Doing Business 2018 Burundi
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Doing Business 2018 Burundi
Page 1
Doing Business 2018 Burundi
Economy Profile of Burundi
Doing Business 2018 Indicators
(in order of appearance in the document)
Starting a business Procedures, time, cost and paid-in minimum capital to start a limited liability company
Dealing with construction permits Procedures, time and cost to complete all formalities to build a warehouse and the quality
control and safety mechanisms in the construction permitting system
Getting electricity Procedures, time and cost to get connected to the electrical grid, the reliability of the
electricity supply and the transparency of tariffs
Registering property Procedures, time and cost to transfer a property and the quality of the land administration
system
Getting credit Movable collateral laws and credit information systems
Protecting minority investors Minority shareholders’ rights in related-party transactions and in corporate governance
Paying taxes Payments, time and total tax rate for a firm to comply with all tax regulations as well as post-
filing processes
Trading across borders Time and cost to export the product of comparative advantage and import auto parts
Enforcing contracts Time and cost to resolve a commercial dispute and the quality of judicial processes
Resolving insolvency Time, cost, outcome and recovery rate for a commercial insolvency and the strength of the
legal framework for insolvency
Labor market regulation Flexibility in employment regulation and aspects of job quality
Page 2Doing Business 2018 Burundi
About Doing Business
The Doing Business project provides objective measures of business regulations and their enforcement across 190 economies and selected
cities at the subnational and regional level.
The Doing Business project, launched in 2002, looks at domestic small and medium-size companies and measures the regulations applying
to them through their life cycle.
Doing Business captures several important dimensions of the regulatory environment as it applies to local firms. It provides quantitative
indicators on regulation for starting a business, dealing with construction permits, getting electricity, registering property, getting credit,
protecting minority investors, paying taxes, trading across borders, enforcing contracts and resolving insolvency. Doing Business also
measures features of labor market regulation. Although Doing Business does not present rankings of economies on the labor market
regulation indicators or include the topic in the aggregate distance to frontier score or ranking on the ease of doing business, it does present
the data for these indicators.
By gathering and analyzing comprehensive quantitative data to compare business regulation environments across economies and over time,
Doing Business encourages economies to compete towards more efficient regulation; offers measurable benchmarks for reform; and serves
as a resource for academics, journalists, private sector researchers and others interested in the business climate of each economy.
In addition, Doing Business offers detailed subnational reports, which exhaustively cover business regulation and reform in different cities and
regions within a nation. These reports provide data on the ease of doing business, rank each location, and recommend reforms to improve
performance in each of the indicator areas. Selected cities can compare their business regulations with other cities in the economy or region
and with the 190 economies that Doing Business has ranked.
The first Doing Business report, published in 2003, covered 5 indicator sets and 133 economies. This year’s report covers 11 indicator sets
and 190 economies. Most indicator sets refer to a case scenario in the largest business city of each economy, except for 11 economies that
have a population of more than 100 million as of 2013 (Bangladesh, Brazil, China, India, Indonesia, Japan, Mexico, Nigeria, Pakistan, the
Russian Federation and the United States) where Doing Business, also collected data for the second largest business city. The data for these
11 economies are a population-weighted average for the 2 largest business cities. The project has benefited from feedback from
governments, academics, practitioners and reviewers. The initial goal remains: to provide an objective basis for understanding and improving
the regulatory environment for business around the world.
The distance to frontier (DTF) measure shows the distance of each economy to the “frontier,” which represents the best performance
observed on each of the indicators across all economies in the Doing Business sample since 2005. An economy’s distance to frontier is
reflected on a scale from 0 to 100, where 0 represents the lowest performance and 100 represents the frontier. The ease of doing business
ranking ranges from 1 to 190. The ranking of 190 economies is determined by sorting the aggregate distance to frontier scores, rounded to
two decimals.
More about Doing Business (PDF, 5MB)
Page 3Doing Business 2018 Burundi
Ease of Doing Business in DB 2018 Rank
Region Sub-Saharan Africa
190 1
Burundi
Income Category Low income 164
DB 2018 Distance to Frontier (DTF)
Population 10,524,117
0 100
City Covered Bujumbura 46.92
DB 2018 Distance to Frontier (DTF)
0 100
76.13: France (Rank: 31)
65.15: Kenya (Rank: 80)
56.94: Uganda (Rank: 122)
50.43: Regional Average (Sub-Saharan Africa)
46.92: Burundi (Rank: 164)
37.65: Congo, Dem. Rep. (Rank: 182)
Note: The distance to frontier (DTF) measure shows the distance of each economy to the “frontier,” which represents the best performance observed on each of the
indicators across all economies in the Doing Business sample since 2005. An economy’s distance to frontier is reflected on a scale from 0 to 100, where 0 represents the
lowest performance and 100 represents the frontier. The ease of doing business ranking ranges from 1 to 190.
Rankings on Doing Business topics - Burundi
1
28
42
55
82
Rank
95
109
132
138
136 144
150
168 164
163
177
182
190
Starting Dealing Getting Registering Getting Protecting Paying Trading Enforcing Resolving
a with Electricity Property Credit Minority Taxes across Contracts Insolvency
Business Construction Investors Borders
Permits
Distance to Frontier (DTF) on Doing Business topics - Burundi
100
91.94
80
62.54 60.34
60
DTF
51.16
47.02 45.74
43.33
40
30.71
26.45
20
10.00
0
Starting Dealing Getting Registering Getting Protecting Paying Trading Enforcing Resolving
a with Electricity Property Credit Minority Taxes across Contracts Insolvency
Business Construction Investors Borders
Permits
Page 4Doing Business 2018 Burundi
Starting a Business
This topic measures the paid-in minimum capital requirement, number of procedures, time and cost for a small- to medium-sized limited
liability company to start up and formally operate in economy’s largest business city.
To make the data comparable across 190 economies, Doing Business uses a standardized business that is 100% domestically owned, has
start-up capital equivalent to 10 times income per capita, engages in general industrial or commercial activities and employs between 10 and
50 people one month after the commencement of operations, all of whom are domestic nationals. Starting a Business considers two types of
local limited liability companies that are identical in all aspects, except that one company is owned by 5 married women and the other by 5
married men. The distance to frontier score for each indicator is the average of the scores obtained for each of the component indicators.
