Presentación Colombia - Ingles - INVESTMENT ENVIRONMENT BUSINESS OPPORTUNITIES IN COLOMBIA - Invest in Colombia
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Presentación Colombia - Ingles
INVESTMENT ENVIRONMENT
BUSINESS OPPORTUNITIES IN COLOMBIA
2019
INVESTMENT ENVIROMENT AND
BUSINESS OPPORTUNITIES IN COLOMBIA
2019
Colombia offers: Multiple development centers and regions coupled with a growing middle class securing a greater demand in products and services. Various opportunities for investment in a wide range of economic sectors. A growing, strategically located market that facilitates transactions and business deals in the region. A dynamic and stable economy. A trade platform with over 16 Trade Agreements enabling investors to reach third markets with preferential access. A growing pool of qualified Colombian companies able to partner with international investors to reach out to regional markets
GROWTH FORECASTS
GDP variation, 2019
4,1 4 4
3,8 3,7 3,7 3,6 3,5 3,5 3,5 3,4 3,4 3,3 3,2
3
2,8
2,6
2,4
COLOMBIA
is projected to grow by 3.5%, faster than most countries
in Latin America
Source: IMF, WEO, January 2019.
Brazil 3.371
Mexico 2.575
Australia 1.319
Malaysia 1.000
Philippines 956
Argentina
South Africa 791
919
COLOMBIA
Bangladesh 758 Is the 32nd largest
Colombia 749 economy in the
United Arab Emirates 733
world and 4th in in
707
Vietnam
661
Latin America.
Algeria
Singapore 556
Switzerland 551
Sweden 543
Hong Kong SAR 484
480
PIB PPP 2018*
Chile (USD billlion)
Austria 463
458 Latin American Economies
Peru
Source: IMF, WEO, January 2019.
It is expected that in
2019 and 2020,
It will maintain in the range
(2% - 4%) Inflation (%)
6,8
5,8
4,1
3,7 3,7
3,4
3,2
3,2 2,4
1,9
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Since 2015, inflation has registered a downward
trend.
Source: Banco de la República. Projections: IMF, WEO, Enero 2019.
Since 2013 unemployment
rate has remained at a single-
digit level.
Unemployment rate
(Percent of the population)
12,5
12
12 11,8
11,5 11,3
11 10,8
10,4
10,5
10 9,7
9,5 9,2 9,3 9,2
9,1 9,1
8,9
9
8,5
8
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
It is expected that, in 2019 and 2020, unemployment rate will continue to be at a one
- digit level.
Source: Source: Colombian National Bank (Banco de la República), January 2019.
The Colombian economy is
on the path of recovery and
will expand by about 3.6% in
2019-2020 GDP Growth
(constant prices, % rate)
7%
6,6%
6%
4,9%
5%
4,4%
4,0%
4% 3,6% 3,7%
3,1%
3% 2,7%
2,0%
2% 1,8%
1%
0%
2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Inflation continues an uninterrupted
decelerating trend since 2015.
Source: IMF, WEO 2019, January
A GROWING MIDDLE CLASS
WITH HIGH PURCHASING
POWER 15000
14000
GDP (USD PPP, constant prices) 14.436
35,00%
30,00%
13000
30,4%
12000
25,00%
11000
Middle class(%)
10000 20,00%
9000
15,00%
8000
7000
10,00%
6000
5000 5,00%
2002 2003 2004 2005 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Share of the population belonging to the middle class vs GDP per capita evolution
2002 – 2017
1.8% 2.7% 3.6%
GDP Growth GDP Growth GDP growth forecast
Source:Poverty indicators (DANE) and GDP (World Bank) Middle class: in 2017 in 2018 for 2019
Estimated by ProColombia
Doing
Business 2019
ranking According to Doing Business,,
Colombia is:
No. 3 No. 15 No. 40
In getting credit In Protecting minority In resolving insolvency
investors
Doing Business 2019
World ranking 2019 54 56 65 68 95 109 123
Source: World Bank. Doing Business 2019.
COMPANIES ARE THE MOST WILLING TO INVEST IN
FIXED CAPITAL.
Gross fixed capital formation Investment sources 2017
(Investment as GDP %) (%)*
1,0%
0,1%
14,5%
29,1% 29,0%
27,7% 27,…
27,2%
27,0% 27,0%
24,7% 26,2%
24,2% 58,2%
23,3% 24,0%
21,8%
19,7%
Companies
Households
Government
Banks
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Non-profit organizations
Gross fixed capital formation 2017
USD $71 billion
Source: DANE, Most recent data available.
*Procolombia´s estimatesInvestment as a percentage of
GDP has a share of about a
quarter of the Colombian
economy.
Total Investment* (% of GDP)
2010 – 2019 est.
26,7
26,3
24,7
24,3
23,9 23,9 23,6 23,7
23,5 23,4
23,0
22,4 22,4 22,1
20,2
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
In 2019 and 2010, It is expected to be higher
than 2018
Source: IMF, WEO 2018, April.
