BRIDGETOWN, Barbados, CMC – The Barbados authorities has hinted at the potential for adjustments being made to the Financial Substance Act, altering the variety of methods through which the island strikes from being a nominal tax jurisdiction to being a preferential tax jurisdiction
Vitality and Enterprise Minister Lisa Cummins, addressing the media launch of World Enterprise Week 2025, mentioned a regulatory reform course of is underway.
“You’ve seen a lot of this taking place since final January, after we had the company tax reform. And I’m completely satisfied to share with you, if it has not already hit your desk, that the (new) Financial Substance Invoice goes to be developing for session on some adjustments which might be going to return down the pipe.
“Along with the Worldwide Enterprise Unit and the Barbados Income Authority, we’re going to be making some adjustments to the Financial Substance Act, and that may change a number of issues about how we transfer from being a nominal tax jurisdiction to being a preferential tax jurisdiction, and that may have vital implications, positively, for the worldwide enterprise sector,” Cummings mentioned.
World Enterprise Week might be noticed from October 19 to 25, underneath the theme ”Resilience: Adapting, Reworking, Thriving”.
Cummins mentioned enterprise facilitation was now transferring right into a digitized house, noting that Enterprise Barbados had partnered with Microsoft and anticipated to transition to a brand new digital platform over the subsequent eight months.
She famous the significance of the creation of Enterprise Barbados, acknowledging that it was not but good. She additionally acknowledged that the chairman of Enterprise Barbados, Connie Smith, and her group are steering this initiative in the suitable course, however it’ll take time.
“ In rearing a toddler, you don’t change behaviour in a single day. It takes a while, coaching, and reorientation, and that coaching and reorientation have firmly begun in Enterprise Barbados,” she mentioned, noting that the worldwide surroundings is altering. It’s difficult as a result of a slower and extra fragmented world economic system is being seen.
“It’s decreasing commerce, closing borders, and dampening funding. For Barbados, this implies fiercer competitors for mandates. We have now, underneath the treaty negotiating group for Barbados, accomplished negotiations with Hong Kong this 12 months in only one spherical of the talks.
“So, now we have a brand new double taxation settlement with Hong Kong that’s now going by means of the system, and now we have additionally accomplished, in one other single spherical, negotiations with Curaçao. We have now new double taxation agreements that I’m hoping that, along with the enterprise neighborhood, we are able to merge right into a bilateral funding treaty and create alternatives for international enterprise to develop,” she mentioned.
Cummings urged all stakeholders to show the challenges into new alternatives and decide to unlocking progress, even in these most difficult financial instances.
Barbados Worldwide Enterprise Affiliation (BIBA) President Marlon Yarde described World Enterprise Week as a possibility to have interaction, join, and reaffirm the worth of worldwide enterprise to the Barbadian economic system. He mentioned Barbados stays a trusted enterprise surroundings for worldwide traders.
“Our location, infrastructure, and expert workforce make us aggressive. Our stability and entry to worldwide markets make us a robust and engaging choice. This week is about reaffirming why traders proceed to decide on Barbados – and the way we should proceed to adapt and rework to thrive,” Yarde mentioned.
The Chief Govt Officer of Make investments Barbados, Kaye-Anne Greenidge, underscored the significance of the worldwide enterprise sector.
“Past the important function it performs in positioning Barbados regionally and internationally as a jurisdiction of alternative, the sector is equally necessary to us right here at house. It creates jobs for Barbadians, facilitates the switch of expertise, strengthens our skilled providers, and contributes on to sustainable financial progress for our nation. These are actual and measurable advantages that impression households, communities, and the broader nation,” Greenidge mentioned.
She famous that Barbados is a most well-liked alternative for the captive insurance coverage enterprise and ranks among the many prime 10 captive insurance coverage domiciles globally.