The most recent round of data collection for the project was completed in June 2017. See the methodology for more information.
What the indicators measure Case study assumptions
Procedures to legally build a warehouse To make the data comparable across economies, several assumptions about the
(number) business and the procedures are used. It is assumed that any required information is
readily available and that the entrepreneur will pay no bribes.
â—
Submitting all relevant documents and obtaining
all necessary clearances, licenses, permits and
The business:
certificates
â—
Submitting all required notifications and receiving - Is a limited liability company (or its legal equivalent). If there is more than one type
all necessary inspections of limited liability company in the economy, the most common among domestic firms
is chosen. Information on the most common form is obtained from incorporation
â—
Obtaining utility connections for water and
lawyers or the statistical office.
sewerage
- Operates in the economy’s largest business city and the entire office space is
â—
Registering and selling the warehouse after its approximately 929 square meters (10,000 square feet). For 11 economies the data
completion are also collected for the second largest business city.
- Is 100% domestically owned and has five owners, none of whom is a legal entity;
Time required to complete each procedure
and has a start-up capital of 10 times income per capita and has a turnover of at
(calendar days)
least 100 times income per capita.
â—
Does not include time spent gathering information - Performs general industrial or commercial activities, such as the production or sale
â—
Each procedure starts on a separate day (2 of goods or services to the public. The business does not perform foreign trade
procedures cannot start on the same day) activities and does not handle products subject to a special tax regime, for example,
liquor or tobacco. It does not use heavily polluting production processes.
â—
Procedures fully completed online are recorded
- Leases the commercial plant or offices and is not a proprietor of real estate and the
as ½ day
amount of the annual lease for the office space is equivalent to 1 times income per
â—
Procedure is considered completed once final capita.
document is received - Does not qualify for investment incentives or any special benefits.
â—
No prior contact with officials - Has at least 10 and up to 50 employees one month after the commencement of
operations, all of whom are domestic nationals.
Cost required to complete each procedure (% of - Has a company deed 10 pages long.
income per capita)
The owners:
â—
Official costs only, no bribes
â—
No professional fees unless services required by - Have reached the legal age of majority. If there is no legal age of majority, they are
law or commonly used in practice assumed to be 30 years old.
- Are sane, competent, in good health and have no criminal record.
Paid-in minimum capital (% of income per capita - Are married and the marriage is monogamous and registered with the authorities.
â—
Funds deposited in a bank or with third party - Where the answer differs according to the legal system applicable to the woman or
before registration or up to 3 months after man in question (as may be the case in economies where there is legal plurality), the
incorporation answer used will be the one that applies to the majority of the population.
Page 5Doing Business 2018 Burundi
Starting a Business - Burundi
Standardized Company
Legal form Société à Responsabilité Limitée (SARL) - Limited Liability
Company
Paid-in minimum capital requirement BIF 0
City Covered Bujumbura
Indicator Burundi Sub-Saharan OECD high Overall Best
Africa income Performer
Procedure – Men (number) 3 7.6 4.9 1.00 (New Zealand)
Time – Men (days) 4 24.0 8.5 0.50 (New Zealand)
Cost – Men (% of income per capita) 33.9 49.9 3.1 0.00 (United Kingdom)
Procedure – Women (number) 3 7.7 4.9 1.00 (New Zealand)
Time – Women (days) 4 24.1 8.5 0.50 (New Zealand)
Cost – Women (% of income per capita) 33.9 49.9 3.1 0.00 (United Kingdom)
Paid-in min. capital (% of income per capita) 0.0 25.6 8.7 0.00 (113 Economies)
Figure – Starting a Business in Burundi and comparator economies – Ranking and DTF
DB 2018 Distance to Frontier (DTF)
0 100
93.28: France (Rank: 25)
91.94: Burundi (Rank: 42)
89.78: Congo, Dem. Rep. (Rank: 62)
83.20: Kenya (Rank: 117)
76.82: Regional Average (Sub-Saharan Africa)
72.25: Uganda (Rank: 165)
Note: The ranking of economies on the ease of starting a business is determined by sorting their distance to frontier scores for starting a
business. These scores are the simple average of the distance to frontier scores for each of the component indicators.
Page 6Doing Business 2018 Burundi
Figure – Starting a Business in Burundi – Procedure, Time and Cost
Time (days) Cost (% of income per capita)
4 35
3.5 30
Cost (% of income per capita)
3
25
Time (days)
2.5
20
2
15
1.5
10
1
0.5 5
0 0
1 2 3
Procedures (number)
* This symbol is shown beside procedure numbers that take place simultaneously with the previous procedure.
Note: Online procedures account for 0.5 days in the total time calculation. For economies that have a different procedure list for men and
women, the graph shows the time for women. For more information on methodology, see the Doing Business website
(http://doingbusiness.org/en/methodology ). For details on the procedures reflected here, see the summary below.
Page 7Doing Business 2018 Burundi
Details – Starting a Business in Burundi – Procedure, Time and Cost
No. Procedures Time to Complete Associated Costs
1 Submit all documents to the one-stop shop (API) and obtain registration 1 day Cost included in
certificate and the tax identification number procedure 2
Agency : Agence de la Promotion et de l'Investissement (API)
The following documents need to be submitted at the Agence des Promotions des
Investissements (API):
1. Application form for the creation of a new company (includes name of the company,
type of company, address, initial capital, number of partners and their names, contribution
of each partner)
2. Standard company statutes
3. Application form for registration with the Greffe of the Tribunal de Commerce
4. Application form for registration with the OBR to obtain the NIF
5. Photos of all partners
6. Copy of identities of all partners
The applicant first deposits all these documents at the API. The applicant will then obtain
a certificate of incorporation and a fiscal identification number (NIF) issued by the tax
authority (Office Burundais des Recettes). In addition, the applicant can now complete
the registration of the company with the National Institute for Social Security at the one-
stop shop.