*Includes gross fixed capital formation and inventory variationGROSS
DOMESTIC
PRODUCT
Estimated 4,1% 3,5% 3,4% 2,5% 2,3% 2,2%
growth 2019
Colombia, one of the
top growing economies
in 2019 among the largest
Latin American countries
Venezuela
Argentina
Mexico
LATAM
Peru
Brazil
Colombia
Chile
-1,6%
-5,0%
Source: IMF. January 2019.COLOMBIA IS THE 28th
most populated country in the world
and the 3rd in Latin America
210,7
Population in 2019* (Billion)
Latin America
125,9
65,4 60,7
51,9 50,4 46,2 45,1
32,8 32,5 28,1 25,6
18,8 17,3 11,5 11,4 10,7 10,8 10,4 10,2 9,0 9,1 5,8 5,4 3,5
*Estimated,.
Source: IMF, 2019COLOMBIA STANDARD
,
& POOR S
FitchRatings MOODY,S
an investment
grade country Long Term – Long Term – Long Term –
Term
Foreign Foreign Foreign
currency currency currency
Ranking
BBB- BBB Baa2
In July 2014, Moody´s was the last rating agency in
improving Colombia´s rating due to two key drivers:
1. Positive growth forecast
thanks to 4G
2. A sound fiscal
management that will
infrastructure. continue in the future.
In March 2017, Fitch Ratings* improved Colombia´s
rating outlook: from Negative to Stable
Source: S&P Ratings; Dinero magazine, Colombian
Treasury.
* Portafolio 2018COLOMBIA
LOW BARRIERS
TO FDI
More barriers
FDI’s Regulatory
0,45
Restrictiveness Index 2017
0,40
Closed = 1 - Open = 0
0,35
0,30
0,25
Less barriers
0,20
0,15
0,10
0,05
0,00
Latin American Economies
Source: OECD, May 2017.COLOMBIA IS THE 37TH
MEMBER OF THE OECD
CANADA
UNITED STATES
MEXICO
CHILE
COLOMBIA
AUSTRIA LATVIA
BELGIUM LUXEMBOURG
CZECH REPUBLIC NETHERLANDS
DENMARK NORWAY
ESTONIA POLAND
FINLAND PORTUGAL
FRANCE SLOVAK REPUBLIC
GERMANY SLOVENIA
GREECE SPAIN
HUNGARY SWEDEN
ICELAND SWITZERLAND
IRELAND TURKEY
ISRAËL UNITED KINGDOM
ITALY
JAPAN AUSTRALIA
SOUTH KOREA NEW ZEALAND
“The OECD investment policy review
examines Colombia's achievements in
developing an open and transparent Being part of the OECD countries means
investment regime and its efforts to that public institutions in Colombia will meet
reduce restrictions on international standards of the developed world more
investment” OECD confidence for investorsColombia and the
Being part of an organization Thanks to the recommendations
such as the OECD is a sign of made by the OECD, the
economic stability, transparency national government has
and government discipline promoted concrete reforms for
the facilitation of trade.
OECD gives guidelines to improve The OECD provides a seal of quality for
trade and investment barriers, direct foreign investment: by having to
allowing Colombia to be in a meet public policy standards to become
process of continuous a member, these improve. This results in
improvement, peer evaluation and increased confidence of foreign investors
institutional strengtheningCOLOMBIA IS PART OF
THE TOP 30
DESTINATIONS FOR FDI
275
Top 30 host economies in 2017
(USD billion)
136
104
63 62 58
50 46 40 35 30 30 29 25 24 19 19 17 17 15 15 15 14 11 10 10 7 7 6
-2
Developed economies
Developing and transition economies
Source: UNCTAD, 2017.FDI has been largely driven by non-mining
sectors over the last 3 years
6.314 2.261
8.089 4.062
7.945
FDI Inflows 7.180
3.139 2.360
(USD millon)
2010 – 2018 11.589
9.854 9.951
4.918 8.121 8.584 8.650
7.468 7.095
Mining and oil
1.512
Other sectors
2010 2011 2012 2013 2014 2015 2016 2017 2018
Top Investing
countries in Colombia United States Panama Spain Switzerland
2000-2017 * USD 34,745 million USD 20,531 million USD 15,821 million USD 9,841 million
16,3% 15,0% 9,6% 8,7%
Source: Balance of Payments - Banco de la Republica.
Share of all countries with positive cumulative investment, The
information includes reinvested profits or investments in the oil sector
Note: the list of the top countries investing in Colombia does not include
Panama.INVESTMENT
PROJECTS Investment Projects from the world
to Colombia by Industry Sector Sector
Jobs
from the world 2007 - 2017
generated
to Colombia 23.812
Real estate*
by Industry 177
262
Software and IT Services 22.999
Sector 31
Mining industry 12.115
32 Logistics and transportation 11.231
35 Tourism 9.024
43
137 Agroindustry 8.714
49
Financial services 8.108
54
82 108 Construction materials 7.740
Automotive industry 5.242
Software and IT Services
Business Services Energy 470
Financial Services
Machinery and equipment Others 53.027
Logistics and Transportation
Mining Industry
Total 162.482
Proyectos Totales: 1.010
Source: DDi Markets. *Incluye construcción y servicios
profesionales. Grupo casino y Parque Arauco
registran el mayor número de empleos.Stock of outward FDI (USD millions)
2002 – 2018
FDI Outward Flow
8.419,8
Main countries
7.652,1
2000 – 2017
5.482,7
5.121,0
Panama
4.795,5
4.517,4
USD 46,408 millones
4.217,7
3.689,6
3.899,0
1.267,8
1.278,8
17%
3.504,7
3.085,1
937,7
856,8
United States
-606,2
192,4
USD 7.745 millones
13%
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Source: Banco de la República Spain
USD 5,886 millones
10%
Top Latin American investors
Chile
to the world, 2017 USD 4,752 millones
(USD billions) Chile Mexico Colombia Argentina
USD 5.1 USD 5.1 USD 3.6 USD 1.1 9%
At the end of 2017, the participation of Colombia's
non-mining-energy investment abroad represented
92% of the total
Source: Balance of Payments - Banco de la República. UNCTAD, 2017.Reduced income tax and VAT Exemptions
allowing access to local market
No import duties. VAT exemption for Benefit from international
goods sold from Colombia to FTZ. trade agreements.
