Political Climate, Pessimism and Investment Attraction

Tuesday, May 25, 2021

Due to the dismissal of high ranking officials of the justice sector and the fact that President Bukele has strained his relationship with Washington, Salvadoran businessmen foresee an uncertain future for US investments that may come to the country.

After the dismissal of the magistrates of the Constitutional Chamber and the Attorney General in El Salvador, the business sector affirmed that this situation was "facts that consolidate an attack against democracy and threaten the liberties of Salvadorans."

Foreign Investment Attraction: Creation of ProPanama

Wednesday, April 7, 2021

President Laurentino Cortizo sanctioned the law that creates the National Authority for the Attraction of Investments and Promotion of Exports of Panama, an institution whose objective is to attract foreign investment to the country.

The law establishes the legal framework for the Investment Attraction and Export Promotion Agency (ProPanama) of the Ministry of Foreign Affairs to be elevated to an Authority, to give it greater sustainability and to execute, in a strategic and channeled manner, the different public-private efforts to attract investments and support the promotion of exports, informed the Presidency.

Foreign Investment: Bill Moves Forward

Friday, March 12, 2021

The bill to create the Authority for the Attraction of Investments and Promotion of Exports in Panama was approved in second debate.

The creation of an independent Authority exclusively in charge of attracting investments was passed to the third debate. Bill 543 creates the Authority for the Attraction of Investments and Promotion of Exports (PROPANAMA), informed the National Assembly on March 11.

Legal Certainty: What are Investors asking for?

Wednesday, March 3, 2021

A few weeks before the new magistrates of the Constitutional Court take office in Guatemala, the business sector is asking that the new members of the highest court advocate for a real rule of law and provide legal certainty to investments.

In recent years, Guatemala's Constitutional Court (CC) has gained prominence in the country's economic sphere, as its rulings have affected different investments that were already operating locally.

Low Competitiveness and Capital flight

Monday, December 14, 2020

Due to the precariousness of the English language, in recent years’ companies in the Contact Center & BPO sector have decided to close thousands of jobs in the region and relocate their investments to other markets where they have no difficulty in recruiting qualified personnel.

Reports at a global level show that the command of English is one of the weaknesses at a Central American level.

Costa Rica: Intel to Reopen Assembly Operations

Thursday, December 10, 2020

The company announced that over the next three years it plans to invest $350 million in the start-up of chip assembly and testing operations.

The Struggle for Foreign Investment in 2021

Friday, October 2, 2020

Because of the economic crisis, Foreign Direct Investment flows have practically vanished, and in order to attract the few investments that are projected for next year, countries are expected to compete by offering incentives and aid programs for businesses.

The covid-19 outbreak dissipated the investment intentions of companies globally. At the beginning of the fourth quarter of the year, there are signs that business confidence has begun to recover; however, pessimism among investors is expected to continue next year.

Foreign Investment: How to Take Advantage of the Crisis?

Wednesday, May 6, 2020

The health and economic crisis will result in a reordering of foreign investment at the global level, and countries like Central America will have the opportunity to take advantage of their geographical position to attract fresh capital.

The outbreak of covid-19 worldwide will cause a drop in production in 2020, however, by 2021 and 2022 the forecasts of international organizations anticipate that economic activity could rebound, a rise that would be coupled with new investments in various markets and sectors.

Manufacturing: New Tax Regime in Panama

Friday, April 24, 2020

The Cabinet authorized the Minister of Commerce and Industry to submit to the Assembly a bill to create the Special Regime for the Establishment and Operation of Multinational Companies for the Provision of Services Related to Manufacturing.

The decision of the Executive, which seeks to reactivate the economy in the context of the health and economic crisis generated by the outbreak of covid-19, was made official through the publication in the Digital Official Journal, in Cabinet Resolution No. 26 of April 21, 2020.

Guatemala: Foreign Investment Up 6%

Wednesday, January 15, 2020

From January to September 2019, the country received $671 million in foreign direct investment, 6% more than in the same period in 2018.

Figures from the Bank of Guatemala show that between the first nine months of 2018 and the same period in 2019, foreign direct investment (FDI) that reached the country increased by $39 million, from $671 million to $632 million.

Costa Rica: New Financial Services Center

Wednesday, December 18, 2019

Stryker, a medical technology company, opened a new financial services center to be located in the province of Heredia, from where it will support all its financial activities in the Americas.

The operation is in San Antonio Business Park, in Heredia, where the company opened its offices since last April, according to official information.

From Cinde's statement:

Investment in Nicaragua: Is it Possible to Restore Confidence?

Thursday, November 21, 2019

Strengthening government institutions in the areas of contract enforcement, property rights protection and investor protection are part of the recommendations made by the IMF in its most recent visit to the country.

According to the international organization, policies to regain the confidence of the private sector, including a frank assessment of the impact of recent measures, are essential to promote economic recovery and compensate for increased poverty. In the short term, strengthening government institutions in the areas of contract enforcement and efficiency of the legal framework for dispute resolution, protection of property rights, investor protection, property registration, and insolvency resolution could significantly improve the country's competitiveness.

More SEM Companies Arrive in Panama

Thursday, November 7, 2019

So far this year, 17 new company licenses have been approved in the country under the Multinational Companies Headquarters regime, a figure that is higher than the 7 that were reported throughout 2018.

In addition to the 17 companies that already obtained their licenses in 2019, there are 7 other companies that are in the phase of evaluation by the Commission of Headquarters of Multinational Enterprises of the Ministry of Commerce and Industry (MICI).

Panama: FDI Grows 11% in First Semester

Friday, November 1, 2019

During the first six months of the year, foreign direct investment flows in the country reached $3.237 million, 11% more than in the same period of 2018.

Between the first semester of 2018 and the same period of 2019 Foreign Direct Investment (FDI) that reached the country increased by $309 million, going from $2.928 million to $3.237 million, explains a report from the Comptroller of the Republic.

Uncertainty Discourages Investments in Nicaragua

Wednesday, October 30, 2019

Between the first semester of 2018 and the same period of 2019, the flows of Foreign Direct Investment reaching the country decreased by 25%, a decrease that is explained by the uncertainty that predominates among businessmen, derived from the political and economic crisis.

According to official figures, from January to June of this year the country received $364 million in Foreign Direct Investment (FDI), which is less than the $483 million received in the first six months of 2018.