2 Pay the registration fees at the Commercial Bank cashier 1 day - 50.000 BIF for
Agency : Commercial Bank of Burundi (BANCOBU) submission fees
The applicant pays the registration fees at the Commercial Bank of Burundi - 50.000 BIF for the
(BANCOBU) located inside the one-stop shop. registration of a new
company
- 30.000 BIF for the
registration with the
Companies registry
- 1000 BIF for the first
page of the articles of
association and 800
BIF per page for
additional pages.
3 Make a company seal 2 days BIF 20,000
Agency : Shops dealing with stamp making
The company seal is not required by law but it is done in practice.
Companies need it for their daily activities in order to authenticate their documents.
Takes place simultaneously with previous procedure.
Page 8Doing Business 2018 Burundi
Dealing with Construction Permits
This topic tracks the procedures, time and cost to build a warehouse—including obtaining necessary the licenses and permits, submitting all
required notifications, requesting and receiving all necessary inspections and obtaining utility connections. In addition, the Dealing with
Construction Permits indicator measures the building quality control index, evaluating the quality of building regulations, the strength of
quality control and safety mechanisms, liability and insurance regimes, and professional certification requirements. The most recent round of
data collection was completed in June 2017. See the methodology for more information
What the indicators measure Case study assumptions
Procedures to legally build a warehouse To make the data comparable across economies, several assumptions about the
(number) construction company, the warehouse project and the utility connections are used.
â—
Submitting all relevant documents and obtaining
The construction company (BuildCo):
all necessary clearances, licenses, permits and
certificates - Is a limited liability company (or its legal equivalent) and operates in the economy’s
â—
Submitting all required notifications and receiving largest business city. For 11 economies the data are also collected for the second
all necessary inspections largest business city.
- Is 100% domestically and privately owned; has five owners, none of whom is a
â—
Obtaining utility connections for water and
legal entity. Has a licensed architect and a licensed engineer, both registered with
sewerage
the local association of architects or engineers. BuildCo is not assumed to have any
â—
Registering and selling the warehouse after its other employees who are technical or licensed experts, such as geological or
completion topographical experts.
- Owns the land on which the warehouse will be built and will sell the warehouse
Time required to complete each procedure
upon its completion.
(calendar days)
â—
Does not include time spent gathering information The warehouse:
â—
Each procedure starts on a separate day— - Will be used for general storage activities, such as storage of books or stationery.
though procedures that can be fully completed - Will have two stories, both above ground, with a total constructed area of
online are an exception to this rule approximately 1,300.6 square meters (14,000 square feet). Each floor will be 3
â—
Procedure is considered completed once final meters (9 feet, 10 inches) high and will be located on a land plot of approximately
document is received 929 square meters (10,000 square feet) that is 100% owned by BuildCo, and the
warehouse is valued at 50 times income per capita.
â—
No prior contact with officials
- Will have complete architectural and technical plans prepared by a licensed
Cost required to complete each procedure (% of architect. If preparation of the plans requires such steps as obtaining further
income per capita) documentation or getting prior approvals from external agencies, these are counted
as procedures.
â—
Official costs only, no bribes
- Will take 30 weeks to construct (excluding all delays due to administrative and
regulatory requirements).
Building quality control index (0-15)
â—
Sum of the scores of six component indices: The water and sewerage connections:
â—
Quality of building regulations (0-2) - Will be 150 meters (492 feet) from the existing water source and sewer tap. If there
â—
Quality control before construction (0-1) is no water delivery infrastructure in the economy, a borehole will be dug. If there is
no sewerage infrastructure, a septic tank in the smallest size available will be
â—
Quality control during construction (0-3)
installed or built.
â—
Quality control after construction (0-3) - Will have an average water use of 662 liters (175 gallons) a day and an average
â—
Liability and insurance regimes (0-2) wastewater flow of 568 liters (150 gallons) a day. Will have a peak water use of
â—
Professional certifications (0-4) 1,325 liters (350 gallons) a day and a peak wastewater flow of 1,136 liters (300
gallons) a day.
- Will have a constant level of water demand and wastewater flow throughout the
year; will be 1 inch in diameter for the water connection and 4 inches in diameter for
the sewerage connection.
Page 9Doing Business 2018 Burundi
Dealing with Construction Permits - Burundi
Standardized Company
Estimated value of warehouse BIF 23,584,486.20
City Covered Bujumbura
Indicator Burundi Sub-Saharan OECD high Overall Best
Africa income Performer
Procedures (number) 15 14.8 12.5 7.00 (Denmark)
Time (days) 70 147.5 154.6 27.5 (Korea, Rep.)
Cost (% of warehouse value) 12.5 9.9 1.6 0.10 (5 Economies)
Building quality control index (0-15) 3.0 8.0 11.4 15.00 (3 Economies)
Figure – Dealing with Construction Permits in Burundi and comparator economies – Ranking and DTF
DB 2018 Distance to Frontier (DTF)
0 100
79.29: France (Rank: 18)
63.91: Congo, Dem. Rep. (Rank: 121)
63.16: Kenya (Rank: 124)
58.37: Uganda (Rank: 148)
56.91: Regional Average (Sub-Saharan Africa)
51.16: Burundi (Rank: 168)
Note: The ranking of economies on the ease of dealing with construction permits is determined by sorting their distance to frontier scores for
dealing with construction permits. These scores are the simple average of the distance to frontier scores for each of the component
indicators.
Figure – Dealing with Construction Permits in Burundi – Procedure, Time and Cost
Time (days) Cost (% of income per capita)
70 3
60
Cost (% of income per capita)
2.5
50
2
Time (days)
40
1.5
30
1
20
0.5
10
0 0
1 *2 3 4 5 6 7 8 9 10 11 12 13 * 14 * 15
Procedures (number)
* This symbol is shown beside procedure numbers that take place simultaneously with the previous procedure.
Note: Online procedures account for 0.5 days in the total time calculation. For economies that have a different procedure list for men and
women, the graph shows the time for women. For more information on methodology, see the Doing Business website
(http://doingbusiness.org/en/methodology ). For details on the procedures reflected here, see the summary below.