Free trade zones for different Allows sales to the local market.
investor styles.
Total number
Number of Special Standing Free Trade: Number of permanent
Single enterprise: Free Trade Zones:
71
114 43
Source: Directorio de Zonas Francas 2019 DANECOLOMBIA Number of FTZ in 2018
is the Latin
American country Colombia 105
with the most Free Dominican… 65
Trade Zones Nicaragua 50
Honduras 39
Panama 20
Guatemala 19
The new world trade dynamic 17
El Salvador
allows Colombia to take
13
advantage of different Uruguay
opportunities, such as: Haiti 11
Access to demanding and Argentina 12
sophisticated markets, Increase 11
Costa Rica
the quantity and diversity of
5
exports, Transfer of technology, Peru
Improve the quality of production. Puerto Rico 3
Paraguay 2
Brazil 1
Source: DANE y AZFA.FREEDOM LANDSCAPE
The perception of Colombia has improved in the recent years, having now a
better freedom landscape score above the America’s and world’s average
80
75
70
65
60
55
50
45
40
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Colombia Americas World
Source: Heritage, 2018 Index of Economic FreedomCOLOMBIA
Free Trade Zones represent an
important opportunity for third Mexico
countries to take advantage of Cables and wires -
Batteries and accumulators -
the country's Trade Agreements Electrical Parts -
Flats laminated with steel or iron-
United States
Free Trade Zones have a high potential for Accessories and Auto Parts -
Electrical equipment -
generating productive chains Cotton Yarn -
Plastic Resins -
Japan
Aromatic products -
Glasses -
Flats laminated with steel or iron -
Vehicle parts & accessories
Peru
Cotton yarns-
• Plastic packaging for the beverage and the cosmetics industry
• Automotive assembly
Investment opportunities in Supply with value- • Home appliances
Input supply Colombia in value-added added intermediate • Clothing
production chains products • Processed foods
• Aeronautics
• Medical devices
Source: High impact Free Trade Zone–2016, CLGCOLOMBIA
has access to 60 countries and more than 1.5 billion
consumers through its network of trade agreements
AELC
Canada
European Union
South Korea
United States
Mexico Caricom* Israel
Cuba*
El Salvador
Guatemala Costa Rica
Honduras Venezuela
Panamá
Nicaragua*
Ecuador
Peru Brazil
Bolivia
In force
Signed Paraguay
Chile Uruguay
Pacific Alliance
Argentina
* Partial scope agreements (PSA)
- - - Blue line shows Pacific Alliance´s member countries others than Colombia –(Chile, Peru and Mexico).
Source: Chamber of Commerce, Industry and Tourism, Colombia,2017COLOMBIA
Member state of the Pacific Alliance
Canada
Colombia
Mexico
Singapore
Peru
Australia
Chile
New Zealand
At the XII Summit of the Pacific Alliance (October 2017)
This figure seeks to strengthen trade, regional and free trade
the creation of the Associate members category was
integration, as well as benefit from regional platforms and
announced and negotiations were started to grant this promote trade agreement negotiations.
status to Australia, Canada, New Zealand and
SingaporeCOLOMBIA
Less than 6 hours away by airplane from the main cities in
the Americas
London Berlin
(10hr 26min) (13hr 45min) Moscow (15hr
Toronto 58min)
Seoul
(6hr 10min)
(23hr 35min) Tokyo
Madrid Paris Istambul (25hr 05min)
(9hr 40min)
(10hr 55min) (15hr 16min) Beijing
New York (22hr 45min)
Los Angeles (5hr 35min)
(7hr 40min) Miami
(4hr 00 min) Dubai Hong Kong
(20hr 45min) (22hr 45min)
Mexico City(4hr
1,109
Mumbai
55min) (20hr 50min)
international
direct
frequencies Lima
per week. (3hr 05min)
Sao Paulo
Santiago de (6hr 10min)
More than Chile
5,600 (5hr 55 min)
domestic
frequencies per
week.
*Esta información tiene en cuenta las rutas que salen de aeropuertos internacionales en Barranquilla, Bogotá, Cali y Medellín. OAG. Para una semana típica del mes de Diciembre de 2017. Fuente: Rutas y Tarifas - Herramientas para
las exportaciones colombianas, procesados por ProColombia.COLOMBIA
counts with more than 4,500 maritime export routes and has access
to 680 ports around the world.
