 HISTORICAL BACKGROUND OF NIC |
The National Investment Commission was created by an Act of the National Legislature in 1979 to promote and coordinate investment related activities in all sectors of the Liberian economy. The Commission has adapted the "ONE STOP SHOPPING CENTER CONCEPT" to process and conclude investment documents at the Commission, thereby removing the bureaucratic bottleneck of the investor moving between agencies of Government.
The Commission is comprised of six Commissioners headed by the Chairman who is the administrative head of the Secretariat and has a cabinet rank. Other commissioners are as follows:
1. The Minister of Finance
2. The Minister of Justice & Attorney General
3. The Minister of Commerce and Industry
4. The Minister of Planning & Economic Affairs
5. The Minister of State for Economic Affairs
| NIC, INVESTOR'S FRIEND |
To assist investors desirous of entering Liberia, the Government has set up two special organizations - the National Investment Commission (NIC) and the Liberian Bank for Development and Investment (LBDI). The combined functions of these organizations are to encourage and to aid locating and financing enterprises that would be mutually economically viable to themselves and structured to serve as agencies where foreign investors can go to get information they need , and thus cut down on the red tape that hampers investors in many other countries.
| INVESTMENT POLICY |
Foreign capital and technical know-how are indispensable factors, which enable Liberia to transform its natural wealth into the resources needed for implementing broad programs of Socio-economic Development. Thus, the principal policy measures for investment in Liberia will continue to be based on the STRATEGIC WINDOWS INVESTMENT POLICY which was enunciated on January 24, 2000 plus Investment Incentives, designed to promote and encourage international business and to attract private /foreign investments. These are considered to be the most liberal of any in West Africa today.
Under this system, the following basic opportunities are granted:
 a) Strategy windows investment policy |
- Non-nationalization of investments;
- Free repatriation of investment capital and profits;
- 100% foreign share owned, if so desired in non-iron ore mining ventures;
- Participation in almost all economic ventures except those set aside by law under the Liberianization Acts.
| b) Investment Incentives |
- 90% exemption from paying import duties on machinery and equipment , accessories, raw and auxiliary materials for a period up to five years with minimum Liberian participation of 25% share holding.
- Term of investment incentives subject to one - term renewal.
| | INDUSTRIAL POLICY |
The basic industrial policy of Liberia is that industrial enterprises may operate either in Monrovia Industrial Park, a 1,100 acres, in the Gardnerville Freeway entirely controlled by the National Investment Commission or areas approved by the Government.
| PROJECT FEASABILITY STUDIES |
It is mandatory under the Regulation of the National Investment Commission that potential investors desirous of investing in Liberia submit project proposals or feasibility studies through the Chairman of the Commission for proper appraisal and evaluation for the area of interest.
| PROCEDURES FOR OBTAINING INVESTMENT INCENTIVES |
Your application may be filed as a letter of intent for approved investment status (form IPD-1) and sent to:
"The Chairman"
National Investment Commission
Mail Bag 9043
12th street, Sinkor
Monrovia, Liberia
- A detailed Project Proposal must follow the application.
- The project is then assigned to an Analyst at the NIC for initial review, analysis and preparation of an Evaluation Report.
- After the analysis of the project is completed, a draft of the Evaluation report is reviewed by an in-house Screening Committee to ensure that the project is in accordance with NIC's requirements.
- Copies of the final Evaluation Report are then circulated to the Commissioners and other related government agencies.
- Under the chairmanship of the NIC, the Technical Committee meets to discuss the Evaluation Report and to formulate recommendations to the Commissioners based on such factors as:
· The project value - added potential;
· Employment generation;
· Degree and condition for Liberian participation;
· Use of local raw materials;
The Commissioners then meet to act upon the recommendations from the Secretariat. A project may be accepter or rejected by this body. The Commissioners also determines the perimeters for negotiations with the project sponsor and appoints the Negotiation Committee, when necessary.
- After the final contractual negotiation with Sponsor, an Investment Incentive Contract is prepared and circulated to the Commissioners for signing. Recommendations for revision or amendment of the contract may be submitted to the Secretariat, when necessary.
- In cases where the investment is above Two million USD, the contract requires the approval by the President of the Republic of Liberia and ratification by the Senate. |
