Equal treatment among local and foreign investorsGovernment policy
The Government promotes investments in general and has a particularly favourable policy towards foreign investment. The general regime is entirely open and there is no discrimination between local and foreign investors from a tax point of view.
The foreign investor has the same incentives as the local investor. No prior authorisation is required.
The foreign investor may undertake any type of activity in the same conditions as the local investor. In certain sectors of activity under special government regulations, the foreign investor may carry out the activities under a regime of public work concession -Build, Operate and Transfer.
Exchange market and capital and profit repatriation
There is no limitation to profit transfer or capital repatriation, to which State authorization is not required. The exchange market is free. There being no limitations for purhcase or sale of any foreign currency, the investments may be made in any currency.
Protection of foreign investors
Uruguay has traditionally offered a framework of security to the foreign investor due to the effective enforcement of the law and to economic stability. In addition, the country is a member of international entities that promote investment security such as the MIGA (Multilateral Investment Guaranty Administration) and the International Center for the Submission of Disputes Related to Investments with site at the World Bank. There are no limitations for the hiring of foreign staff.
Source: Portal del Estado Uruguayo, Uruguay XXI: Promoción de Inversiones y Exportaciones, Marzo de 2006