ACCESS TO USA IN JUST 3 DAYS
ACCESS TO THE NETHERLANDS
(PORT EVERGLADES)
IN JUST 13 DAYS
(ROTTERDAM)
VANCOUVER MONTREAL LONDON
SAINT
(17 DÍAY) (9 DAYS) (17 DAYS)
PETERSBURG
(21 DAYS)
BUSAN
(25 DAYS) TOKYO NEW YORK (6
(22 DAYS) DAYS)
SHANGHAI
HONG KONG MIAMI BARCELONA
(29 DAYS) LOS ANGELES
(33 DAYS) (4 DAYS) (15 DÍAS)
(10 DAYS)
VERACRUZ
(5 DAYS)
ACCESS TO CHINA IN JUST SANTOS
KARACHI (11 DAYS)
(37 DAYS) KOLKATA 29 DAYS (SHANGHAI)
(43 DAYS)
CALLAO
ACCESS TO PERU (2 DÍAS)
SIDNEY IN JUST 2 DAYS
(21 DAYS) (CALLAO)
VALPARAÍSO BUENOS AIRES
AUCKLAND (17 DAYS)
(5 DAYS)
(17 DAYS)
CAPETOWN
(34 DAYS)
Source: Routes and Tariffs - Tools for the Colombian Exporter, processed by ProColombia.According to Airhelp scores 2017, El Dorado International Airport is:
#1 #11
IN LATIN WORLDWIDE
AMERICA
Source: Airhelp Scores , Airport Worldwide Rankings 2018Evolution of Colombian Exports, 2007 – 2018
2007 – 2018
60.125 58.826 Mining
56.915
54.857 Non - Mining
16.101 16.359
16.052
16.363 37.880
39.713 31.768
37.626 36.018
32.846 15.364
29.991 13.791
17.918 14.942
15.063
14.385 14.193
16.235 40.863 44.024 42.468 38.494
25.922 26.467
19.708 18.461 20.954 17.576 22.938
13.756
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Agroindustry and Metalworking sectors performed the most
dynamism in their exports during 2017.
Colombian exports increased 10% in 2018
compared to the previous year
Source: DANE.DIAN, 2018.Arrival of tourists
2013 – 2018
4.276.146
3.975.570
3.558.999
3.249.828
2.866.988
2.594.785 3.104.606
2.355.690 2.429.132 2.837.171
2.528.877
2.288.342
1.967.814
1.591.120 1.726.300
1.496.401
724.302 793.775 793.459
546.024 583.609 561.791 583.967 689.280
313.153 254.403 306.694 314.207 272.206 305.820 344.624 378.081
2011 2012 2013 2014 2015 2016 2017 2018
Cruisers Colombians who are foreing residents Non- resident foreigners
In 2018, receptive tourism grew 7,6%
compared to 2017
Source: Migration Colombia. Elaborated by ProColombiaForeign income generated by sector 2010-2017 (USD Millions)
6.000
According to figures from the
5.712 Colombian National Bank, tourism
5.000 was the second foreign income
5.236
4.887 generator in 2017, surpassing
4.758
4.000 traditional products such as coffee,
4.364
4.084 flowers and bananas.
3.801
3.000 3.440 2.608 2.527
2.473 2.418
1.884 1.910 1.884 In 2017, foreign income generated by
2.000 1591 tourism was USD 5,788, which
1.229 1.240 1.256 1.324 1.362 1.285 1.301 represented an increase of 5.4%
915 1020 compared to the same period of the
748 815 822 764 836 803 696
1.000 previous year.
0
2010 2011 2012 2013 2014 2015 2016 2017
Tourism Coffe Flowers Bananas
The upward trend in tourism figures has had an
important effect on the national generation of
foreign income
Source: BanRep-DANE. * Includes passengers
transport and travel accounts. Preliminary dataCOLOMBIA
is one of the countries
with the greatest
potential for expansion in
agricultural land
• Colombia, with multiple thermal floors, is able to offer different
agricultural products throughout the year.
• Colombia ranked 8th worldwide and 1st in Latin America in
the food sustainability index.
• “Plan Colombia Siembra” seeks to increase the
agricultural production with 1,000,000 new hectares.
• The availability of water resources in Colombia is one of
the highest in the world (FAO*). The country ranked fourth
worldwide in sustainable agriculture.
Source: FAO, Food Sustainability Index, 2017COLOMBIA compared To other markets
COLOMBIA
Committed to invest in human
capital
World Talent Ranking 2017 (0-100 Best)
Chile 50,37
Colombia was ranked fourth
Argentina 43,49
in Latin America by
the Human Talent Report
Brazil 42
#9
Colombia 40,09
Mexico 39,4
TOP EXPAT DESTINATIONS 2018
Source: Internations Top Expat Destinations 2018
Peru 39,09
Fuente: IMD, 2017COLOMBIA
ranks 3rd in Latin America in the Services location
indicator by A.T. Kearney
Global Services Location Index- 2017
"Colombia registered a
significant improvement in this 5 - Brazil 2,65 2,02 1,27
year’s position, rising 10 places
9 - Chile 2,54 1,33 1,88
to the 10th position.
