Grenada: Investing

FDI in Figures

FDI stocks as a percentage of the GDP were steadily going up in the last few years. After reaching a peak in 2007 and slighlty decreasing in 2008, they collapsed in 2009 due to the world recession. They should gradually improve with the economic recovery.

The Island of Grenada, the main strenght of which is its tourism potential, offers tax incentives to investors and guarantees equal treatment to national and foreign investors.

The tourism sector attracts most of the FDI, followed by the construction sector. The main investor countries in Grenada are Trinidad and Tobago, the USA, and Great Britain.

	Grenada	Latin America & Caribbean	الولايات المتحدة	Germany
Index of Investor Protection	6.3	5.1	8.3	5.0

Source: Doing Business

Note: The Greater the Index, the Higher the Level of Investor Protection.

Foreign Direct Investment	2008	2009	2010
FDI Inward Flow (million USD)	144	103	89
FDI Stock (million USD)	1,085.2	1,179.4	1,268.3
FDI Inwards (in % of GFCF****)	64.5	27.3	-
FDI Stock (in % of GDP)	159.9	185.8	-

Source: UNCTAD - Last Available Data

Note: * The UNCTAD Inward FDI Performance Index is Based on a Ratio of the Country's Share in Global FDI Inflows and its Share in Global GDP. ** The UNCTAD Inward FDI Potential Index is Based on 12 Economic and Structural Variables Such as GDP, Foreign Trade, FDI, Infrastructures, Energy Use, R&D, Education, Country Risk. *** Green Field Investments Are a Form of Foreign Direct Investment Where a Parent Company Starts a New Venture in a Foreign Country By Constructing New Operational Facilities From the Ground Up. **** Gross Fixed Capital Formation (GFCF) Measures the Value of Additions to Fixed Assets Purchased By Business, Government and Households Less Disposals of Fixed Assets Sold Off or Scrapped.

Tax Rates

Value Added Tax: 5%, 8% and 10%, depending of the product.
Company Tax: 30%
Withholding Taxes: Dividends: 0%, Interests: 15%, Royalties: 15%.
Bilateral Agreement: Grenada and Egypt are not bound by a Double Taxation Agreement.
Social Security Contributions Paid By Employers: 5%

Investment Opportunities

Tenders, Projects and Public Procurement: Tenders Info, Tenders in Grenada
DgMarket, Tenders Worldwide
Setting Up a Company: Consult Doing Business Website, to know about procedures to start a Business in Grenada.
Useful Resources: Grenada Industrial Development Corporation

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