Saint Vincent and the Grenadines is a member of the Organization of Eastern Caribbean States (OECS) and the Eastern Caribbean Currency Union (ECCU). In the most recent available figures from the Eastern Caribbean Central Bank (ECCB), the country’s 2022 estimated gross domestic product (GDP) was projected at $871.4 million (2,355 billion Eastern Caribbean dollars). In 2023, Saint Vincent and the Grenadines has continued to recover from the effects of the 2021 volcanic eruption, Hurricane Elsa, and the COVID-19 pandemic. Like most of the Eastern Caribbean, the country continues to grapple with supply-chain delays and surging consumer food and fuel prices exacerbated by Russia’s war on Ukraine. As of May 2023, the International Monetary Fund forecast the Vincentian economy to grow by 6.0% by the end of 2023.
The Government of Saint Vincent and the Grenadines strongly encourages foreign direct investment (FDI), particularly in industries that create jobs and earn foreign exchange. Through the Invest Saint Vincent and the Grenadines Authority (Invest SVG), the government facilitates FDI and maintains an open dialogue with current and potential investors.
The country continues to promote economic diversification and investment in several niche markets, particularly tourism, international financial services, agro-processing, scientific and medical research, light manufacturing, renewable energy, creative industries, and information and communication technologies. The government is also pushing ahead with planned upgrades to the healthcare sector.
Supported by the National Climate Change Policy and National Adaption Plan, green and blue investment opportunities are encouraged particularly in critical sectors such as tourism, general infrastructure, energy, agriculture, and light manufacturing. The government continues to place priority in the tourism sector as it continues to show signs of recovery with increasing visitor arrivals in 2023. Long awaited construction projects in the tourism sector and civil infrastructure are expected to commence within the calendar year and will provide a much-needed economic boost.
The government does not impose limits on foreign control, nor are there requirements for local ownership or ownership in locally registered companies. The island’s legal system is based on the British common law system.
Saint Vincent and the Grenadines does not have a bilateral investment treaty with the United
States. It has double-taxation treaties with the United States, Canada, Denmark, Norway, Sweden, Switzerland, and the UK.
In 2016, Saint Vincent and the Grenadines signed an intergovernmental agreement in observance of the United States’ Foreign Account Tax Compliance Act (FATCA), making it mandatory for banks in the country to report the banking information of U.S. citizens.
|TI Corruption Perceptions Index||2022||45 of 180||http://www.transparency.org/research/cpi/overview|
|Global Innovation Index||2022||N/A||https://www.globalinnovationindex.org/analysis-indicator|
|U.S. FDI in partner country ($M USD, historical stock positions)||2021||$7 M||https://apps.bea.gov/international/factsheet|
|World Bank GNI per capita||2021||$8,720||http://data.worldbank.org/indicator/NY.GNP.PCAP.CD|