10 -
2,85 1,45 1,43
Colombia
13 - Mexico 2,72 1,61 1,35
Between 2011 and 2015, Financial
Colombia contributed with the 20 - Peru 2,97 1,19 1,25
atractiveness
12% of the new BPO centers 31 - Costa
2,73 0,91 1,63
and Shared Service Centers in Rica Talent and
Latin America and the 36 -
2,37 1,53 1,25 availability of human
Caribbean.” Argentina capital
41 - Panama 2,55 0,8 1,67 Business environment
46 - Uruguay 2,27 0,97 1,65
Source: A.T. Kearney, 2017Number of investment projects in creative industries
2012 – 2018 (June)
16
15
9
6 6
4
3
2012 2013 2014 2015 2016 2017 2018
79 INVESTMENT Jobs created
(2006 – 2018)
Capital invested
(2003 – 2018)
PROJECTS
in creative industries 7,656 USD 869
million
Source: fDi Intelligence from The Financial Times LtdCREATIVE INDUSTRIES
in Colombia
OVERVIEW OF THE INVESTMENT PROJECTS IN CREATIVE INVESTMENT PROJECTS IN CREATIVE INDUSTRIES,
INDUSTRIES, COLOMBIA SECTORS
2003 – 2018 (JUNE) 2003 – 2018 (JUNE)
2,3% 1,2%
Number of projects 87
19,5%
Jobs created 8,079 46,0%
Average of Jobs created per project 92
31,0%
Capital invested(USD million) USD 895.1
Business services Software and TI services
Average capital invested per Comumunications Leisure and entertainment
USD 10.3
project(USD million) Paper, printing and packaging
SOME SUCCESS Capital invested: Capital invested:
Capital invested:
STORIES OF USD 250 million USD 146,5 million USD 130 million
INVESTMENT Jobs created: Jobs created: Jobs created:
3.000 129 505
Venezuela United States Mexico
Source: fDi Intelligence from The Financial Times LtdCOLOMBIA
Highest enrolments rates in education
Working age
population rate
(15-64) years)
68.8% 66.3% 69.6% 65.4%
Enrollment
secondary 98.1% 97.3% 99.7%* 98.0%
education
Enrollment
tertiary 58.7% 36.9% 50.6%* 34.3%**
education
Source: World Bank, latest update available: 2016. * Last update
2015. Last update 2006.ENTREPRENEURSHIP
Our start-ups lead innovation in Latin
America Number of start-ups
455 per country
6
4 7 11
50.827.643
11 3
6.302.628
24 82
4.371.177 1
467
4.371.177 64
3.659.590
631
2.338.072 1.053
1.524.829 31
1.524.829
1.375.523
408
62
1.219.863 INVESTMENT VALUE
354
1.219.863 TOTAL: US$78,735,196
- 10.000.000 20.000.000 30.000.000 40.000.000 50.000.000 60.000.000
US$ MILLION
Source: Cálculos MINCIT, Start up ranking 2018, StatustaWHAT IS THE WORLD SAYING ABOUT COLOMBIA?
#1 COLOMBIA IS THE SECOND PLACE IN THE WORLD TO VISIT IN 2018 (THE NEW YORK TIMES
2018)
#2 COLOMBIA IS IN THE PROCESS OF A FANTASTIC REBIRTH (VANITI FAIR 2018)
#3 BOGOTÁ, AN IRRESISTIBLE GASTRONOMIC DESTINATION (VOGUE 2018)
#4 CALI, ONE OF THE MOST INTERESTING PLACES TO LIVE IN 2018 (FORBES 2018)
#5 COLOMBIA, ITS NATURAL LANDSCAPES ATTRACT THE NEW GENERATION OF LUXURY
TRAVELERS (SKIFT 2018)
#6 COLOMBIA, THE BEST KEPT SECRET IN SOUTH AMERICA (TRAVEL + LEISURE 2017)
#7 COLOMBIA, AN EMERGING TOURIST DESTINATION FOR THE UNITED STATES AND EUROPE
(BBC 2017)IN COLOMBIA WE CELEBRATE ALL YEAR LONG
MAY SEP
JAN JUL
MAR NOV
- Barranquijazz
- BAUM Festival, - Jazz al Parque,
Bogotá. Bogotá
- Feria de Manizales - Festival de Música - Colombiamoda, - Festival de Jazz, - Salsa al parque,
- Carnaval del Diablo, - Festival Andina Colombiana Medellín Mompóx Bogotá
Caldas Iberoamericano de Mario Nuñez, Valle del - Festival Folclórico - Green Moon Festival, - Festival
- Festival int. de Música, Teatro, Bogotá Cauca del Pacífico San Andrés internacional del
Cartagena - Esteréo Picnic, - El Festival de la Peregoyo de Oro, - Festival de cine de arte de Cali
- Hay Festival, Cartagena Bogotá cultura Wayú Buenaventura Bichara
- Colombiatex, Medellín
- Mundial de la salsa,
Cali
- Festival de - ArtBo, Bogotá - Festival de luces
- Festival - Rock al Parque,
- Festival de la leyenda Cumbia, Banco - Bogocine, Bogotá de Villa de Leyva
Bogotá
Internacional de Vallenata, Valledupar - Festival - Festival de cine de - Feria de Cali
- Festival Folclórico y
Cine de - Feria Internacional del Migración, Nuquí Villa de Leyva - Expoartesanías,
reinado del bambuco,
Cartagena de Libro de Bogotá - Feria de Flores, - Festival internacional Bogotá
Neiva
Indias - San Juan y San Medellín de teatro de
Pedro, Neiva e Ibague Manizales
APR DEC
FEB AUG
JUN OCTDuring the last 15 years, the civilian homicides have
decreased 53.3%
Civilian homicides in Colombia, rate per 100,000 population
2003 – 2017
52,3
45,6
38,8 38,1 37,0
33,0
30,2 28,5 32,5
29,0 29,2 25,6
25,7 24,4
24,6
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Source: Ministry of DefenseMajor multinational corporations have chosen Colombia as an investment project destination
Some niches with opportunities:
INFRASTRUCTURE
A major driver for growth
AIRPORTS PORTS ROADS STEP RAILWAYS FLUVIAL
NATIONAL PLAN
1. USD $5.6 billion in rehabilitation, expansion and modernization of 31
airports (2015 – 2018).