Page 10Doing Business 2018 Burundi
Figure – Dealing with Construction Permits in Burundi and comparator economies – Measure of Quality
15 14.0
Index score
10 9.0
8.0 8.0 8.0
5
3.0
0
Burundi Congo, Dem. Rep. France Kenya Uganda Sub-Saharan Africa
Details – Dealing with Construction Permits in Burundi – Procedure, Time and Cost
No. Procedures Time to Complete Associated Costs
1 Obtain a geotechnical study 14 days BIF 600,000
Agency : National Laboratory for Building Construction and Public Works
(Laboratoire National Du Bâtiment et des Travaux Publics)
Fees are based on a maximum calculation (Maximum d'essais), which comprises all the
verifications the National Laboratory of Construction and Public Works has to do.
2 Obtain a topographic survey of the land 2 days BIF 175,000
Agency : Private firm
A topographic survey of the land is necessary for the accurate design of the building
plans
3 Submit application for the building permit at the DGHU 1 day no charge
Agency : Directorate of Urban Planning and Habitat (DGHU)
Documents needed for the building permit are:
• One copy of the property title
• One copy of the original payment receipt of the “rrais de viabilisation”
• One copy of the original “proces Verbal de bornage et d’arpentage” (obtained when the
property title is being processed on the bare land)
• Construction plans: Vues en plan, facades, coupe, plan d’implantation (4 copies of each)
• Original estimated cost of construction: original (3 copies)
• Original septic tank plan (3 copies)
• Original structural plan since it is a G1 structure (ground level with 1 floor)
• Original geotechnical study since it is a G1 structure
The files are submitted at the ‘Service de Control de la DGHU’, who in turn will forward
them internally to the Service de L’instruction.
Applicants are instructed to return to the DGHU 3 days after submitting their files to
check on the status of the applications and to see whether additional information or
documents or changes must be made to the plans. Assuming that no modifications are
required, BuildCo will accompany the inspector to the site of construction. This is to
verify that the parcel is correct and no construction work has started without a permit.
During those 3 days, the service verifies the plans, particularly in terms of “plan
d’occupation des sols” (which surface one is allowed to build on). If some remarks and
missing documents need to be addressed, the on-premise inspection will occur once all
issues are addressed.
4 Pay permit fees and the construction tax at the Banque de la Republique du 1 day BIF 661,747
Burundi
Agency : Banque de la Republique du Burundi
Payment of the permit fees and the construction tax is made at the Banque de la
Republique du Burundi.
The cost of the permit is 0.6% of estimated construction cost per square meter (BIF
750,000.00 x 1,300.6).
In addition, the urban development cost must also be paid and the amount depends on the
location of construction. For the Doing Business case study, the location of the
warehouse is the “quartier des usines.” For this specific location, the cost is BIF 400 per
square meter of the building (BIF 400 * 1,300.6).
5 Present proof of payment of the construction tax (taxe de batisse) to the 1 day no charge
DGHU
Agency : Directorate of Urban Planning and Habitat (DGHU)
The proof of payment must be provided to the DGHU.
Page 11Doing Business 2018 Burundi
6 Obtain building permit 14 days no charge
Agency : Directorate of Urban Planning and Habitat (DGHU)
There are two signatures on a building permit. The Director of DGHU signs the file
which is then forwarded to the Director General of DGHU for his signature. There are no
mechanisms to inform applicants that their construction permit has been processed. It is
the responsibility of the applicant to follow up.
7 Request certificate of conformity and proof of development 1 day no charge
Agency : Directorate of Urban Planning and Habitat (DGHU)
Once the construction is completed, the owner requests an ‘attestation de mise en valeur
et de conformité’ from DGHU. This attestation validates that the construction has been
built in accordance to the approved plans. To complete the attestation, DGHU will
inspect the site of construction.
The application for a certificate of conformity must be accompanied by a picture of the
newly constructed building.
8 Receive inspection from DGHU 1 day no charge
Agency : Directorate of Urban Planning and Habitat (DGHU)
9 Obtain certificate of conformity and proof of development 1 day no charge
Agency : Directorate of Urban Planning and Habitat (DGHU)
10 Deposit request for the modification of the "proces verbal de bornage et 1 day no charge
d'arpentage" at the Cadastre
Agency : Direction National du Cadastre
Once a building has been completed, it must be registered at the Land Registry to have a
property tile. Therefore, the “process verbal de bornage et d’arpentage” must be modified
to reflect the new constructed building. A new “process verbal de bornage et
d’arpentage" will be issued. This is required in order for the Land Registry to issue the
property title.
11 Receive site inspection from the Cadastre 1 day no charge
Agency : Direction National du Cadastre
12 Obtain updated "proces verbal de bornage et d'arpentage" from the 3 days no charge
Cadastre
Agency : Direction National du Cadastre
13 Request and receive updated property title from the land registry 30 days BIF 520,240
Agency : Department of Land Titles (Ministry of Justice)
Obtain water connection 30 days BIF 500,000
14 Agency : REGIDESO
Obtain sewage connection 15 days BIF 500,000
15 Agency : SETEMU
Takes place simultaneously with previous procedure.
Page 12Doing Business 2018 Burundi
Details – Dealing with Construction Permits in Burundi – Measure of Quality
Answer Score
Building quality control index (0-15) 3.0
Quality of building regulations index (0-2) 0.0
How accessible are building laws and regulations in your economy? (0-1) Not easily 0.0
accessible.
Which requirements for obtaining a building permit are clearly specified in the building List of required 0.0
regulations or on any accessible website, brochure or pamphlet? (0-1) documents.
Quality control before construction index (0-1) 0.0
Which third-party entities are required by law to verify that the building plans are in By law, there is 0.0
compliance with existing building regulations? (0-1) no need to verify
plans
compliance; Civil
servant reviews
plans.
Quality control during construction index (0-3) 0.0
What types of inspections (if any) are required by law to be carried out during construction? No inspections 0.0
(0-2) are legally
required during
construction..
Do legally mandated inspections occur in practice during construction? (0-1) Mandatory 0.0
inspections are
not always done
in practice during
construction.
Quality control after construction index (0-3) 2.0
Is there a final inspection required by law to verify that the building was built in accordance Yes, final 2.0
with the approved plans and regulations? (0-2) inspection is
done by
government
agency.
