Côte d'Ivoire's inward FDI stock rose from $2,483 billion in 2000 to $12,237 billion in 2020, according to UNCTAD estimates. With nearly 30% of the total FDI stock of the WAEMU, the country is the largest in the West African franc zone and the third-largest in ECOWAS.

From $2,483 billion in 2000, the stock almost tripled to $6,978 billion in 2010 before rising to $12,237 billion by 2020, despite the covid-19 which severely disrupted FDI flows that year.

This increase matches with the country’s macroeconomic performance over the period under review, and more specifically since the post-election crisis of 2012. "Since 2012, Côte d'Ivoire has embarked on a robust growth trend, which has been sustained beyond the typical rebound effect of a post-conflict situation. During this period, foreign direct investment (FDI) has increased significantly," UNCTAD notes. Capitalizing on its natural resource assets (coffee, cocoa, hydrocarbons, minerals, etc.), a dynamic domestic demand, an attractive financial sector, and a now stable political scene, Côte d'Ivoire has adopted a series of reforms to accelerate investment. These reforms include the restructuring of the Investment Promotion Center in Côte d'Ivoire (CEPICI) in September 2012 (making it the country's single portal for investments), the adoption of a new investment code in 2018, and the introduction of measures to dematerialize public services. The country also developed basic infrastructure construction projects.

Overall, Côte d'Ivoire accounted for 28% of the total stock of FDI in the West African Economic and Monetary Union (WAEMU) in 2020. This makes it the largest in the zone. The European Union remains its leading foreign partner. Despite these encouraging performances, Côte d'Ivoire still has a lot of room for maneuver to achieve its development objectives. Experts suggest that the country must step up its efforts to increase its FDI flow and stock, especially in the current post-Covid-19 economic recovery.

Although the country is the leading economic power in the WAEMU, it accounts for only about 6% of the stock of FDI in ECOWAS, behind Nigeria ($102 billion) and Ghana ($41 billion). Moreover, the FDI attracted by the country is mainly concentrated in Abidjan, the economic capital, which has once again become a hub of the sub-regional economy. By way of comparison, Côte d'Ivoire has recorded the highest growth in prosperity worldwide over the past decade but the number of rural poor people has increased by 2.4% between 2015 and 2020, according to the World Bank.

“Reforms must now be anchored in the long term and expanded beyond the economic capital to promote sustainable and inclusive development. This is an objective that aligns with the National Development Plan (NDP 2021-2025), which seeks to promote public and private investment in several areas of the country,” UNCTAD suggests.

Between 2000 and 2020, the volume of outward FDI from Côte d'Ivoire increased 143-fold, from $9 million to $1.2 billion. This performance illustrates a trend - albeit modest - of companies based in Côte d'Ivoire seeking opportunities in foreign markets.

Moutiou Adjibi Nourou