Page 70 - Caribbean-Central America Profile 2018

CURAÇAO

CARIBBEAN-CENTRAL AMERICA PROFILE 2018

Official Name: Curaçao
Capital: Willemstad
Nationality: Dutch Antillean(s)
Official Language: Dutch
CURAÇAO Population Total (millions): 0.16 (2016 est.)
Size: 171 square miles
Currency: Netherlands Antillean Guilder (ANG)
Internet Domain: .an
International Dialling Code: +1 599
Electricity: 110/220 volts

INVESTMENT INCENTIVES
COUNTRY OVERVIEW The Government of Curaçao welcomes foreign-based enterprises, and provides a range of industrial
facilities and incentives aimed at developing the island. The strongest commercial links are with the
q Curaçao is located approximately Netherlands and the United States, and this is reflected in the available selection of local professional
35 miles off the northwestern coast services and their personnel and skills. Likewise, there is a sophisticated financial structure in
of Venezuela. place which is based on a Netherlands model. The Government of Curaçao offer several investment
incentives to foreign investors.
q The island is about 444 sq.
kilometers (171 sq. miles) in size. Industries may qualify for the following incentives in Curaçao:
q The best beaches are scattered • Exemption from import duties and economic levies on materials, on goods required for
along the southwest coast where construction, on initial equipment including expansion of the enterprise’ premises, and on
the calm, crystal clear water also packaging materials, on machinery, raw materials, semi-manufactured articles and accessory
makes it a tropical paradise for means, necessary for the industrial process.
divers, snorkelers and swimmers • Exemption of at least 5% corporate income tax including all charges on all profits induced by
towards. export.
• Exemption of personal income tax on income earned from dividends and other distributions of
q The capital is Willemstad. export profits, provided that the profit is distributed within two years after termination of the
Curaçao has a long tradition as a Service financial year in which the profit is realized.
Center for International Business, • Acceleration depreciation of 1/3 of the purchase value of the business assets in the first fiscal
Trade & Distribution. Its safe location year.
outside of the hurricane belt makes it an • Deduction of 8% of the total investment (new building: 12%) annually for the first two fiscal
excellent distribution center. years.
The Curaçao economy is quite • Indefinite carry-forward of losses incurred during the first four years of the business.
diversified: logistics, the international • Counseling, marketing and financial assistance in the development of export markets.
financial sector, transnational education • Companies that establish in the Industrial Park can receive a rent reduction of 40% during the
and oil processing are important first year of the tenancy.
economic pillars. The island also has • For newly incorporated companies that contribute to broadening the economic base of the island,
good physical infrastructure, including a special tax facility is available. This so called ‘tax holiday’ consists of an exemption from
many natural harbours, an upgraded import duties and income tax on dividends, while a profit tax of at least 2% will be applicable.
airport with a capacity for 1.6 million Under certain circumstances the rate may be up to 15%. The tax holiday is granted for a period
passengers and stable telephone and of 5 years to 11 years.
internet connections.
FREE TRADE ZONES
Curaçao’s Free (Economic) Zones are being regulated by the economic zone law, and are one of the
tools supporting the development of Curaçao as a Logistics and Distribution Center. These zones are
fenced-in Customs areas where goods can be stored, displayed, packed, manufactured and distributed
and where certain types of services, for example regional repair centers, may be rendered free from
import duties.

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