Doing business processes being further refined

The doing business climate in Barbados is getting a major upgrade that should significantly benefit operators in the global business sector.

This indication came on Thursday as Kevin Hunte, Director of the International Business Unit (IBU) in the Ministry of Energy and Business Development, outlined some of the changes that were on the horizon.

He said: “The vision of the IBU is for Barbados to be the international financial centre of choice in the western hemisphere by 2026, and to be the global hub by 2030 for both the development and attraction of reputable business of substance.”

His comments came during a global business industry update, hosted virtually by the Barbados International Business Association (BIBA).

Hunte indicated that the Foreign Currency Permit regime was being amended to “plug a few gaps” including the omission of trusts as a qualified person under the Act, the exclusion of some companies and the clarification that external companies can hold a foreign currency permit.

“The intended amendments also seek to ensure that the customs exemption previously granted to entities under the now abolished preferential regimes will also be extended to holders of a foreign currency permit. We know this has proven to be a significant challenge to the industry and we offer our sincerest apologies for those challenges experienced and assure you that steps are being taken to have this rectified as soon as possible,” said Hunte.

Promising further updates in coming weeks, he also pointed out that based on discussions with industry stakeholders several recommendations would be pursued to iron out issues relating to trusts.

He announced that a trust review committee was put in place and had come up with several recommendations and developed a roadmap to achieve those recommendations.

Part of the work of the trust review committee, he said, is to review the Trustee Act and the Trusts (Miscellaneous Provisions) Act

“The trust review committee will also consider the addition of new features to the trust regime in Barbados so as to craft the regime that is both attractive and fertile for growth. The belief here is that increased assets in trust companies in Barbados will lead to additional employment opportunities and an increase in the incorporation of Barbadian companies, a consequent increase in assets placed in banks and an increase in the country’s profile to the globally nomadic,” Hunter added.

“We have reached a stage in our development where we must be nimble, innovative and well regulated. This necessitates being open to review and reinvention to not only remain current, but to be a step ahead in the development and enhancement of our product and services offered,” he said.

He also pointed to ongoing assessment of the economic substance regime, which is one of the international compliance filing requirements for companies in no or low-tax jurisdictions.

Hunte also noted that the proposed minimum global tax rate was still being discussed, and that Barbados’ bilateral investment treaty model was being revised to be more in line with international practices.

“The Ministry of Energy and Business,
as is the entirety of Government, iscommitted to enhancing the ease of business not only in practice but also in perception,” said Hunte.

He pointed to the advancements being made in the revamp of the corporate registry and the international business unit application processes, as he pointed to the completion of phase one upgrade for the Corporate Affairs and Intellectual Property Office (CAIPO).

According to Hunte, other phases were due for release soon. This, he said, would provide greater ease in the registration and licensing of businesses.

He also noted that authorities continued to do work to ensure that the country remained up-to-date with anti-money laundering requirements.
marlonmadden@barbadostoday,bb