% of the country's total domestic electricity requirements. The four 175-MW-unit plant is the second-largest hydropower plant in Nigeria, after receiving investment support from the Export-Import Bank of China. (ESI Africa) 3% Annual growth of African exports projected over the next decade to take the value of the continent's outbound sales to $1 trillion by 2035, according to a new report by Standard Chartered on the future of trade in Africa. In this period, Intra-African trade is expected to account for 15% of the total, or some $140 billion. (Africa Business Communities)

$60 million Trade finance facility issued to Access Bank by British International Investment (BII) to boost trade in Nigeria and five of its African subsidiaries. The loan programme, which is expected to stimulate African trade volumes by $90 million, reflects BII's commitment to bolstering financing environments in fragile countries and supports Access Bank's strategy to strengthen African trade.

(The Guardian Nigeria)

5% Available grid capacity in South Africa to be funded by Standard Bank, which is financing projects expected to add 1500 MW of generation by 2024. The new generation will help to close the shortfall in power demand and supply the country faces. (Reuters) 1000 Technology companies in Africa to benefit from Baobab Network between now and 2033. The early-stage investor is scaling up its investment target of its accelerator programme, which offers a 12-week course and $100,000 to support business development. (Africa Business Community)

$6 billion Financial initiative launched by United Bank of Africa (UBA) in partnership with the African Continental Free Trade Agreement secretariat to boost small and medium-sized enterprises (SMEs) across Africa. The funding will support and facilitate the expansion of SMEs in the agro-processing, pharmaceutical, automotive and transport and logistics sectors. (Business Insider Africa)

7.6%  Increase in earnings for Kenyan tea farmers after a $298 million bonus from Kenya Tea Development Agency, leading to record income of $457 million for 600,000 smallholder farmers. The payout comes on the back of increased sales and a favourable foreign exchange rate. (Food Business Africa)

874,000 Informal businesses Uganda expects to register in its formalisation drive by 2026/27. The move, spearheaded by the Uganda Services Registration Bureau, aims to eliminate informality, encourage growth of small businesses and widen the tax base, earning $24 million in the next four years. (Monitor)

Review by Kili Partners. Powered by Asoko Insight