2. The Fluvial National Plan consists of 13 river projects with an investment
of USD $2.9 billion.
3. Until 2035, USD $17 billion will be invested to increase road
infrastructure:
7,000 kms of new highways
1,370 kms of double lane highways
141 tunnels
1,300 viaducts
4. USD $3.3 million investment to recover more than 1,769 kms of railways
network.
Source: Intermodal Transport Master Plan 2015-2035 (PMTI ,
Ministry of Transport - Exchange rate: USD = COP$3,000SUCCESS STORIES -
INFRASTRUCTURE:
A major driver for
growth
Spain AUSTRIA ISRAEL CHINA
In 2014, Iridium awarded two road Strabag will be in charge of 75 Km Shikun & Binui awarded the HEC will build “The Mar 2 highway”
concession projects in the new highways, and the project “Corredor Perimetral de that will improve northeast logistics
government’s “highway modernization of a 65 km section. Oriente de Cundinamarca = development. Total project length:
concession program (4G)”. 153 km length” 246 km.
Those projects accounts 78Km.
Source: ProColombia con base en prensa nacionalSECTORS OF Some niche opportunities
OPPORTUNITY - ENERGY:
A diversified resource base THERMAL PCH SOLAR
and a strategic location in
the Americas WIND BIOMASS TRANSMISSION
NETWORK
Colombia ranked first in Latin America and eighth in
the world,
according to the “Energy Architecture Performance Index 2017”. WEF, 2017. The Global Energy Architecture Performance
Index 2017
546 power generation projects registered in different stages: Switzerland 0,8
Installed capacity up to 15,940* Norway 0,79
Sweden 0,78
22 Open public bids for power transmission projects in Colombia**
France 0,77
High potential in Biofuels and alternative energies. Denmark 0,77
Austria 0,76
Aquellos proyectos enfocados en energías renovables tendrán
exenciones del IVA, aduanas e impuesto a la renta – Ley 1715. Spain 0,75
Colombia 0,75
New Zealand 0,75
Uruguay 0,74
Source: World Economic Forum 2016 and UPME / * UPME (Colombian Planning Unit of Mines and Energy). MW approx.. **Bids
open by UPMESUCCESS STORIES -
ENERGY:
A diversified resource base and a
strategic location in the Americas
GERMANY UNITED STATES
ITALY
The low-grade thermal coal plant, Colombian subsidiary of AES
Between 2017 - 2019, the Italian
Termopaipa located in Paipa, Corporation (Applied Energy
multinational Enel will invest close to
was the first power plant planned Services). Chivor is one of the
USD 561 million in energy projects in
overseas, financed and built by country's largest power generator
Colombia.
Steag. with a total effective installed
capacity of 1,000 MW.Some niche opportunities:
SECTORS OF
OPPORTUNITY – ACUICULTURE CACAO CEREALS
FRUITS AND
VEGETABLES
MEAT
AGRIBUSINESS
PROCESSED
RUBBER BIOFUELS FORESTAL FOOD
Investment opportunities
1. 2. 3. 4.
Expansion of cultivated Construction of cocoa Colombia has the fourth Build specialized industrial
areas with a high global processing plants for dairy herd and largest facilities to transform
demand of agricultural cocoa butter, cocoa dairy production in the natural rubber into value-
products, construction of liquor and chocolate region, which guarantees added elements.
collection centers and products. easy access to raw
assembly of processing materials for the
plants (IQF, pulps, jams). subsequent
transformation of dairy
products.
Fuente: FAO, Ministerio de Agricultura.SUCCESS STORIES
AGRIBUSINESS
UNITED STATES CHILE
BRAZIL
The American investment fund Brazilian company dedicated to the Alliance between CCU and
specialized in the agribusiness sector, production and commercialization of Postobon: Construction of a
invested in the company, “Cacao beef, leather, live animals and its production plant with the aim of
de Colombia”, by setting up a byproducts. boosting the beer market sector
second production plant in Popayán. through production,
The company acquired freezers commercialization and distribution of
from Red Carnica S.A.S located in beer and non-alcoholic beverages
Cordoba. based on malt.
Source: Procolombia based on national pressSECTORS OF
OPPORTUNITY Some niches of opportunity:
METALWORKING AND
OTHER INDUSTRIES AUTOMOTIVE METALWORKING CONSTRUCTION
AND AUTO PARTS MATE
Colombia, a sustainable
destination.
INVESTMENT OPPORTUNITIES
1. 2. 3.