Do legally mandated final inspections occur in practice? (0-1) Final inspection 0.0
does not always
occur in practice;
Final inspection
occurs most of
the time.
Liability and insurance regimes index (0-2) 1.0
Which parties (if any) are held liable by law for structural flaws or problems in the building Architect or 1.0
once it is in use (Latent Defect Liability or Decennial Liability)? (0-1) engineer;
Construction
company.
Which parties (if any) are required by law to obtain an insurance policy to cover possible No party is 0.0
structural flaws or problems in the building once it is in use (Latent Defect Liability Insurance required by law
or Decennial Insurance)? (0-1) to obtain
insurance .
Professional certifications index (0-4) 0.0
What are the qualification requirements for the professional responsible for verifying that the There are no 0.0
architectural plans or drawings are in compliance with existing building regulations? (0-2) specific
requirements.
What are the qualification requirements for the professional who supervises the construction There are no 0.0
on the ground? (0-2) specific
requirements.
Page 13Doing Business 2018 Burundi
Getting Electricity
This topic measures the procedures, time and cost required for a business to obtain a permanent electricity connection for a newly
constructed warehouse. Additionally, the reliability of supply and transparency of tariffs index measures reliability of supply, transparency of
tariffs and the price of electricity. The most recent round of data collection for the project was completed in June 2017. See the methodology
for more information.
What the indicators measure Case study assumptions
Procedures to obtain an electricity connection To make the data comparable across economies, several assumptions about the
(number) construction company, the warehouse project and the utility connections are used.
â—
Submitting all relevant documents and obtaining
The construction company (BuildCo):
all necessary clearances and permits
â—
Completing all required notifications and - Is a limited liability company (or its legal equivalent) and operates in the economy’s
receiving all necessary inspections largest business city. For 11 economies the data are also collected for the second
largest business city.
â—
Obtaining external installation works and possibly
- Is 100% domestically and privately owned; has five owners, none of whom is a
purchasing material for these works
legal entity. Has a licensed architect and a licensed engineer, both registered with
â—
Concluding any necessary supply contract and the local association of architects or engineers. BuildCo is not assumed to have any
obtaining final supply other employees who are technical or licensed experts, such as geological or
topographical experts.
Time required to complete each procedure
- Owns the land on which the warehouse will be built and will sell the warehouse
(calendar days)
upon its completion.
â—
Is at least 1 calendar day
The warehouse:
â—
Each procedure starts on a separate day
â—
Does not include time spent gathering information - Will be used for general storage activities, such as storage of books or stationery.
- Will have two stories, both above ground, with a total constructed area of
â—
Reflects the time spent in practice, with little
approximately 1,300.6 square meters (14,000 square feet). Each floor will be 3
follow-up and no prior contact with officials
meters (9 feet, 10 inches) high and will be located on a land plot of approximately
Cost required to complete each procedure (% of 929 square meters (10,000 square feet) that is 100% owned by BuildCo, and the
income per capita) warehouse is valued at 50 times income per capita.
- Will have complete architectural and technical plans prepared by a licensed
â—
Official costs only, no bribes architect. If preparation of the plans requires such steps as obtaining further
â—
Value added tax excluded documentation or getting prior approvals from external agencies, these are counted
as procedures.
The reliability of supply and transparency of - Will take 30 weeks to construct (excluding all delays due to administrative and
tariffs index (0-8) regulatory requirements).
â—
Duration and frequency of power outages (0–3)
The water and sewerage connections:
â—
Tools to monitor power outages (0–1)
- Will be 150 meters (492 feet) from the existing water source and sewer tap. If there
â—
Tools to restore power supply (0–1)
is no water delivery infrastructure in the economy, a borehole will be dug. If there is
â—
Regulatory monitoring of utilities’ performance no sewerage infrastructure, a septic tank in the smallest size available will be
(0–1) installed or built.
â—
Financial deterrents limiting outages (0–1) - Will have an average water use of 662 liters (175 gallons) a day and an average
wastewater flow of 568 liters (150 gallons) a day. Will have a peak water use of
â—
Transparency and accessibility of tariffs (0–1)
1,325 liters (350 gallons) a day and a peak wastewater flow of 1,136 liters (300
Price of electricity (cents per kilowatt-hour)* gallons) a day.
- Will have a constant level of water demand and wastewater flow throughout the
â—
Price based on monthly bill for commercial
year; will be 1 inch in diameter for the water connection and 4 inches in diameter for
warehouse in case study
the sewerage connection.
*Note: Doing Business measures the price of
electricity, but it is not included in the distance to
frontier score nor the ranking on the ease of getting
electricity.
Page 14Doing Business 2018 Burundi
Getting Electricity - Burundi
Standardized Company
Price of electricity (US cents per kWh) 11.1
Name of utility Régie de Production et Distribution d'Eau et d'Electricité
(Regideso)
City Covered Bujumbura
Indicator Burundi Sub-Saharan OECD high Overall Best
Africa income Performer
Procedures (number) 5 5.3 4.7 2 (United Arab
Emirates)
Time (days) 158 115.3 79.1 10 (United Arab
Emirates)
Cost (% of income per capita) 15517.3 3737.0 63.0 0.00 (Japan)
Reliability of supply and transparency of tariff 0 0.9 7.4 8.00 (28 Economies)
index (0-8)
Figure – Getting Electricity in Burundi and comparator economies – Ranking and DTF
DB 2018 Distance to Frontier (DTF)
0 100
85.89: France (Rank: 26)
76.68: Kenya (Rank: 71)
45.91: Regional Average (Sub-Saharan Africa)
34.11: Uganda (Rank: 173)
33.59: Congo, Dem. Rep. (Rank: 175)
26.45: Burundi (Rank: 182)
Note: The ranking of economies on the ease of getting electricity is determined by sorting their distance to frontier scores for getting
electricity. These scores are the simple average of the distance to frontier scores for each of the component indicators.
Page 15Doing Business 2018 Burundi
Figure – Getting Electricity in Burundi – Procedure, Time and Cost
Time (days) Cost (% of income per capita)
18000
140 16000
Cost (% of income per capita)
120 14000
12000
100
Time (days)
10000
80
8000
60
6000
40
4000
20 2000
0 0
1 *2 3 4 *5
Procedures (number)
* This symbol is shown beside procedure numbers that take place simultaneously with the previous procedure.
