92 Billion Flows Through BVI Each Year
January 29, 2014 Taxation in British Virgin Islands
GENEVA – Experts ave confirmed that the BVI is still the world’s most popular offshore center, and the amount of money controlled by BVI entities is disproportionately too large in the global market.
The British Virgin Islands now has one of the highest levels of foreign direct investments (FDI) in the world, seeing almost as much financial flows as Russia, and just as much as Australia and the UK combined, according to new information in the latest Global Investment Trends Monitor report released on January 28th by the United Nations Conference on Trade and Development (UNCTAD).
In the newly published report the experts of the UNCTAD showed that in 2013 the BVI saw foreign direct investments totaling USD 92 billion, the fourth highest amount among any country that year, only falling behind the USA, China and Russia, which, over the period, received USD 159 billion, USD 127 billion, and USD 94 billion, respectively.
The overall level of foreign direct investment into the BVI is also far higher than the flows into other traditional international business centers such as Hong Kong, Singapore, and Ireland, which, in 2013, received USD 72 billion, USD 56 billion, and USD 46 billion, respectively.
However, according to the experts of UNCTAD, the FDI coming into the BVI is very different to the flows coming into other developed countries, as a significant portion of the financial flows, marked as investments, into the BVI are almost immediately transferred straight out of the country, as multinational businesses move funds from entities registered in one jurisdiction to another, using the BVI as a conduit.
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