The libertarian in Yaounde, Cameroon argues that unleashing the entrepreneurial abilities of Central Africans is the moral remedy from poverty: "Ideally, the true role of government in a free society is for it to make it possible for individuals and businesses to go about their lawful duties unhindered through outright plunder or exorbitant taxes, while exacting penalties through the right institutions for wilful disregard for the law. Central African governments seem much removed from the above principle. No wonder only a fraction of individual economic activities get to cross borders within the region, making a mockery of the Central African trading zone which benefits very little from the eleven-member sub regional trading bloc, the Economic Community of Central African States (ECCAS)."
Mr. Che continues his commentary about business conditions in Central Africa: "Moreover the taxation system in the ECCAS zone is at best prohibitive. Entrepreneurs still suffer from exorbitant taxes in Cameroon, Chad, Central Africa Republic, all requiring citizens (according to the World Bank’s doing business report 2010) to part with 121%,176.1%, 244 % of their gross national income in order to start a business. This situation is also true with oil-rich Equatorial Guinea which charges 100.4% from ordinary citizens who wish to start a business. The picture for after profit tax is equally depressing; 50.5% in CAMEROON, 60.1% for Chad, 203.5% for Central African Republic, 59.5% for Equatorial Guinea and 322% for Congo DRC."
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Chofor Che: "Untangling Central Africa For Business"
Posted by
Shay Riley
at
9/07/2010
Labels: Africa, Enterprise