Note: Online procedures account for 0.5 days in the total time calculation. For economies that have a different procedure list for men and
women, the graph shows the time for women. For more information on methodology, see the Doing Business website
(http://doingbusiness.org/en/methodology ). For details on the procedures reflected here, see the summary below.
Figure – Getting Electricity in Burundi and comparator economies – Measure of Quality
8
8
7
6
Index score
5
4
4
3
2
0.9
1
0 0 0
0
Burundi Congo, Dem. Rep. France Kenya Uganda Sub-Saharan Africa
Page 16Doing Business 2018 Burundi
Details – Getting Electricity in Burundi – Procedure, Time and Cost
No. Procedures Time to Complete Associated Costs
1 Submit application to REGIDESO and await and receive estimate 16 calendar days BIF 0
Agency : REGIDESO-Burundi
As there are no online applications, the customer must apply in person at a REGIDESO
customer service office by completing a form to request the connection. The customer
has to provide copies of two documents: (i) the national identification card and (ii) the
family composition certificate and specify the location of the warehouse. There is no
need to notarize those documents. There is an application fee to be paid. A few days after
the external inspection, the customer goes to the office of REGIDESO to obtain the
estimate and to pay for it. Once payment is made, REGIDESO will prepare a report of the
works. This is an internal report listing all the material necessary for the connection. The
report is then transmitted to the department in charge of the actual connection work.
No internal inspection or certificate regarding the safety of the internal wiring has to be
submitted. The electrician must be a licensed one, but not necessarily with REGIDESO.
The customer takes the entire responsibility regarding the safety of the internal wiring
with signing the contract.
2 Receive site inspection by REGIDESO and await feasibility study 1 calendar day BIF 0
Agency : REGIDESO-Burundi
REGIDESO sends an engineer to the site to check the information and prepare a pro-
forma if the connection is feasible and the energy required is available at that place. The
pro-forma is sent to the Supervisor (Superieur hierarchique) for signature. The customer
must be at the site for this visit in case the engineer of REGIDESO needs some
clarification. At that time, REGIDESO measures the distance from the site of the future
transformer to the electrical grid.
3 Purchase transformer 105 calendar days BIF 0
Agency : Market
A transformer needs to be ordered to accommodate a 140kVA connection, to go from
medium voltage to low voltage. Acquiring the transformer is the responsibility of the
client. If the utility has a transformers in stock, the customer simply purchases one from
the warehouse of the utility. There are shortages, however, on electricity material.
Therefore, transformers typically need to be imported, which can take several months.
The imported transformer needs to comply with some standards set by REGIDESO. Once
the material is acquired, REGIDESO will have to do a quick conformity check, after
which it will begin the external works.
4 Receive external works and meter installation by REGIDESO 37 calendar days BIF 73,193,616.92
Agency : REGIDESO-Burundi
The utility does all the external connection works - including the design of the connection
from the electrical grid to the transformer. The meter is installed before the actual
connection takes place. The meter is rented from REGIDESO; a flat fee is paid for this.
In the event that the meter breaks, it is replaced free of charge.
5 Sign supply contract with REGIDESO 1 calendar day BIF 0
Agency : REGIDESO-Burundi
The client usually signs the supply contract with the utility at the end of the external
connection works, but can sign the contract also during the works.
Takes place simultaneously with previous procedure.
Page 17Doing Business 2018 Burundi
Details – Getting Electricity in Burundi – Measure of Quality
Answer
Reliability of supply and transparency of tariff index (0-8) 0
Total duration and frequency of outages per customer a year (0-3) 0
System average interruption duration index (SAIDI) ..
System average interruption frequency index (SAIFI) ..
What is the minimum outage time (in minutes) that the utility considers for the calculation of SAIDI/SAIFI N/A
Mechanisms for monitoring outages (0-1) 0
Does the distribution utility use automated tools to monitor outages? No
Mechanisms for restoring service (0-1) 0
Does the distribution utility use automated tools to restore service? No
Regulatory monitoring (0-1) 0
Does a regulator—that is, an entity separate from the utility—monitor the utility’s performance on reliability of No
supply?
Financial deterrents aimed at limiting outages (0-1) 0
Does the utility either pay compensation to customers or face fines by the regulator (or both) if outages No
exceed a certain cap?
Communication of tariffs and tariff changes (0-1) 0
Are effective tariffs available online? No
Link to the website, if available online
Are customers notified of a change in tariff ahead of the billing cycle? Yes
Note:
If the duration and frequency of outages is 100 or less, the economy is eligible to score on the Reliability of supply and transparency of tariff
index.
If the duration and frequency of outages is not available, or is over 100, the economy is not eligible to score on the index.
If the minimum outage time considered for SAIDI/SAIFI is over 5 minutes, the economy is not eligible to score on the index.
Page 18Doing Business 2018 Burundi
Registering Property
This topic examines the steps, time and cost involved in registering property, assuming a standardized case of an entrepreneur who wants to
purchase land and a building that is already registered and free of title dispute. In addition, the topic also measures the quality of the land
administration system in each economy. The quality of land administration index has five dimensions: reliability of infrastructure, transparency
of information, geographic coverage, land dispute resolution, and equal access to property rights. The most recent round of data collection for
the project was completed in June 2017.See the methodology for more information.
What the indicators measure Case study assumptions
Procedures to legally transfer title on To make the data comparable across economies, several assumptions about the
immovable property (number) parties to the transaction, the property and the procedures are used.
â—
Preregistration procedures (for example,
The parties (buyer and seller):
checking for liens, notarizing sales agreement,
paying property transfer taxes) - Are limited liability companies (or the legal equivalent).
â—
Registration procedures in the economy's largest - Are located in the periurban area of the economy’s largest business city. For 11
business citya. economies the data are also collected for the second largest business city.
- Are 100% domestically and privately owned.
â—
Postregistration procedures (for example, filling
- Have 50 employees each, all of whom are nationals.
title with municipality)
- Perform general commercial activities.
