Jean-Marie Tumba Kabalambi
ABSTRACT
This expert analysis identifies a few factors that could, at the regulatory level, explain the lack of recourse to leasing by banking institutions, notwithstanding the existence of a law and an implementing instruction from the Central Bank of Congo, which are supposed to allow this means of financing to flourish in the Democratic Republic of Congo. Firstly, there is a lack of fiscal security due to a contradiction between the law and the instruction, making the application of Corporate and Profit Tax and VAT uncertain. It is demonstrated that, as far as fiscal insecurity is concerned, the contradiction mentioned do not constitute an absolute blockage, given the existing hierarchy between regional and national laws. Nevertheless, regulatory ambiguities remain potential obstacles. Secondly, there is no certainty regarding the forced repossession of leased assets, which may make a banking institution reluctant to offer this type of funding. A proposal is made on desirable regulatory adjustments.
Keywords: Crédit-bail, Banque, RDC
Codes JEL : G21, G38, K23
ABSTRACT
This expert analysis identifies a few factors that could, at the regulatory level, explain the lack of recourse to leasing by banking institutions, notwithstanding the existence of a law and an implementing instruction from the Central Bank of Congo, which are supposed to allow this means of financing to flourish in the Democratic Republic of Congo. Firstly, there is a lack of fiscal security due to a contradiction between the law and the instruction, making the application of Corporate and Profit Tax and VAT uncertain. It is demonstrated that, as far as fiscal insecurity is concerned, the contradiction mentioned do not constitute an absolute blockage, given the existing hierarchy between regional and national laws. Nevertheless, regulatory ambiguities remain potential obstacles. Secondly, there is no certainty regarding the forced repossession of leased assets, which may make a banking institution reluctant to offer this type of funding. A proposal is made on desirable regulatory adjustments.
Keywords : Leasing, Banking, DRC
JEL Codes : G21, G38, K23
