20% of Africa investments are ‘Dutch
Up to a fifth of all investments being made in Africa are attributable to ‘Dutch’ firms, which in reality often are multinationals using friendly jurisdictional rules to channel such investments, according to reports from the Netherlands.
DutchNews, quoting Financieele Dagblad, said that local trust offices and financial advisers are profiting from this channeling of investments into countries including Angola, Ghana and Nigeria.
Over 2,000 African ventures were analysed for the findings, with some 38% attributable to real Dutch companies such as Heineken, Philips and Unilever. However, the majority involved non-Dutch companies in sectors such as mining, oil and telecoms, which are using Dutch holding companies. Figures cited from the Dutch central bank suggest some €80bn out of €409bn in investments actually come from Dutch companies.
According to the reports, the Netherlands has signed 10 tax treaties with African countries, while a further 27 bilateral investment treaties are in place.