Mauritanian Investment Opportunities

The Islamic Republic of Mauritania is a large country of over 1 000 000 square kilometres situated on the Atlantic coast of north-west Africa. It is bounded to the north by Western Sahara and Algeria, to the east by Mali, and to the south by Mali and Senegal. With the exception of a narrow strip in the south along the Senegal River valley, the country lies entirely within the Sahara. The north of the country is largely devoid of vegetation, and it is estimated that 90 per cent of the population of 2.1 million people live in the southern quarter of the country. From about the turn of the century, Mauritania was ruled by the French from Dakar in Senegal and, until 1960 when it obtained independence from the French, Mauritania did not have a capital. Today, the capital is Nouakchott, home to an estimated 600 000 Moors of mixed Arab, Berber and African descent. After independence in 1960, disputes over Spanish Sahara to the north led to a military coup in 1978 and it was not until 1991 that a democratic constitution was adopted. The new constitution declares Mauritania to be an `Islamic, African, and Arab Republic.' It provides for an executive president, elected for a six-year term, and for a bicameral legislature, consisting of a national assembly and a senate. The first presidential and legislative elections were held in 1992 under United Nations' supervision. Mauritania's economy is predominantly pastoral, and the country depends heavily on foreign aid. Its principal export industries are iron ore mining (about ten million tonnes per annum from mines near Fderik in the north) and fishing. Mines d'Or d'Akjoujt SA (MORAK), a company in which General Gold Resources NL (GGR) has 42.5 per cent equity, produces over 50 000 ounces of gold per annum, which represents the third largest export industry in the country.