Property for sale in Djibouti

Is the capital and largest city of the Republic of Djibouti. It lies on a peninsula that divides the Gulf of Aden from the Gulf of Tadjoura. Djibouti has the same status as the country's five regions. Get more information on property for sale in Djibouti City.

2/ Country: Djibouti

Is a country in the Horn of Africa. Djibouti is bordered by Eritrea in the north, Ethiopia in the west and south, and Somalia in the southeast. The remainder of the border is formed by the Red Sea and the Gulf of Aden.

3/ Property for sale in Djibouti

Djibouti's assets include a strategic geographic location, an open trade regime, a stable currency, substantial tax breaks and other incentives. In 1995, the entire country of Djibouti was designated a free-export processing zone.

The Government has made considerable efforts to create an environment conducive to private investment, both domestic and foreign. Foreign direct investment is actively encouraged, and Government has pledged to seek the help of the international private sector to develop the country's infrastructure.

Potential areas of investment include Djibouti's port, tourism, manufacturing and telecom sectors.

Djibouti has relatively high levels of fiscal freedom, financial freedom, labor freedom, and monetary freedom. The top income taxes on individuals and corporations are moderate. Employment restrictions are moderate, resulting in a flexible labor market. Inflation is low, but the government does try to control some consumer prices.

Economic development has been hurt by very weak business freedom and trade freedom. High tariffs averaging more than 30 percent inhibit trade and create a disincentive for foreign direct investment. Bureaucratic inefficiency and corruption hamper virtually all areas of the economy. Court enforcement of intrusive labor regulations and of property rights is clouded by political interference and rampant corruption.

The economy is based on service activities connected with the country's strategic location and status as a free trade zone in northeast Africa. Two-thirds of the inhabitants live in the capital city, the remainder being mostly nomadic herders.

It has few natural resources and little industry. The nation is, therefore, heavily dependent on foreign assistance to help support its balance of payments and to finance development projects.