Time required to complete each procedure
The property (fully owned by the seller):
(calendar days)
- Has a value of 50 times income per capita, which equals the sale price.
â—
Does not include time spent gathering information
- Is fully owned by the seller.
â—
Each procedure starts on a separate day - though - Has no mortgages attached and has been under the same ownership for the past
procedures that can be fully completed online are 10 years.
an exception to this rule
- Is registered in the land registry or cadastre, or both, and is free of title disputes.
â—
Procedure is considered completed once final - Is located in a periurban commercial zone, and no rezoning is required.
document is received - Consists of land and a building. The land area is 557.4 square meters (6,000
â—
No prior contact with officials square feet). A two-story warehouse of 929 square meters (10,000 square feet) is
located on the land. The warehouse is 10 years old, is in good condition, has no
Cost required to complete each procedure (% of heating system and complies with all safety standards, building codes and legal
property value) requirements. The property, consisting of land and building, will be transferred in its
â—
Official costs only (such as administrative fees, entirety.
duties and taxes). - Will not be subject to renovations or additional construction following the purchase.
- Has no trees, natural water sources, natural reserves or historical monuments of
â—
Value Added Tax, Capital Gains Tax and illicit
any kind.
payments are excluded
- Will not be used for special purposes, and no special permits, such as for
Quality of land administration index (0-30) residential use, industrial plants, waste storage or certain types of agricultural
activities, are required.
â—
Reliability of infrastructure index (0-8) - Has no occupants, and no other party holds a legal interest in it.
â—
Transparency of information index (0–6)
â—
Geographic coverage index (0–8)
â—
Land dispute resolution index (0–8)
â—
Equal access to property rights index (-2–0)
Page 19Doing Business 2018 Burundi
Registering Property - Burundi
Standardized Company
Property value BIF 23,584,486.20
City Covered Bujumbura
Indicator Burundi Sub-Saharan OECD high Overall Best
Africa income Performer
Procedures (number) 5 6.2 4.6 1.00 (4 Economies)
Time (days) 23 59.3 22.3 1.00 (3 Economies)
Cost (% of property value) 3.1 7.8 4.2 0.00 (5 Economies)
Quality of the land administration index (0-30) 4.5 8.6 22.7 29.00 (Singapore)
Figure – Registering Property in Burundi and comparator economies – Ranking and DTF
DB 2018 Distance to Frontier (DTF)
0 100
62.54: Burundi (Rank: 95)
60.69: France (Rank: 100)
54.99: Uganda (Rank: 124)
54.49: Kenya (Rank: 125)
51.71: Regional Average (Sub-Saharan Africa)
45.85: Congo, Dem. Rep. (Rank: 158)
Note: The ranking of economies on the ease of registering property is determined by sorting their distance to frontier scores for registering
property. These scores are the simple average of the distance to frontier scores for each of the component indicators.
Figure – Registering Property in Burundi – Procedure, Time and Cost
Time (days) Cost (% of income per capita)
3.5
20 3 Cost (% of income per capita)
2.5
15
Time (days)
2
10 1.5
1
5
0.5
0 0
1 2 3 *4 5
Procedures (number)
* This symbol is shown beside procedure numbers that take place simultaneously with the previous procedure.
Note: Online procedures account for 0.5 days in the total time calculation. For economies that have a different procedure list for men and
women, the graph shows the time for women. For more information on methodology, see the Doing Business website
(http://doingbusiness.org/en/methodology ). For details on the procedures reflected here, see the summary below.
Page 20Doing Business 2018 Burundi
Figure – Registering Property in Burundi and comparator economies – Measure of Quality
30
25 24.0
Index score
20
16.0
15
10.0 10.5
10 8.6
4.5
5
0
Burundi Congo, Dem. Rep. France Kenya Uganda Sub-Saharan Africa
Details – Registering Property in Burundi – Procedure, Time and Cost
No. Procedures Time to Complete Associated Costs
1 Verify the identity of the seller and any encumbrances affecting the 2 days no cost
property at the Land Registry
Agency : Land Registry (Direction des Titres Fonciers)
The seller should be proving that the is the the real owner of the property. It is common
that the parties go to the Land Registry (Department des Titres Fonciers) to check if the
property is indeed registered to the present owner. The buyer also requests proof that the
property is not encumbered by mortgages, liens or other securities.
2 The notary drafts the sale and purchase agreement and it is signed by both 2 days BIF 10,000 (drafting
parties fee) + BIF 7000
Agency : Notary's Office (original) + BIF
Once the notary has verified the identity and the judicial capacity of the parties as well as 3000/page (4 pages)
the possession of the original property title by the seller, the notary prepares the sale and
purchase agreement which the parties sign at his presence.
3 The buyer requests to register the property transfer at the One-Stop Shop 12 days no cost
Agency for the transfer of properties (simultaneous with
Agency : One-stop shop for the transfer of properties (Guichet unique de procedure 4)
transfert de propriété)
The buyer goes to the one-stop shop for transferring properties (Guichet unique de
transfert de propriété) with the notarized transfer deed and the original property title. The
one-stop shop includes the services of the Land Registry (Département des Titres
Fonciers), the Municipality of Bujumbura, and the Burundi Revenue Authority (Office
Burundais des Recettes, OBR).
The following documents need to be submitted to the Land Registry to proceed with the
property transfer registration:
(1) Original title of the property.
(2) Letter requesting transferring the property (Lettre de demande de transfer).
(3) Notarized sale and purchase agreement.
(4) Copies of statutes of both companies.
(5) Copy of the 'procès-verbal de bornage'. The seller should have one in his possession.
Both parties need to obtain a tax clearance certificate from the municipality proving that
all city-level taxes are paid. The certificates are obtained from the same person from the
representatives of the municipality at the one-stop shop for both parties and they can be
obtained at the same time. Both parties must be present at the municipality to request tax
clearance certificates on both.
An expert is designated by the Land Registry to check whether the price in the transfer
deed is correct. The OBR will also designate an expert to inspect the property. The
objective of the inspection is to ensure that the price in the transfer deed is not
underestimated or overestimated.
