04.28.15

Seychelles enters WTO as 161st member

Posted in Bilateral Treaties, Business and Economy, International Organisations, International relations, Seychelles government at 6:22 pm by Robert Klien

On April 26, 2015, Seychelles became the 161st member of the World Trade Organization (WTO).

Welcoming Seychelles’ membership, Director-General Roberto Azevêdo, said: “I am delighted to welcome the Republic of Seychelles as the 161st member of the WTO. This is great news for Seychelles’ economy and, therefore, for the people of Seychelles. It is also a boost for the WTO and a vote of confidence in the Organization, as we redouble our efforts to complete the Doha Round of negotiations.”

Seychelles President James Michel signed the Instrument of Acceptance of the country’s Accession Protocol on March 25, 2015, confirming its membership terms.

It is worth noting that accession negotiations had lasted for 20 years. As part of these negotiations, Seychelles concluded 8 bilateral agreements on market access for goods. It has undertaken to “bind” average tariff rates for all products at 9.5%. For agricultural products, this average is 16.9%, while for non-agricultural products the average is 8.3%.

04.18.15

Seychelles maintains 2nd best position in the African region in 2015 Global ICT report

Posted in Business and Economy, International Organisations, Seychelles companies, Seychelles infrastructure, Seychelles' statistics at 12:29 pm by Robert Klien

Seychelles has maintained its ranking as the 2nd best in Africa in the Networked Readiness Index (NRI) 2015. However, the jurisdiction has dropped from position 66 out of 148 countries in 2014 to 74 out of 143 countries assessed in 2015.

The global information technology report was compiled by the World Economic Forum – the non-profit international organization based in Switzerland. The report assessed 143 countries based on their capacities in the information and communication technology (ICT) sectors.

The classification is based on 52 individual indicators categorized under 10 different pillars including the political and regulatory environment, business and innovation, infrastructure, affordability, skills, individual usage, business usage, government usage, as well as economic and social impacts.

Seychelles has improved its score in the readiness subindex for infrastructure and digital content to 61 overall in 2015 from 74 in 2014. The area where there has been the most improvement under this subindex is affordability, where Seychelles ranks 93 compared to 113 in 2014. Skills have also improved to 42 from 44 in last year’s ranking. However, the Seychelles’ score in 3 other main subindices of environment, usage and impact have witnessed a drop in 2015 from a score of 62, 64 and 77 in 2014 to 79, 70 and 85 respectively.

The neighbouring Indian Ocean island of Mauritius has not only maintained its ranking as the best in Africa but has also climbed up 3 places to 45 position from 48 in 2013. In the African region, South Africa is now 3rd in the region behind Mauritius and Seychelles.

According to a report published by the International Telecommunications Union in 2013, Seychelles has 100% mobile phone penetration, 47% of the population uses the Internet, and there is 12% fixed (wired)-broadband penetration. The jurisdiction has 2 telecoms providers, Airtel Seychelles and Cable & Wireless Seychelles. Kokonet and Intelvision are 2 local companies providing internet services.

04.03.15

Seychelles Rules on Marketing Expenses Deduction

Posted in Business and Economy at 6:41 pm by Robert Klien

The Seychelles Revenue Commission (SRC) has issued a public ruling with a view to provide clarity as regards the methodology used to calculate the business tax deduction allowed for marketing and promotion expenditure.

The Commission confirmed that the total amount of the deduction allowed for marketing and promotion expenses for a tax year is the lower amount between 200% of the actual expenditure incurred or 200% of the qualifying expenditure. For the purposes of this special deduction, qualifying expenditure is equal to 5% of the turnover of the business for that tax year.

The deduction is allowed for:
farming entities
agriculture processors and exporters
boat owners
fishery processors
hotels, guest houses or self-catering establishments
cafés or restaurants; domestic air transport service providers
domestic ferry service providers
boat or yacht charter companies
car hire companies; travel agents, tour and/or tourist guides
gambling/casino operators