EFFECTIVE BUSINESS REFORMS OUR PRIORITY
Vanuatu is ranked among the top 10 best performing economies in the Asia & Pacific Region for its overall competitiveness and ease of doing business. Like many other emerging markets, the Vanuatu government is convinced that the best option for foreign capital inflow that accelerates growth, offers sustainable and long term benefits is “foreign direct investment (FDI)”. Therefore it has taken measures to ensure certainty and predictability to foreign investors and the business community.
The recent reform involves the shifting to an online Business or Companies Registration by the Vanuatu Financial Services Commission. This has contributed to Vanuatu's ranking in the ease of doing business by +5 points.
Overall, Vanuatu has made improvement in more than 50% of the topics that contributed to this impressive improvement. These include:
- Starting a Business – +21
- Getting Credit – +9
- Protecting Minority Investors – +23
- Resolving Insolvency – +18
All the above improvements contributed to an improved ranking from a score of 88 (2016) to 83 (2017) : World Bank Ease of Doing Business Report
Ensuring an enabling business environment has been and remains the Government’s number one priority in its effort to boost economic development initiatives. This success will be build upon in other sectors to see more of them leveraging on use of modern technology. A classic example of such development is the recent move to a one-stop-shop by all departments involved in FDI facilitation. This has been and remains one of the Government's long standing policy issues. Driven by the Vanuatu Investment Investment Promotion Authority (VIPA) with having an online processing of FDI applications as its key objectives, Vanuatu is making good progress to becoming the best location to do business.
Vanuatu's Transparent, Stable, and Fair Legal System - As a stable democracy with a transparent and predictable legal system, the United States treats foreign and domestic firms equally under the law. U.S. state and local economic development organizations promote and encourage and business growth, while the regulatory system provides predictability and ample operational freedom.
Open Investment Policy - Foreign direct investment has been central to the U.S. economy since the nation’s founding. In 1983, President Ronald Reagan issued the “Statement on International Investment Policy,” which stated that international investment that “responds to market forces” is “a vital and necessary ingredient in a stable, growing world economy.” Every president since has followed suit in committing to openness. This means that foreign investors receive non-discriminatory treatment in almost all sectors, and compete on an even playing field in the United States.
Freedom to Choose - The United States welcomes free enterprise and encourages economic growth – a new business is born about every minute. From location to business structure, it is entirely up to each investor how they would like to form a business in the United States. Additionally, while the procedures for incorporating and registering a business varies by state/territory, the process is typically straightforward, fast, and inexpensive.