December 2004

1
December 2004
info_at_coinvertir.org (57)(1) 3120312
2
Colombia Outlook and Investment Potential
Potential Market
General Information about Colombia

• Official Name Republic of Colombia
• Area 1,141,748 Km2
• Land Frontiers Venezuela, Peru, Ecuador, Brazil
  and Panama
  
• Coast Lines Atlantic Ocean and Pacific Ocean
• Population (2004) 45,325,261 inhabitants (71
  urban, 28 rural)
  
• Capital Bogota, 7 million inhabitants
• Climate Tropical (climate based on altitude)
• Official Language Spanish
• Currency (November2004) Peso (COP vs. US 2003
  COP 2,530.16US 1)
  
• GDP (current prices 2003) US 78.6 billion
• GDP per capita (2003) US 1,794

COINVERTIR
3
Potential Market
Strategic Location
Source Araujo Ibarra y Asociados S.A
4
Colombia Outlook and Investment Potential
Potential Market
Privileged Access to Global Markets
FTA With USA in progress Andean Community (CAN)M
ERCOSUR CAN South American Community of Nations
Chile CARICOM G-3 (Mexico and Venezuela) AL
ADI
Trade Agreements
ATPDEA (US) ANDEAN SGP (European Union)
Tariff Preferences
COINVERTIR
Source Ministry of Trade, Industry and Tourism
On November 2004, Panama joined the Group
5
Colombia Outlook and Investment Potential
Potential Market
Market Size
Total GDP 2003, current prices, US millions

• Fifth largest economy in Latin America,
• Second largest economy in the Andean Community.

COINVERTIR
Source World Bank Database
6
Colombia Outlook and Investment Potential
Potential Market
Multiple Regional Development Areas

• Colombia is an urban country
• 1city 7000,000 inhabitants
• 3 cities 2000,000
• 4 cities 500,000 inhabitants
• 23 with 100,000 inhabitants

COINVERTIR
7
Colombia Outlook and Investment Potential
Human Resource
Competitive Human Resources
Hourly Compensation for manufacturing workers
(wages benefits)
US, 2003
Ranking (Among 60 countries)
COINVERTIR
Source The World Competitiveness Yearbook
2004-IMD
8
Colombia Outlook and Investment Potential
Human Resource
Low Labor Costs
Remuneration in Services Professions
Gross Annual Income (Department Manager), US,
2003
COINVERTIR
Source IMD,2004
9
Colombia Outlook and Investment Potential
Human Resource
Human Resources Availability
Availability of Qualified Engineers 2004
Availability of Competent Senior Managers 2004
7.43
7.42
COINVERTIR
Source IMD, 2004
10
Colombia Outlook and Investment Potential
Human Resource
Education
Adult literacy Rate 2002
Public spending on education increased from 1.7
of GDP in 1990 to 3.9 in 2002.
Colombia Educational Level 1980-2001

Years
8
6
Urban
4
Rural
2
0
1978
1985
1991
1993
1995
1997
1999
2000
2001
COINVERTIR
Source National Planning Department -DNP and
The World Development Report 2004
11
Colombia Outlook and Investment Potential
Costs
Electricity
Electric Energy Costs Cents/KWH (2002-2003)
COINVERTIR
Source Electricity Institution of Costa Rica
CENPE, Economic-Energetic Information System
OLADE and Beijing National Environmental
Protection Industry Zone
12
Colombia Outlook and Investment Potential
Costs
Competitiveness in Latin America
Colombia was the only country in Latin America
that improved its rank
COINVERTIR
Source IMD.
13
Tax Regime
Colombia Outlook and Investment Potential
Costs

• NATIONAL TAXES
• Income and related Taxes
• Tax on Windfall Profits
• Remittance Tax
• Tax to Net Worth
• Sales Tax
• Burden to Financial Movements
• Stamp Tax
• Registry Tax

