Puerto Rico
Puerto Rico’s strategic model for a new economy is focused on growth, competitiveness and jobs. The Commonwealth has stabilized its credit situation and there is an emphasis on improving conditions for all businesses through strategic infrastructure investments and by addressing regulatory barriers. Puerto Rico has a proven 40-year track record as a major pharmaceutical and medical devices center in the world with 25% of the world’s biological manufacturing capacity now located in Puerto Rico.
Economic Incentives for the Development of Puerto Rico Tax incentives and credits available through the Economic Incentives for the Development of Puerto Rico Act enable local and foreign companies to operate successfully in Puerto Rico enjoying the benefits of operating within a US jurisdiction, while taking advantage of a foreign tax structure.
The major pillars of Puerto Rico’s long-term growth strategy are focused on increasing exports and the development of local intellectual property.
Since 2009 Puerto Rico has completed over 70 promotions under the act with a commitment of 3,500 jobs and $110 million in investment.
Entrepreneurship and Innovation
These investments have resulted in expansions and the creation of new companies and research and development centers in biotechnology, pharmaceuticals, aerospace and services such as software development and support.
Entrepreneurship initiatives have surged since 2009 with over 1,200 participants involved in entrepreneurial training courses, over 200 women involved in a micro business program and over 100 new members added to the Puerto Rico World Trade Center (PRWTC). Efforts intended to transition Puerto Rico to a knowledgebased economy are leveraging the existing industrial base to create new jobs and businesses by fostering new industry clusters and consortia with a focus on innovation. A Science and Technology Trust is spearheading the establishment of Science City, a district of excellence in science and technology. Infrastructure
Taxes and Regulation
World-class infrastructure investments to reduce the operational costs of doing business and to build the future economy are now underway. $190 million of local stimulus funding has been allocated to immediate investments in the local economy, of which 70% are in infrastructure.
Laws are being implemented to reform Puerto Rico’s institutional and regulatory framework, to turn government into a facilitator and to strengthen the private sector. Recently passed laws create a new permits system that is transparent, agile, efficient and accurate.
The Port of Americas project is now underway to create an international global caliber shipping and distribution center capable of handling container ships too large for the Panama canal. New public policy has been implemented that will facilitate infrastructure investment by public private partnerships.
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