After the inspections, the expert of the Land Registry writes a valuation report (rapport
d'expertise) that is transmitted to the Director for signature. If for instance the price on the
transfer deed is lower, the transaction tax will be paid based on the appraisal value
provided by the expert from the Departement des Titres Fonciers and not on the agreed
price between the parties.
The expert of the OBR will also write a valuation report (rapport de contre-expertise).
This report is necessary to issue tax clearance certificates for both parties (Attestation de
non redevabilité delivree par les services des impots) showing that all taxes at the
national level are paid and that neither the seller nor the buyer owes any debt to the OBR.
According to the Decree N°121/VP2/038 of April 29, 2013 the preparation of the
valuation reports cannot exceed 4 working days.
Page 21Doing Business 2018 Burundi
4 The Land Registry and the Burundi Revenue Authority inspect the property 1 day (simultaneous 5.000 BIF
Agency : Land Registry (Direction des Titres Fonciers), Burundi Revenue with procedure 3)
Authority (Office Burundais de Recettes, OBR)
Experts from the Land Registry and the OBR inspect the property at the same of the
request to register the property transfer.
5 Obtain the new title from the Land Registry "Direction des Titres Fonciers" 7 days 3% property value
Agency : One-stop shop for the transfer of properties (Guichet unique de (tax to change the
transfert de propriété) Property Title to the
After obtaining the tax clearance certificate from the OBR the buyer proceeds to pay the buyer's name)
transfer tax to the OBR. The “Loi des Finances 2007” (article 35) adopted on December
30, 2007 and implemented in January 2008, has abolished the property transfer tax of
6%.
Article 36 of the same law, authorizes the Land Registry “Département des Titres
Fonciers” to charge a 3% of the property value for all transactions.
Once the payment is made the Registration Division proceeds to the creation of a new
title for the buyer.
Takes place simultaneously with previous procedure.
Page 22Doing Business 2018 Burundi
Details – Registering Property in Burundi – Measure of Quality
Answer Score
Quality of the land administration index (0-30) 4.5
Reliability of infrastructure index (0-8) 1.0
What is the institution in charge of immovable property registration? Direction des
Titres Fonciers
In what format are the majority of title or deed records kept in the largest business city—in a Paper 0.0
paper format or in a computerized format (scanned or fully digital)?
Is there an electronic database for checking for encumbrances (liens, mortgages, restrictions No 0.0
and the like)?
Institution in charge of the plans showing legal boundaries in the largest business city: Direction du
Cadastre
National
In what format are the majority of maps of land plots kept in the largest business city—in a Paper 0.0
paper format or in a computerized format (scanned or fully digital)?
Is there an electronic database for recording boundaries, checking plans and providing No 0.0
cadastral information (geographic information system)?
Is the information recorded by the immovable property registration agency and the cadastral Separate 0.0
or mapping agency kept in a single database, in different but linked databases or in separate databases
databases?
Do the immovable property registration agency and cadastral or mapping agency use the Yes 1.0
same identification number for properties?
Transparency of information index (0–6) 0.0
Who is able to obtain information on land ownership at the agency in charge of immovable Only 0.0
property registration in the largest business city? intermediaries
and interested
parties
Is the list of documents that are required to complete any type of property transaction made Yes, in person 0.0
publicly available–and if so, how?
Link for online access:
Is the applicable fee schedule for any property transaction at the agency in charge of Yes, in person 0.0
immovable property registration in the largest business city made publicly available–and if
so, how?
Link for online access:
Does the agency in charge of immovable property registration commit to delivering a legally No 0.0
binding document that proves property ownership within a specific time frame–and if so, how
does it communicate the service standard?
Link for online access:
Is there a specific and separate mechanism for filing complaints about a problem that No 0.0
occurred at the agency in charge of immovable property registration?
Contact information:
Are there publicly available official statistics tracking the number of transactions at the No 0.0
immovable property registration agency?
Number of property transfers in the largest business city in 2016:
Who is able to consult maps of land plots in the largest business city? Only 0.0
intermediaries
and interested
parties
Is the applicable fee schedule for accessing maps of land plots made publicly available— No 0.0
and if so, how?
Link for online access:
Page 23Doing Business 2018 Burundi
Does the cadastral or mapping agency commit to delivering an updated map within a No 0.0
specific time frame—and if so, how does it communicate the service standard?
Link for online access:
Is there a specific and separate mechanism for filing complaints about a problem that No 0.0
occurred at the cadastral or mapping agency?
Contact information:
Geographic coverage index (0–8) 0.0
Are all privately held land plots in the economy formally registered at the immovable property No 0.0
registry?
Are all privately held land plots in the largest business city formally registered at the No 0.0
immovable property registry?
Are all privately held land plots in the economy mapped? No 0.0
Are all privately held land plots in the largest business city mapped? No 0.0
Land dispute resolution index (0–8) 3.5
Does the law require that all property sale transactions be registered at the immovable Yes 1.5
property registry to make them opposable to third parties?
Is the system of immovable property registration subject to a state or private guarantee? No 0.0
Is there a specific compensation mechanism to cover for losses incurred by parties who No 0.0
engaged in good faith in a property transaction based on erroneous information certified by
the immovable property registry?
Does the legal system require a control of legality of the documents necessary for a property Yes 0.5
transaction (e.g., checking the compliance of contracts with requirements of the law)?
If yes, who is responsible for checking the legality of the documents? Registrar; Notary.
Does the legal system require verification of the identity of the parties to a property Yes 0.5
transaction?
If yes, who is responsible for verifying the identity of the parties? Registrar; Notary.
Is there a national database to verify the accuracy of identity documents? No 0.0
For a standard land dispute between two local businesses over tenure rights of a property Le Tribunal de
worth 50 times gross national income (GNI) per capita and located in the largest business Grande Instance
city, what court would be in charge of the case in the first instance? en Mairie de
Bujumbura
How long does it take on average to obtain a decision from the first-instance court for such a Between 2 and 3 1.0
case (without appeal)? years
Are there any statistics on the number of land disputes in the first instance? No 0.0
Number of land disputes in the largest business city in 2016:
Equal access to property rights index (-2–0) 0.0
Do unmarried men and unmarried women have equal ownership rights to property? Yes 0.0
Do married men and married women have equal ownership rights to property? Yes 0.0
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