• REGIONAL TAXES
• Industry and Commerce Tax
• Real Property Tax

COINVERTIR
14
Colombia Outlook and Investment Potential
Social Development
Health
Infant Mortality Rate, 2002 Number of deaths by
thousand births
60
50
40
30
20
10
0
Chile
Peru
Brazil
Mexico
Bolivia
Argentina
Ecuador
Colombia
Venezuela
Steady improvements in basic health indicators.
Male and FemaleLife Expectancy at birth, 2002
COINVERTIR
Source Human Development Report 2004.UMDP
15
Colombia Outlook and Investment Potential
Social Development
Basic Living Conditions- 2004
Population without access to potable water in
Latin America
, 2000
Population without access to sanitation in Latin
America
, 2000
COINVERTIR
Source Human Development Report 2004. UNDP
16
Colombia Outlook and Investment Potential
Social Development
Human Development
Human Poverty Index 2002
Human Development Index 2002
According to the HDI (Human Development Index),
Colombia is a medium-developed country. It is
ranked 17th among 85 countries in this category.
COINVERTIR
Source Human Development Report 2004. UNDP
Eastern Europe
and the CIS
OECD
East Asia
(excluding China)
Human Development
Index - 1998
Colombia vs other
regions of the world
Colombia
East Asia
South East Asia
and Pacific
Latin America and
the Caribbean
World
Arab States
South Asia
South Asia
(excluding India)
Sub - Saharan
All developing
countries
0,0
0,2
0,4
0,6
0,8
Africa
Least developmente
countries
17
Colombia Outlook and Investment Potential
Economic Performance
Economic Growth
GPD Growth Colombia

• GDP growth 2003 3.95. fourth greatest in Latin
  America.

• Expected 3.5 growth for 2004.

• Between January and September of 2004, Colombia's
  GDP grew 3.52

COINVERTIR
SourceECLAC
18
Colombia Outlook and Investment Potential
Economic Performance
GDP Share by sector ( 2003)
GDP 2003 US 78.6 B
COINVERTIR
Source National Department of Statistics -DANE-
19
Colombia Outlook and Investment Potential
Economic Performance
Economic Stability
Inflation Rate (), 1994-2004

• Decreasing and one digit inflation. 5-6
  inflation target for 2004.

5-6
Interest Rates , 1997-2004
Stable and competitive interest rates
COINVERTIR
Source National Department of Statistics DANE,
and Central Bank
20
Colombia Outlook and Investment Potential
Economic Performance
Sovereign Risk Ratings
Long-Term Sovereign Bonds In Foreign Currency
2004
A
Chile
Standard Poors
BBB-
Mexico
BB
Colombia
BB-
Peru Brazil
B
Venezuela
B-
Chile
Investment Grade
A -
Argentina
Mexico
SD
BBB-
Colombia
BB
Peru
BB-
Fitch
B
Brazil
Venezuela
Investment Grade
B-
Argentina
DDD
Chile
Baa1
Mexico
Baa2
Colombia
Ba2
Peru
Ba3
Moodys
Brazil
B2
Negative Outlook Stable Outlook P
ositive Outlook
Venezuela
Caa1
Argentina
Investment Grade
Caa1
COINVERTIR
Source Latin-Focus
21
Colombia Outlook and Investment Potential
Economic Performance
External Debt
External debt GDP share, 2003

• In its recent history (since 1930), Colombia has
  never defaulted on its international financial
  responsibilities
  
• Colombia signed an Stand By Agreement with the
  IMF to reduce its public debt that has presented
  remarkable results.

