recognized by the state for the contribution of economic growth and social development

What are the needs of the country in this stage of development?

What can the country do to attract the potential investor?

How easy is to start doing business in Dominican Republic

General Statistics at a Glance 2009

• Population: 9.5 million

• Extension: 48,442 km²

• Capital:  Santo Domingo

• Government: Representative Democracy

• GDP:  79,000 USD billions

• GDP /inhabitant: 8200 USD

• GDP Growth Rate: 5.5% (estimated 2010)

• Inflation rate: 4 52% (2008)

• Fiscal deficit: 3.7%

Foreign Currency Sources 2008 (in Mill USD)

• FDI:  2,884

• Remittances: 3,432

• Free Trade Zones: 4,000

• Tourism: 4,200

Needs of the country

President Fernández said on his State of theNation Speech on February the 27th, 2009

“.. regardless of the Global financial turbulences the country could  maintain a climate of social freedom, democratic governance and macroeconomic stability”

“..Only the success of the farming sector guarantees the right of the Dominican people to food supply and adequate nutrition”…Shall it become a national priority”

“..For the government the solution of the electricity problem is one of its  highest priorities”

Investment in

•Food industry and agriculture

•Energy (production, transmission, management)

•New technologies

•Infrastructure (roads and railways, housing)

•Tourism Infrastructure

•Fresh water supply

•Services

Food industry and agriculture

•Implementation of Greenhouse Farming projects 

•Promoting investment to increase Milk production

Energy

“For the government the solution of the electricity problem is one of its highest priorities”

• Investment in renewable electricity production

• 2,000 MW of installed Extra capacity needed

• Transmission lines must be enhanced

• 2 x 600 MW Coal Power Plants in planning

New Technologies  

“For the government the solution of the electricity problem is one of its highest priorities”

• 50 MW Biomass power plant projected

• 2 x 50 MW eolic energy parks projected

Infrastructure

• A second line for the Santo Domingo Metro

• Railway track Santo Domingo – Santiago

• Highway La Romana – Punta Cana

Tourism Infrastructure

• Tourism Real Estate Investments in the south

• Projects worth 5 billion approved in 2009

Fresh water supply

• Modernisation of the Santo Domingo Aqueduct

• aqueduct construction in 10 provinces

Services

•Promoting investment in Call Contact Center and Business Process Outsourcing industry

•First Call Center Academy at Parque Cibernetico in Santo Domingog

•Promoting investment in financial Services

•Buy FIXED-TERM INVESTMENT CERTIFICATES from the Dominican Central Bank

Advantages of Foreing Direct Investment in Dominican Republic

•Stable economic and political environment

•Legal framework for foreign investment up to international standards

•Preferential market access to the USA, Europe   Central America and the Caribbean

•Nearshore location

INVESTMENT INCENTIVES

•  Equal Treatment for local and foreign investors

•  100% repatriation of capital and profits

•  Free currency conversion at stable rates

•  Investment Protection through:

Multilateral Investment Guarantee Agency (MIGA)

Overseas Private Investment Corporation (OPIC)

Founding Member of the World Trade Organization (WTO)

Investors Residence Program

•   Objective:

     Provide benefits to foreign investors by granting them with special residency status.

•   Beneficiaries:

    Foreign Investors, family members, and project technicians.

•   Main Requirements:

    Foreign investment registered at CEI-RD Minimum investment of US$200,000 $

DR CAFTA Implemented on March 1st, 2007

• Increases and Guarantees permanent  preferential access for dominican goods and services to the U.S.A.

(EPA) – Economic Partnership Agreement with the European Union since 15 October 2008

• The CARIFORUM-EC EPA removes all tariffs and quotas on Caribbean exports to the EU immediately …

and opens up new markets for Caribbean ..and opens up new markets for Caribbean companies and professionals to offer services in the EU  

Free Trade Zones

• 62   Industrial Free Zones Parks

• 600  Companies

•125,000      Employees

•Products:  Clothing, Shoes, Jewelry, Tobacco, Electronic Products,

Free Trade Zones Incentives Law 8-90

100% Tax exemption

No Income taxes

No Sales taxes

No Export taxes

No Import duties on raw materials and equipment

Main Investors Company

•   Codetel (Mexico)

•   Central Romana (US)

•   Shell Company

•   Citibank (US)

•   Bank of Nova Scotia(Canada)

•   France Telecom

•   Colgate Palmolive g

•   Tricom

 

Main Investors in Dominican Republic by Country

•  USA      

•  Mexico

•  Spain

•  Canada

•  Holland

•  France

•  Great Britain

•  Switzerland