Data Centers in Benin
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Explore Markets in Benin
Benin – Gateway to West African Connectivity
Executive Summary
Benin is the strategic choice for organizations requiring a reliable landing point for subsea infrastructure serving landlocked markets in the West African interior. It provides the necessary low-latency bridge to connect Gulf of Guinea trade routes to regional commercial hubs. This market is a top selection for providers managing digital transit into the Sahel.
Benin: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Strong subsea presence in Cotonou as of September 2025. |
| Direct Cloud On-Ramps | 0 – as of September 2025 | Nearest on-ramp hub is located in Lagos. |
| Power Cost | US$0.14/kWh – as of September 2025 | High fossil fuel reliance impacts utility costs. |
| Disaster Risk | High (5.3/10) – as of September 2025 | River flooding is the primary natural threat. |
| Tax Incentives | No – as of September 2025 | Standard commercial codes apply without sector breaks. |
| Sales Tax | 18.00% VAT – as of September 2025 | Standard rate for the West African Union. |
Network & Connectivity Ecosystem
Benin functions as a critical transit point for international capacity entering the West African interior. The digital backbone is expanding to support increasing cross-border data traffic.
Carrier Density & Carrier Neutrality: Carrier count: 5–10 carriers, as of September 2025. While the market is growing, neutrality is increasing as private providers expand their footprint alongside the national incumbent.
Direct Cloud On-Ramps: 0, enabling access to 0 cloud regions, as of September 2025. Local enterprises typically utilize private network interconnects or leased lines to reach the nearest major cloud hubs in Lagos or Marseille.
Internet Exchange Points (IXPs): The Benin Internet Exchange (BeninIX) provides a local platform for service providers to exchange traffic, reducing latency and transit costs for domestic users.
Bare Metal: Dedicated hardware options are available through regional providers and global specialists like OVHcloud or Leaseweb serving the broader West African region, as of September 2025.
Power Analysis
Energy infrastructure in Benin is undergoing reform to improve stability for industrial consumers.
Average Cost Of Power: Industrial electricity is US$0.14/kWh, as of September 2025. This pricing reflects the cost of imported fossil fuels, which comprise ~98.4% of the generation mix. This makes energy a significant component of the operational budget compared to regional renewable leaders.
Power Grid Reliability: The grid in Cotonou and Ganhi is well-engineered for the region. It is supported by ongoing investments in multi-substation redundancy to serve the commercial core.
Market Access, Business & Tax Climate
The Beninese market offers a stable entry point for companies targeting the expanding West African consumer base.
Proximity To Key Business Districts: Data centers are centrally located in Cotonou, specifically the Ganhi district, which is the primary commercial and administrative hub.
Regional Market Reach: Cotonou provides an efficient gateway to landlocked markets such as Niger and Burkina Faso, serving millions of users through established terrestrial fiber routes.
Tax Advantage For Data Centers: There are currently no specific tax advantages for the industry. General investment codes focus on broader job creation rather than specific infrastructure incentives.
Natural Disaster Risk
Benin faces a High risk profile with an INFORM score of 5.3/10, as of September 2025. Risk management for facilities in this region must prioritize water mitigation and public health resilience.
Epidemic (7.5): A high score indicates potential operational disruptions due to regional health challenges as of September 2025. River Flood (6.6): The most significant natural threat, requiring specific site selection and elevation strategies as of September 2025. Coastal Flood (1.9): A secondary concern for facilities located near the Cotonou shoreline as of September 2025. Drought (0.9): Considered a minor risk for infrastructure operations as of September 2025. Earthquake (0.1): Seismic activity is negligible in this geography as of September 2025.