COINVERTIR
Source Latin Focus, Cámara de Comercio americana
en la República Dominicana, Ministerio de
Planificación Nacional y Política Económica de
Costa Rica
22
Colombia Outlook and Investment Potential
Political Stability
Colombias Political Structure
COLOMBIA
Executive
Legislative
Judicial
President Vice-president
Constitutional Court
Supreme Court
Constitutional Court
Council of State
Administrative Department
Ministries
House of Representatives
Senate
COINVERTIR
23
Colombia Outlook and Investment Potential
Political Stability
Political Stability

• Advances in the protection of the civil society
• Policies that generate confidence with the
  government and credibility
  
• President with over 70 support after almost 2
  years in office
  
• Renewed confidence in the country
• Democratic Security and Defense Policy

COINVERTIR
24
Security Improvement
Colombia Outlook and Investment Potential
Political Stability
Public Security Index, Citigroup Colombia
(2000-2003)
Implies improvement in every public order
indicators
The Presidents public security strategy has
increased security levels.
COINVERTIR
Source Citygroup
25
Colombia Outlook and Investment Potential
Foreign Trade
Exports, January-September 2004
Main Exports Share
Colombian Exports By Country US Million
Total Jan-Sep 2004 US 11.9 B
COINVERTIR
SourceDANE (National Statistics Administrative
Department) , Central Bank
26
Colombia Outlook and Investment Potential
Foreign Trade
Export Trade Incentives
COINVERTIR
Source Ministry of Trade, Industry and Tourism
27
Colombia Outlook and Investment Potential
Foreign Trade
Imports
Colombian Imports By Country Of Origin
Main Import Products
Share, Jan-Sep 2004

US Billion (CIF), Jan-Sep 2004





Total Imports US 11.9 Billion CIF
COINVERTIR
Source DANE, DNP
28
Colombia Outlook and Investment Potential
Foreign Investment
Foreign Direct Investment in South America

Average Investment flows in South America
US billion. 1992-2003
COLOMBIA 6TH IN Latin America 2ND in A
ndean Community
COINVERTIR
Source World Investment Report 2004-UNCTAD
29
Colombia Outlook and Investment Potential
Foreign Investment
Colombias Foreign Investment Regime

• Equal Treatment
• Free remittance of profits
• Universality principle
• OPIC Overseas Private investment Corporation
• MIGA Multilateral investment Guarantee Agency
• ICSID International Center for Settlement
  Investments Disputes
  

Foreign Investment Regime
International Treaties for foreign investment
protection
COINVERTIR
30
Colombia Outlook and Investment Potential
Foreign Investment
FDI by Sector
Stock Share, 2004
21,9
19,8
15,6
10,1
13,7
5,6
9,4
2,5
Total US 25.64 B
COINVERTIR
Source Balance of Payments Central Bank of
Colombia Up to June
31
Colombia Outlook and Investment Potential
Foreign Investment
Foreign Investment
FDI by Country of Origin
Flows
2003, Share
Total 2003 US 1.76 billion
COINVERTIR
Source Central Bank, Balance of Payments
32
Colombia Outlook and Investment Potential
Foreign Companies in Colombia
Some Strategic Alliances / Acquisitions
Type
Sector
Colombian Company
Foreign Company
Country
Acquisition
Public Services
Procesos y Diseños S.A
John Wood Group Pcl
Scotland
Acquisition
Mining
Intercor
Consorcio CZN
UK
Capital /Expansion
Commerce
Carulla
Newbridge Andean Partners
US
Capital / Expansion
Mining
Gas Natural S.A
Gas Natural
Spain
Capital / Expansion
Communications
Comcel
America Movil
Mexico
Capital / Expansion
Communications
Caracol Radio
Grupo Prisa
Spain
Joint Venture
Food Services
Colombina
Joyco
Spain
Local Market
Pharmaceutics
Nucleotronics
Bio Products Laboratory
UK
Joint Venture
Basic drainage
Aguas de Cartagena
Aguas de Barcelona
Spain
Internet
Communications/IT
Bavaria
UOL
Brazil
Technological Transference
Insurance
Colseguros
Allianz
France/Germany
Capital / Expansion
Commerce
Exito
Casino
France
Distribution
Food services
C. Nacional de Chocolates
Mavesa
Venezuela
Acquisition
Financial
BBVA
BBVA
Spain
Acquisition
Financial
Banco Real
ABN-AMRO
Netherlands
Expansion
Automobile
Ford Motor
US
CCA
US
Capital / Expansion
Energy
Tebsa
Darby inv. Corp.
COINVERTIR
Source COINVERTIR
33
Colombia Outlook and Investment Potential
Infrastructure
Private Sector Participation in Infrastructure
Projects
1991-2003