Setting up assembly lines to Setting up factories that Establishment of cement,
produce commercial transform iron and steel ceramic and prefabricated
vehicles (buses), cargo products with the aim of production plants to supply
vehicles and motorcycles meeting other industries local and international
to serve both local and demand. markets.
international markets using
Colombia as an export
platform.SUCCESS STORIES –
METALWORKING
AND OTHER
INDUSTRIES
FRANCE JAPAN CHINA UNITED STATES
The company invested in a The Japanese company of Foton invested more than US $ Whirlpool and the Colombian
float glass production plant to continuous casting and 12 million in a new assembly company Haceb, signed an
supply the national market and production of high precision plant for SUV and 4x4 models. alliance to produce washing
export to countries in the parts, decided to open a plant machines in a plant of US $ 70
Andean region. to serve the American market. million.
Source: Procolombia based on national pressSome niche opportunities
SECTORS OF
OPPORTUNITY -
CHEMICALS AND FERTILIZERS
NATURAL
INGREDIENTS
FOR COSMETICS
PLASTIC
PACKAGING
LIFE SCIENCES
Oportunidades de inversión
1. 2. 3.
Setting up agrochemicals Setting up research centers on Assembly of plastic packaging
formulation and development of cosmetics based production plants to meet the
production plants to serve on natural ingredients. Taking needs of the LAC region.
the growing local market. advantage of the Colombian
biological and floristic diversity; and
the tax incentives provided by the
National Government for R&D
projects.SUCCESS STORIES -
CHEMICALS AND
LIFE SCIENCES
PAÍSES BAJOS NORUEGA INDIA ESTADOS UNIDOS
The new factory set up in Colombia is Started its production operations in The Indian group inaugurated Inaugurated its new operations
one of its three most modern 2013, after the acquisition of Abocol, a new production plant in Villa center in Antioquia to supply the
factories in the world, thanks to its the most important agrochemical Rica (Cauca), from which it markets of Central America and the
cutting-edge technology and company in Colombia. manufactures 180 million Andean region.
ecofriendly facilities. laminated plastic tubes for
consumer products.
Source: Procolombia based on national pressSome sectors with opportunities:
SECTORS OF
OPPORTUNITY – SERVICES: BPO BACK BPO. BIG DATA SHARED
IT, BPO, ITO, Shared OFFICE-
FINANCE
TELEMEDICINE ANALYTICS SERVICE
CENTERS
Services, Apps
DATA CENTERS FINTECH SMART CITIES
Colombia is one the three major
providers of IT services in the region.
1. 2. 3.
Between 2001 and 2015, 1.3 million bilingual people in 1st place in Suramericana
3,405,211 graduates in Colombia in 2016. in labor qualifies,
different levels of education according
to IMD (2015)
4. 5.
6th place in the region in level Colombia has 10 submarine
of companies bilingualism cables, with eight exits through
in 2016. the Caribbean Sea and one
through the Pacific Ocean.
Source: MinTic and IDCSUCCESS STORIES –
SERVICES:
UNITED STATES SPAIN UNITED STATES JAPAN
AT&T acquired DirecTV Its BPO operation currently
IBM opened its third Data Center It has two operations centers in has more than 1,400 credit
in Colombia offering a processing Bogota where it manages a Colombia
and it´ll increase the telecoms processes, customer
power of 5 petabytes. diversified portfolio of blue ribbon service, and document
It´s one of the most advanced clients, with the capacity for up to offer Colombia through new
services and packages. management active
centers for Cloud Computing and a thousand positions. positions.
Big Data Analytics companies in
the country.
Source: Procolombia based on national pressSome niche opportunities:
SECTORS OF
OPPORTUNITY –
FASHION INDUSTRY: TEXTILES GARMENTS
Industry with a diversified
basket of products
1. 2. 3.
Local industry currently Colombia as an export Strategic alliances. There are
supplying with imported platform, the country counts qualified Colombian
inputs. Textile imports have with a strategic location, high companies able to associate
increased in the last 10 years, industrial capacity and more with foreign investors in order
it is necessary to supply the than 16 free trade to reach regional and
increasing demand of inputs agreements. international markets.
by the local production of
garments.SUCCESS STORIES –
FASHION INDUSTRY:
Industry with a
diversified basket
of products
UNITED KINGDOM UNITED STATES UNITED STATES MEXICO
This company has operated in Operates with the company Acquired shareholding in
Colombia for more than fifty Colombiana de Hilados, with a Polymer Group: It has a
the Colombian company
years manufacturing plant in the Free manufacturing plant in the Pacific
Coltejer.
as a Coats chain in the city of Trade Zone of Rionegro, Antioquia. Free Trade Zone in Cali, Valle del
Pereira, Risaralda. The plant has the capacity to Cauca.
produce carded open-end and
combed ring-spun.
Source: Procolombia based on national pressSECTORS OF Some niche opportunities
OPPORTUNITY
– TOURISM
Infrastructure, NATURE &
ADVENTURE
WELLNESS ENTERTAINMENT CITY HOTELS
real estate
and retail
Inbound tourists*
2013 – 2017 Investment Opportunities in:
(million of people)
6,5
1. Colombia ranks 25th in the ICCA ranking (International Congress and
Convention Association)
6,5
2. Luxury
5,1 and wellness hotels can take advantage of the Colombian
4,4 biodiversity to offer high quality services.
