Although a relatively poor country in the West African region, with one of the lower GDP per capita incomes standards, Burkina Faso, being a landlocked country, husbands what natural resources it has through subsistence agriculture, although there are viable mining opportunities, mainly through copper, iron, manganese and gold, which is both a boost for the economy and a source of employment.
The country also benefits from its cotton producing industry, and is applying pressure to the WTO, along with neighbouring countries, to curtail its subsidies to other prolific cotton manufacturers. Outside of this, a significant percentage of Burkina Faso’s economic activity is funded by international aid.
Recently, the country has pursued a slow but steady privatization of state-owned enterprises, and an updated investment code has meant that foreign investors have been increasingly interested in the region which is resulting in more activity in the legal market. Gold exploration and production is on the rise, although the country’s economic situation can be affected by regional challenges, particularly in neighbouring Cote d'Ivoire.
The Firm recently conducted a review of banking regulation for an international bank, and a review of the telecommunications sector for a US-based telcoms company.
The Firm is currently acting on a major due diligence exercise for a French-based multinational acquiring assets across the region.
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