• Some Participating Companies
• ENDESA (Spain)
• Gas Natural (Spain)
• Aguas de Barcelona (Spain)
• Aerop. Españoles y Navegacion Aerea
  (Spain)
  
• Telefonica de España (Spain)
• Dragados y Construcciones (Spain)
• Houston Industries (United States)
• ATT (United States)
• Bell Canada (Canada)
• Electrificadora de Caracas (Venezuela)
• GENER (Chile)
• GENCOR (South Africa)
• Billiton (Great Britain)
• Cable and Wireless (UK)
• Schipholl Management Services (Netherlands)
• Millicon International Cellular (Luxemburg)

Estimated Investment. Includes Bogota, Pereira,
Cali Cartagena ITMS
COINVERTIR
Source DNP
34
Colombia Outlook and Investment Potential
Infrastructure
Telecommunications
Units x 1000, 2001 x 1000, 2003 x 1
000, 2001
x 1000, 2001 x 1000, 2001
Service Operators Local Telephony
52 7,000
Mobile Services 5 6,200
ISPs 55 1,200
Paging 40
116 Trunking 5
110

Main Indicators
Telecommunications Investment (US million)

• Increasing competition among government owned and
  private operators.
  
• Fast growing investment on the sector.
• The telecommunications sector in Colombia
  recorded a 12.21 income increase in 2003, as
  compared to the previous year.

4000
Private
3500
Government owned
3000
2500
2000
1500
1000
500
0
1991-1994
1995-1998
1999-2002
COINVERTIR
Source DNP and Ministry of Communications
35
Colombia Outlook and Investment Potential
Infrastructure
Electric Energy
Private Sector Participation on Electric
Infrastructure Projects
Electricity Generation Capacity
US million
Brazil
Argentina
Colombia

• Electricity generation capacity increased 34
  between 1992 and 2003.
  
• High private investment on infrastructure
  projects.
  
• Colombia is considered to be one of the main
  countries for electricity production.

Chile
Mexico
1995-2000
1990-1994
Peru
0
10,000
20,000
30,000
40,000
COINVERTIR
Source DNP and World Bank, World Development
Indicators, 2001
36
Colombia Outlook and Investment Potential
Infrastructure
Transportation
Main Indicators 2002
Road Density 0.10 (Km./Km2)
National Road Network 15
,916 (Km.) Railways 3,140 (Km
.)
During the last years, Colombia has increased
investment in transportation infrastructure,
through an aggressive concession scheme. This
investments will facilitate future service and
logistics development.
1.2
1.0
0.8
0.38
Private
Public
0.6
0.4
0.44
0.2
Investment in Roads
0.0
of GDP
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
COINVERTIR
Source DNP, North Railways of Colombia -FENOCO
37
Colombia Outlook and Investment Potential
Infrastructure
Mass Transport
Transmilenio Mass transport system of Bogota,
model to cities in Colombia and abroad.

• Other mass transport projects in Colombia
• Cali (MIO)
• Cartagena (TransCaribe)
• Barranquilla (TransMetro)
• Pereira Dos Quebradas La Virginia (Megabus)
• Bucaramanga (Metrolinea)

COINVERTIR
Source www.transmilenio.gov.co
38
Colombia Outlook and Investment Potential
Infrastructure
Air Transport
Air transport is highly developed and experiences
an steady technologic improvement.
At present there are 73 airports, 11 of them
international.
Oct-01
Oct-02
Oct-04
Oct-03
Source DNP
39
Colombia Outlook and Investment Potential
Natural Resources
Oil
2003
Exports Production Potential Reserves New Co
ntracts
US 3.4 billion 541,000 bpd 1.5 billion barrels
70 joint ventures with multinationals
100
Total Oil Production
10
Distribution by Type, 2003
36
80
60
High multinational presence like Occidental,
Petrobras and Omimex
54
40
Concessions
20
Associations
ECOPETROL
0
COINVERTIR
Source ECOPETROL, DNP UPME
40
Colombia Outlook and Investment Potential
A Attractive Sectors
Natural Resources
Natural Gas
National Natural Gas Consumption
Million cubic feet per day

• 6,688 GCF (Giga Cubic Feet)
• of proved reserves on 2003.

