Nicaragua: An Undervalued Investment

Invest in Real State Nicaragua

14 May Nicaragua: An Undervalued Investment

Posted at 02:19h in Investing by
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Nicaragua is an undervalued investment, that is a fact. Let’s say you are considering international investment. You are likely thinking about many factors, but my guess is projected returns is a big one. An interesting fact: The Foreign Direct Investment (FDI) as a percentage of the total Nicaraguan GDP was 12.2%. Compared to the average of 5% for Central America, it is a good indicator. An interesting fact: The Foreign Direct Investment (FDI) as a percentage of the total Nicaraguan GDP was 12.2%. Compared to the average of 5% for Central America, it is a good indicator.

Comparing Nicaragua to its Central American neighbors, the yearly growth in FDI is also above average – ranging around 33%.

What do these two factors tell us?

People are favoring Nicaragua over other comparable Central American countries and they are doing it year after year.

But wait there’s more. The Foreign Investment Promotion Law guarantees the equal treatment of foreign and domestic investors. Also, it imposes no restrictions on converting currency, transferring funds, or repatriating profits to an individual or company’s home country. Even better, the law protect the rights of investors’ brands, patents, and intellectual property rights.

Add to that a labor market risk that is the second lowest in the region – as reported by the Labor Market Risk Report – competitive labor costs, and a hardworking and capable labor force, and Nicaragua is an attractive option for many companies. Further, the World Bank’s Doing Business Report ranked Nicaragua highest in Central America in terms of protecting investors, enforcing contracts, and resolving insolvency.

There are also generous tax breaks, and according to the website, ViaNica.com, the competitive cost of property used in the development of tourism projects, competitive labor costs and excellent customer service skills make an investment in Nicaragua ideal.

Nicaragua is also is setting the curve in renewable energy. It has an energy generation potential of 4,500 MW. At the moment, they are using only 1,100 MW.. With the Renewable Energy Incentives Law, the tax breaks for investing in renewable energy in Nicaragua get even better.

Is Nicaragua the perfect investment?

Well that depends on your goals. But I’d say a beach property on the Emerald Coast of Nicaragua powered by solar energy that offers healthy returns through Air B & B rentals and an unforgettable vacation for you beats most.

 

This article is brought to you by Mango Time Beach Resort, a surfing and vacation company in Nicaragua that specializes in real estate investing in Nicaragua, surf camps, and unforgettable beach vacations.