The government has progressively introduced a number of investment incentives designed to promote investment, employment and various other aspects of the Colombian economy.

In the 2010 “Doing Business Report,” The World Bank ranked Colombia as the most business friendly country in Latin America.  In this section you will find the most relevant investment incentives:

1. Permanent Free Trade Zones: Colombia has the most competitive Free Trade Zones in Latin America: A single 15% income tax rate, allowing sales in the local market.

2. Single Enterprise Free Trade Zones: This type of Free Trade Zone allows companies to establish themselves anywhere in the country.

3. Legal Stability Agreements: These agreements provide insurance that the laws and their respective interpretation that investors found to be determining for investing will not be modified.

4. Other Incentives: The Colombian government has created investment incentives concerning income tax exemptions in the following sectors:

• Hotels and Ecotourism Services
• Late Yield Crops
• Medical and Software products
• Aeolian, Biomass and Agricultural Energy Generation
• Publishing Companies

5. Special Import - Export System for Services: "Plan Vallejo": This import-export system allows service exporting companies to import capital goods exempt from custom duties and sales tax (VAT).

Learn about the average cost of establishing your company at a Permanent Free Trade Zone in Colombia.