• Fast increase in domestic use of natural gas of
  10 annual average during the last 3 years (1999
  -2 002).

COINVERTIR
Source ECOPETROL
41
Colombia Outlook and Investment Potential
A Attractive Sectors
Natural Resources
Coal

• Colombia is the worlds fifth largest producer of
  coal.
  
• 90 of the reserves are high quality coal.
• World class facilities for production and export.

Coal Exports
US million FOB
1400
1420
1200
1197
1105
1000

• Cerrejon is the largest open pit mine of the
  world.
  

800
861
600
936
848
400
200
0
1998
1999
2000
2001
2002
2003
COINVERTIR
Source Mining-Energy Planning Unit (UPME), DANE
42
Colombia Outlook and Investment Potential
A Attractive Sectors
Natural Resources
Mining
Potential Development Areas

• Copper
• Corundum
• Diamonds
• Emeralds
• Gypsum
• Iron-Limestone
• Iron ore
• Marble and Granite
• Nickel
• Phosphate
• Platinum
• Precious Metals
• Sulfur

• The private sector carries out 100 of the mining
  activity
  
• Important foreign companies such as Drummond, BHP
  Billiton, Glencore, Amcoal and Rio Tinto.

COINVERTIR
Source DNP
43
Colombia Outlook and Investment Potential
A Attractive Sectors
Natural Resources
Alternative Energy Supplies
Colombia, because of its geo-spatial location,
has potential on renewable and alternative power
resources.
COINVERTIR
Source UPME
44
Colombia Outlook and Investment Potential
Industry
Textiles and Apparel
Companies 256 Gross production 2002 US 1.234
MM
Exports 2003 US 173 MM
Textiles
Companies 14,000 Gross Production 2002 US 1.
103 MM
Exports 2003 US 685 MM
Apparel
COINVERTIR
Source DANE, Proexport, Colombia Compite
Network, COINVERTIR
45
Colombia Outlook and Investment Potential
Industry
Textiles and Apparel

• Competitive Costs
• Electricity (5 cent US/kWh) and water (55
  cent.US/m3
  
• Labor (monthly salary for operator in apparel US
  180)
  
• Average air transport fleets to USA (0.84 US/Kg)
  
  
• Geographic location at just 3 hours from Miami
  and 8 hours from San Francisco by Air
  
• Colombia is at 2 days from the principal ports in
  the US by maritime transport, and with an average
  US 0.01 fleet per Kg.
  
• Vertical Integration of the sector
• Design, cut, spinning, wash, embroidery, dyeing
  and printing

COINVERTIR
Fuente Red Colombia compite, COINVERTIR
46
Colombia Outlook and Investment Potential
Industry
Textiles and Apparel

• Export Potential
• Apparel included in ATPDEA USA entrance with 0
  tariff
  
• With respect to the Jan- Feb period of 2003, in
  2004 there has been an increase of 128 for the
  exports to USA under ATPDEA.
  
• Potential opportunities with a potential FTA with
  USA.

Exports Growth , 2003

• Main Destinations
• USA 49
• Venezuela 19
• Mexico 7
• Ecuador 5
• Costa Rica 2

COINVERTIR
Source Proexport, Colombia Compite Network,
COINVERTIR
47
Colombia Outlook and Investment Potential
Industry
Agro Industry Oil Palm
Colombia has over 3,5 million hectares suitable
for oil palm plantation, with some technical
restrictions. Current planted area of 205,000
hectares is expected to increase to 743,000
hectares over the next 20 years.
Strategy

• Generate projects to grow oil palm in over 20,000
  hectares, with the support of international
  banking and foreign investors.
  
