A Potential Paradise: Investing in Uruguay
Uruguay is paradise for anyone looking to invest their hard earned money.
The country is politically and financially stable, far removed from the gripping financial turmoil most countries are facing nowadays.
Uruguay, mostly famous for its scenic beauty and beautiful landscapes, has recently caught the eye of investors from all over the world. Now is the time to start investing in Uruguay, while opportunities are still plentiful.
Here are some reasons you may want to invest in Uruguay…
Strong Political and Social Stability
For many years Uruguay has exhibited a strong sense of democracy, with an elected president and a judicial system. Currently, there are three major political parties which have kept the country under control and promoted economic and financial well-being.
In addition to this, according to many figures put forth by leading organizations around the world, Uruguay’s economy ranks among the top countries in Latin America.
It’s the democratic and transparent government that support the basis for all foreign investment inside of Uruguay.
Uruguay’s Macroeconomic Soundness
Between 2004 and 2014, Uruguay’s economy has grown at an annual pace of 5.4%. This has been the longest period of growth in the country’s GDP in history.
This increase was accompanied by a per capita growth, which grew from almost US$10,000 in 2005 to US$17,000 in 2014, thus making the economy of Uruguay the strongest among Latin American countries.
Uruguay has also been given Investment Grade Status.
This signifies the trust in the economic stability of the country, and the relevant framework used to undertake such decisions.
Access To A Market With Great Potential
Having access to Uruguay gives you access to Mercosur, a conglomerate of South American countries representing over 270 million people.
Mercosur represents 56% of Latin America’s GDP and has a free trade agreement with Mexico, so Uruguay actually has access to a market of 400 million people – 76% Latin America’s GDP.
The free zone, free port, airport, and bonded warehouse regulations provide an ideal framework for the setting up of distribution centers to supply goods to other Mercosur countries. If you are looking to invest in import and export, Uruguay presents many upsides.
Attractive Schemes For The Investor
According to Uruguayan law, national and foreign investment is considered of national interest. As a result, foreign and national investors are treated equally, with no tax discrimination, and the same incentives are made available to the respective individuals.
Furthermore, no prior permission is required, and no limits are placed on transferring of funds into or out of the country.
Some of the major incentives include:
- Schemes provided by the Investment Law
- Free ports
- Free Trade Zones
- Industrial parks
- Temporary admission
Ease Of Doing Business
Uruguay ensures that both foreign and national investors are given the same importance and are provided by the same treatment.
The country focuses on and works best to create an encouraging business climate on an ongoing basis and to provide the best facilities and incentives for potential investors.
Hence, the country has undertaken some reforms to improve its efficiency for business with other countries as well as individual investors.
Talent Availability In Uruguay
There is a high level of University level training and education available in Uruguay.
This has resulted in competition amongst human resources.
The Uruguayan workers have shown a high affinity to adapting according to the situation and have also shown a variety of skills by attempting to master new languages, mainly English.
The country offers almost all modern facilities like Wi-Fi in town squares and buses, good cell phone reception, well maintained roads and highways, and drinkable tap water.
Real Estate Investing in Uruguay
The last few years have revealed a real estate boom in Montevideo and Punta del Este among others.
These are hot spots for real estate in Uruguay. But that doesn’t mean Americans can’t get involved – you’re free to buy property there. And it doesn’t mean that real estate is prohibitively expensive either – even in these boom towns.
For instance, a 4-bedroom, 2-bath apartment in charming Ciudad Vieja (Old Town) will only set you back about US$115,000.
A 3-bedroom, 2-bathroom almost-waterfront home will only run you about US$85,000 in Punta del Este (known as the St. Tropez of South America).
Just because there’s a boom going doesn’t mean this is not a good time to get in if you’re looking to invest in Uruguay.
The bottom line is this…
Whether you have a little to invest, or a lot…just because Uruguay is a foreign country doesn’t mean that you should rule it out when looking for property or business investments.