Guatemala expects a 35% increase of FDI

By Mayora IP

Guatemala expects to have a 35% increase of Foreign Direct Investment (FDI) in 2021, according to Rolando Paiz, general coordinator of the executive committee of the National Competitiveness Program of Guatemala (Pronacom).

Interviewed by Efe, Paiz said that since the beginning of year the agency has already assisted 90 foreign companies interested in investing in the country. Pronacom identified four priority sectors: drugs, medical devices, electronic gadgets and customer service centers.

“The country needs to attract the greatest amount and diversity of foreign investment,” said Paiz, how mentioned as government priorities the streamline of processes between ministries and reforms to improve Guatemala’s competitiveness.

Guatemala ranks as the 96th country in the World Bank's 2020 Doing Business Report, a two-spot improvement from the previous year. Thanks to prudent macroeconomic management, Guatemala -the largest in Central America- has been one of the strongest economic performers in Latin America in recent years. The country has experienced economic stability due to a combination of fiscal management, inflation targeting, and a managed floating exchange rate. Despite instances of extensive land grabs and displacement, Guatemala has continued to reform its investment climate under the guidance of the World Bank.