• Attract long-term resources to the oil palm agro
  industry through the emission of bonds

Oil Palm Productive Zones in Colombia - 2001
COINVERTIR
Source FEDEPALMA, COINVERTIR
48
Colombia Outlook and Investment Potential
Industry
Agro Industry Wood and forest by Products
Forests Growth Annual, meters by hectare

• Colombia presents a soil content that allows an
  accelerated growth of pine forests

COINVERTIR
Source Ministry of Trade, Industry and Tourism
49
Colombia Outlook and Investment Potential
Industry
Agro Industry Wood and forest by Products

• Wood sector promotion
• A new program developed by the Government will
  adopt 40,000 ha of commercial reforestation.
  
• Colombia is part of a group of countries with an
  average costs reduction of CO2 of US 3.5 / ton,
  compared with US 250-US 500 / tons in developed
  countries.
• The government, in collaboration with other key
  participants in the forestry industry, is
  developing a new legal framework that intends to
  promote foreign investment in the sector.
• Forestry Incentive Certificate (FIC)
• Exemptions for new plantations
• Tax deduction for new investments

COINVERTIR
Source Ministry of Trade, Industry and Tourism
50
Colombia Outlook and Investment Potential
Industry
Agro Industry and Fishery-2003
(US million) 680.0 425.5 41.6 59.3 52.5
228.5 822.2
Product Fresh Flowers Bananas Palm Oil Shr
imp
Dairy products Sugar Coffee
2nd World exporter 10th World exporter 5t
h World producer

Exports
Hectares 10,000 3 million 5,000 3 millio
n
10,000
Area Harts of Palm / Asparagus Forestry Tro
pical Fruits (pithaya, guava) Palm Oil Shrimp Fa
rming
Some Potential Growth Areas
COINVERTIR
Source DNP, DANE
51
Colombia Outlook and Investment Potential
Industry
Petrochemical Sector
Real Production Growth
Industry with growing tendency and investment
opportunities for the private sector
COINVERTIR
Source Foreign Commerce Bank of Colombia
BANCOLDEX.
52
Colombia Outlook and Investment Potential
Industry
Metal-mechanics
The metal-mechanic sector was eligible to be
benefited by the ATPDEA.
Exports US millions
On the firs three months of 2004 the sector
accounted for a 1.07 of the GDP.
COINVERTIR
Source BPR, DANE
53
Turismo-Hotel Irotama Resort
Colombia Outlook and Investment Potential
Estructura de Mercado
Services
Software

• 20 of the IT Companies are ready to export.
• Colombia has 12 Incubators of companies and 9
  Technological Parks.
  
• Business plans with high content of innovation.
• Companies are entering to new market niches.
• Colombian product is recognized for its
  competitiveness within Latin America.
  
• Pioneers in Information and Communications
  Technology (TIC).
  
• The Connectivity Agenda is an important idea the
  government has in order to support IT.

COINVERTIR
Source Fedesoft
54
Colombia Panorama y Potencial de Inversión
Attractive Sectors
Services
Software
-Colombia is one of the fastest growing markets
in the information technology sector in South
America. -There are numerous opportunities for
companies to create strategic
alliances to service niche markets, developing
specialized software. -Products developed are
Custom made software, customer Relationship
Management, educational software.
-Training of 500 professionals, free of charge.
-Companies registering software with a high
content of national scientific investigation are
subject to Income Tax exemptions for 10 years.
Law 788 of 2002. -Income tax deduction for inve
stments in scientific development projects.
- Co-financing of innovation and entrepreneuri
al development projects.
COINVERTIR
Source Electronics, Telecom, Colciencias, and
Canadian Embassy in Colombia
55
Colombia Outlook and Investment Potential
Services
Competitive advantages for Call Centers

• Existing installed capacity is under usage
• 1.5 people per every work station
• (full usage capacity 4 people)
• Capacity is able to cover other markets such us
  
  
• United States 300 million inhabitants
• Andean Community 109 million inhabitants
• Low labor cost which are 44 of total costs.
• Developed telephone infrastructure with 7,000,000
  fixed phone lines in service
  
• Growing Sector
• In 2003, total call centers income was US 80.7
  million, 5 higher than the US 77.0 million of
  2002. In 2004, total income is expected to reach
  US 87.4 million and US 109.5 million in 2005.

