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Cayman Islands: Country and Foreign Investment

Investments by Foreigners

This page was last updated on 28 June 2019.

The Caymanian government encourages offshore activities. However, there are no incentives directed towards foreign investment on the islands themselves, other than exemption from import duty for building materials intended for the construction of new hotels. With regard to investment, Caymanians and foreigners are treated equally; there are in any case no taxes affecting the investment process.

In August 2011, the Cayman government signed an agreement with Cayman Enterprise City (CEC), which gives the developer exclusive rights to build, develop, operate and maintain a special economic zone on the islands, intended to attract global science, technology, commodities and derivatives, media and educational entities to the islands. Though special economic zones (SEZs) exist in a number of developed and emerging economies, the one in the Caymans was the first in the Caribbean region.

The Special Economic Zone Law provides for exemption from direct or indirect taxes and import duties until the end of 2061. For an enterprise to obtain a special economic zone trade certificate, it must be licensed as an exempted company or exempted limited partnership, therefore carrying out all trading outside of the Cayman Islands.

Authorised activities for Cayman Enterprise City include: academia; biotechnology; commodities and derivatives and other financial services; internet and technology such as computer programming; media activities including film, video and television production and music publishing; outsourcing including management consultancy and so on. Businesses supporting the listed activities also qualify.

The CEC was officially launched in February 2012, and 14 businesses had set up operations in the zone by July 2012.



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