4,2
3,7
3. Luxury and wellness hotels can take advantage of the Colombian
biodiversity to offer high quality services.
4. VAT exemption for health tourism services
2013 2014 2015 2016 2017
*Inbound tourist includes: resident Colombians abroad, foreign non resident in Colombia, special
cross borders, and cruise visitors.
Source: Migration Colombia and MinCIT. ProColombia calculations.SUCCESS STORIES TOURISM
INFRASTRUCTURE,
real estate and retail
UNITED STATES UNITED KINGDOM SPAIN CANADA
This American chain has 15 hotels in Holiday Inn hotels opened in Bogota Holiday Inn hotels opened in Bogota Holiday Inn hotels opened in Bogota
Colombia with more than 1,850 and Cartagena, totaling 331 rooms. and Cartagena, totaling 331 rooms. and Cartagena, totaling 331 rooms.
rooms
Source: Procolombia based on national pressSECTORS OF Some niches with opportunity
OPPORTUNITY
-SERVICES, REAL ESTATE HEALTH BANKING TIC
CAPITAL
FUNDS BIOTECH ENERGY AGRIBUSINESS INFRASTRUCTURE
Colombia offers several benefits
to invest in capital funds.
1. 2. 3.
Colombia was ranked fourth in 19 International General Capital funds such as Advent
Latin American and Partners in Colombia. International and Victoria Capital
the Caribbean due to its have chosen the country as a hub
favorable conditions for to service other countries in the
development of the PEF industry. regionSECTORS OF
OPPORTUNITY-
SERVICES,
CAPITAL FUNDS
CANADA UNITED STATES UNITED STATES
Investments mainly in the sectors of Mainly infrastructure investments. Latin American fund that invested
infrastructure, energy and real In Colombia its more than US $ 20 million for the
estate. investments have been focused in development of three cancer
Investments in the Colombian power companies such as Intertug and treatment centers of the medical
company SA as part of its expansion Ocensa society Oncologists of the West, in
plan in the region. the Coffee Cultural Landscape and
Valle del Cauca.
Source: Procolombia based on national pressPROCOLOMBIA READY TO ASSIST YOU IN ASSESSING INVESTMENT OPPORTUNITIES
PROCOLOMBIA
PROMOTES
WE PROMOTE
COUNTRY BRAND
WE PROMOTE EXPORTS
WE PROMOTE
TOURISM
WE PROMOTE
INVESTMENT AND
INDUSTRIAL EXPANSION
FOR
INTERNATIONALIZATIONPRESENCE OF PROCOLOMBIA
IN THE WORLD
*En conjunto con el MinCIT
33
COUNTRIES
**En alianza con países de la Alianza del PacíficoFinancing Law
BECOMING ONE OF THE MOST COMPETITIVE
REDUCTION
MINCOME
A R K E T S TAX
OF THE
I N T RATE
CORPORATE
HE REGION
33% For the taxable year 2019.
Reaching Latam’s
32% For the taxable year 2020.
and the Caribbean
31% For the taxable year 2021.
standards
30% For the taxable year 2022.Some of our income
tax exemptions
Income from the development Income from sales of Income from investments to
of technological value-added industries energy from non- increase the productivity of
and creative activites- Tax incentives to conventional sources. the agricultural sector.
orange economy companies (15 years) (10 years)
(7 years)
Income from the use of Fuvial transport services
new forestry plantations. by shallow draft boats.
(15 years)MEGA HOLDING
INVESTMENTS COMPANIES
New investment within the To national companies whose main
national territory of 30.000 UVT company purpose is the holding of securities,
(COP$ 1.028.100.000 approx. investment in shares or participations
USD$ 342.700 million). That abroad, some tax benefits are stablished.
generate at least 250 direct Benefits: The dividends distributed by non
Jobs. residents to the holding are exempted of the
income tax.
The dividends distributed by the holding to
residents are subject to the dividend tax.
Dividends distributed to non residents are
income tax exempted.
Exclusions: Investments in hydrocarbons Requirements: Investments in hydrocarbons and mines
and mines are excluded of this regime are excluded of this regimeIncentives
Hotels, theme parks, ecotourism, agrotourism
and new boat docks.
incentive was extended to municipalities with more tan 200.000. An incentive
was created to theme parks, ecotourism, agrotourism and new boat docks.
Municipalities < 200.000. Municipalities > 200.000.
Income Tax Rate 9% - 20 Income Tax Rate 9% - 10
years. Until 2029 years. Until 2023INCENTIVE ON DISTRIBUTION
PRODUCTIVE REAL CENTERS
FIXED ASSETS The income obtained from the transfer of
foreign goods owned by foreign companies
The total sales tax paid in the or non resident people, introduced from the
acquisition, making, construction outside to the international logistics
or import of real productive fixed distribution centers located in international
assets, included the necessary airports, seaports or the inland ports located
services to start them up, may in the departments of Guanía, Vaupés,
be considered as a discount on Putumayo and Amazonas, enabled by the
the corporate income tax. Direction of National Taxes and Customs
(DIAN) don´t generate income of national
source within the country.
Exclusions: Investments in hydrocarbons and mines are
excluded of this regimeYou can also read