COINVERTIR
56
Colombia Outlook and Investment Potential
Services
Financial Sector

• Wide number of local and foreign entities on
  different branches of the sector
  
• Banks
• Stock market
• Pension funds
• Insurance companies

COINVERTIR
Source Banking superintendence
57
Colombia Outlook and Investment Potential
Services
Tourism
Areas of Interest
Types of Tourism
Beaches in the Caribbean and Pacific coasts.
Sun and Beaches
Traditional coffee growing areas.
Agrarian Tourism
Parks in the Caribbean, Pacific and Andean
regions.
Amazon and Orinoco.
Ecological Tourism
Pre-Columbian and Colonial past.
History and Culture
Water, air and high mountain sports.
Sports and Adventure
Bogota, Medellin, Cali, Barranquilla, Santa
Marta, Cartagena, Bucaramanga, Cucuta, Manizales
, Pereira,
Neiva, Ibague, Pasto, among others.
Main Cities, Fairs and Holidays
COINVERTIR
Source Ministry of Trade, Industry and Tourism
58
Colombia Outlook and Investment Potential
Services
Tourism -Incentives
A differential rate for the Value Added Tax was
established at 7 for lodging a smaller rate
than that of the other services.
Income tax exemption for a 30 year term, for com
panies that invest in the construction, expansion
or remodeling of hotels during the next 15
years. Ecotourism services, certified by the En
vironment Department, are income tax exempt for a
20 year term. Industrial Free Trade Zones for
Tourism Services special regimes in foreign
exchange, customs, fiscal and capital investment
policies. All types of foreign or in
free-circulation goods, commodities, supplies,
products or machinery can be introduced to the
Country. Plan Vallejo Special Import - Export
System.

COINVERTIR
Source Ministry of Trade, Industry and Tourism
59
Colombia Outlook and Investment Potential
Services
Health Tourism

• Attractive aspects of the health service in
  Colombia
  
• High quality
• Competitive costs
• Advanced technology
• Well reputation

Colombia is well known as a health services
leader among south America and the Caribbean.
COINVERTIR
Source World Bank
60
Colombia Outlook and Investment Potential
COINVERTIR Invest In Colombia Corporation
COINVERTIR focuses on Four Principal Activities
Investment Climate Improvement
Installed Investors Attention
IPAs Principal Activities
Potential Investors Attention and Investments
Generation
Countrys Promotion
COINVERTIR
61
Colombia Outlook and Investment Potential
Invest In Colombia Corporation
PROINVEST Foreign Investment Promotion
in Colombian Companies
PROINVEST is a program sponsored by the
Inter-American Development Bank (IDB) aimed to
increase foreign direct investment in Colombia,
promote technology transfer, market share growth
and employment generation.

• The expected results of the Program are
• Create a methodology to structure investment
  projects in line with the best international
  practices.
  
• Establish a group of top level consultants
  trained in the use and application of the
  methodology, to provide personalized technical
  assistance.
• Obtain financial support for the preparation
  costs of the projects.
  
• Set a strategy of direct promotion to foreign and
  national investors.

COINVERTIR
62
Colombia Outlook and Investment Potential
COINVERTIR Invest In Colombia Corporation
There are important Transnationals currently
operating in Colombia.
Around 400 Transnationals, with US 26,6 billi
on of annual Sales, run their operations in

Colombia
COINVERTIR
63
Colombia Outlook and Investment Potential
Why Colombia?
For more information about Colombia
and its business environment visit our web page
www.coinvertir.org info_at_coinvertir.org Phone
57 (1) 312-0312 Fax [phone]