Investing in Uruguay: N1 choice in Latin America.
Uruguay has reached record numbers of investment it the last decade, positioning the country as one of the main IED (Foreign direct investment) beneficiaries. But ... why? Uruguay has one of the most stable and reliable business environments in Latin America (#1 Political Stability Index & #1 Democracy Index1). Both national and foreign investment has been declared of national interest. The foreign and local investors are treated equally. It also has a wide range of incentives that adapt to different types of activities, both industrial, commercial or services that want to be carried out in the country. Benefits:
No discrimination between foreign and domestic investors
No limits to foreign capitals in companies
No local counterpart, prior authorization or registration required.
Single taxation system throughout the country
No restrictions on the repatriations of profits
No foreign exchange restrictions
With highly qualified human resources at the disposal of the global markets Uruguay has experienced continual growth in the tech-services sector. Much of this attention is in thanks to the government providing free education from elementary School through Universities. And offering more subsidies to companies who will train their employees. With a well-educated population, 75% of the population read and speak English and 36% Portuguese. Uruguay ́s strategic geographic location as the gateway to the region offers the perfect springboard to Latin America. Uruguay provides top-level logistics infrastructure, state-of-the-art telecommunications technology and the best energy supply in Latin America based on renewable resources. Through Uruguay you can access a market of 400 million people, which accounts for 68% of Latin America's GDP and represents a flow of foreign trade of almost 74% of Latin America's total. Uruguay is the best country to live in Latin America according to the 2017 Legatum Prosperity Index and the Mercer Index (2017). The ranking is based on a variety of factors, including wealth, economic growth, 1 Source: The World Bank, The Worldwide Governance Indicators, 2016.
Uruguay prides itself on for welcoming business into the country through tax incentives. For instance, Tech companies interested in Uruguay as a platform to expand their solutions globally may take advantage of some outstanding factors such as passionate, competitive & qualified STEM talent and IT exports are 100% exempted of Income tax. Uruguay acknowledges that staying current with current technologic trends is imperative to its success. With its eyes on the future Uruguay has and maintains the most modern tech-infrastructure in LATAM.
"In Uruguay there are very competitive human resources. We need a mixture of technically good peoplefor software development and with English language skills. Uruguay is one of the places where we foundthe best mixture of both conditions". Bernardo Manzella, Country Manager, GLOBANT.
and quality of life. In addition, Uruguay had one of the best strategic plans against COVID 19 never going into full lockdown and protecting the economy2. According to an investigation done by Lowy institute of Sydney, Australia, that analyzed the effect of the COVID in 98 countries, it placed Uruguay on the #12 rank, and it stated that it has one of the best performances in the continent3.
Creimerman Team supports foreign investors expanding their operations to Latin America through providing business and legal services. Contact us to create a personalized business plan that meets your needs.