Download Barbados Report - The European Times

BARBADOS
1

Content
Barbados
INTRODUCTION
• Stable Economy with International Reach 3
• Barbados’s Fact File 4
BUSINESS & INVESTMENT OPPORTUNITIES
• Top Quality Services Make Barbados Ideal Business
Base 6
• Favourable Tax Regime Meets International
Regulations 7
FINANCE & BANKING
• Financial Sector Set to Weather Global Crisis 9
• A Country Where Financial and Macroeconomic
Stability Are the Watchwords 10
• Concorde Bank 11
ENERGY & TELECOM
• Key Ministry Ready to Partner with Foreign Investors 13
• High Potential Telecom and IT Markets 14
• TeleBarbados 14
• Energy Sector Getting Greener 15
• The Barbados Light & Power Company 15
TRADE & INDUSTRY
• New Economic Partnership to Boost Trade and
Investment Flows 17
• New Ministry Focuses on Innovative Industrial
Development 18
• Gildan 19
HEALTH
• Come to Barbados for Youth Health 21
• Well-Developed Healthcare Sector Offers Excellent
Investment Potential 22
• Biovail 23
Director:
Lieve Luyten
Office Manager:
Samira Darghal
Regional Manager:
Adam Bozsoki
Project Coordinators:
Aukje Oostendorp
Khayla Banks
Editorial:
Emily Emerson-Le Moing
Production Coordinator:
Katrien Delamotte
Design:
Martine Vandervoort
Carine Thaens
Johny Verstegen
Walter Vranken
Dirk Van Bun
The European Times
90 Vasall Road, London SW9 6JA
United Kingdom
Phone: +44 (0)208 371 2356
Fax: +44 (0)208 371 2410
info@european-times.com
www.european-times.com
The European Times is a trading name of United International
Press Ltd
This guide is protected by copyright. All rights reserved. This
publication, or any part thereof, may not be reproduced, stored
electronically or transmitted in any form, without the prior written
permission of European Times.
Every effort has been made to ensure information contained
in this publication is correct and up-to-date. The authors and
publisher accept no responsibility for any errors it may contain,
or for any loss, financial or otherwise, sustained by any person
using this publication.
2

Introduction
Stable Economy with International
Reach
Barbados – an independent English-speaking Commonwealth
country with a dynamic economy – is strategically
located within easy reach of the US and only an
eight hour flight from London. Known for its exceptional
natural beauty, welcoming population and rich cultural
heritage, the island nation has developed significant
attractions for international investors, tourism visitors
and foreign companies.
Barbados is thought to have been originally inhabited
by Arawak Indians. Later explored by the Portuguese,
Barbados was colonised by the British in 1627. The first
colonists cultivated tobacco and cotton, but by the 1640s the
local economy was based on the production of cane sugar,
which was enormously profitable. Slaves were brought in
from Africa to work sugar plantations, and eventually the
population was about 90% black. A slave revolt took place
in 1816; slavery was abolished in Barbados and throughout
the British Empire in 1834. Barbados gained its independence
from Britain in 1966.
Stable parliamentary democracy
Since independence, Barbados has developed a remarkably
stable government based on a constitutional monarchy and
parliamentary democracy modelled on the British system.
The country has also successfully diversified its economy
into light industry, services and tourism. Today, 75% of
the country’s GDP and 80% of its exports derive from the
services sector. Barbados enjoys one of the highest average
per capita income rates in the region.
Tourism is the principal foreign exchange earning sector
of the economy. Along with its pristine beaches and
cultural attractions, Barbados offers a wide choice of
luxury accommodations and state-of-the-art services for
business travellers.
Offshore finance and information services are also
important foreign-exchange earners and benefit from
the fact that Barbados is in the same time zone as the US
The Hon. David Thompson, Prime Minister
East Coast. Many of the world’s leading financial services
enterprises have offices in Barbados, and companies
operating on the island can count on exceptional business
services. The government welcomes European financial
services firms to set up operations in Barbados.
Having joined the United Nations in 1966, Barbados fully
participates in the organs and specialized agencies of the
U.N. system and is a member of many other multilateral institutions
and groupings including the World Trade Organization,
the Commonwealth, the African, Caribbean and
Pacific Group of States, and the Non-Aligned Movement.
As an ardent supporter of regional integration, Barbados
is a member of the Caribbean Community (CARICOM),
the Caribbean Single Market and Economy (CSME), the
Caribbean Court of justice, the Association of Caribbean
States and the Organization of American States.
To keep economic growth on track and ensure top quality
local human resources, the government of Barbados has
made significant investments in infrastructure and education
and continues to create incentives for foreign investors.
3

BARBADOS
Barbados’s Fact File
Geography: An island in the Atlantic about 300 miles (483
km) north of Venezuela, Barbados is only
21 miles long (34 km) and 14 miles across
(23 km) at its widest point. It is circled by
fine beaches and narrow coastal plains. The
highest point is Mount Hillaby (1,105 ft; 337
m) in the north-central area.
Government:
Parliamentary democracy
International Dialling Code: +1(246)
Per capita income: 6,900
Capital:
Bridgetown
Population: Approximately 274,000
Climate:
Eight to nine hours of sunshine most days. It
is generally warm and sunny all year round
with an average daytime high of 75 - 85
F (23.5 - 29.5°C). The nights are usually
slightly cooler. The prevailing northeast
tradewinds blow steadily so that although it
is bright and sunny, it is not unbearably hot.
The rain usually comes in quick showers.
The dry season lasts from January to June.
The hurricane season runs from June until
December.
Official Language: English with a broad dialect.
Currency:
Time:
People:
Literacy Rate: 97%
Religion:
Barbados Dollar - US$1 = BDS$2 approx.
GMT-4 hrs.
African (90%), English, Scottish & East
Indians
Anglican (50%), Methodist, Catholic,
Pentecostal and others
Major trading partners: Caribbean Community (CARICOM), the
UK, US
Economy:
Geography:
The four main sectors contributing to the
Gross Domestic Product (GDP) of the island
during 2008 were finance and business
19.0%, government services 17.1%, wholesale
and retail 16.9% and tourism 13.4%. The
other sectors contributing to GDP include
general services 6.4%, construction 6.4%,
manufacturing 6.8%, transportation, storage
and communications 6.3%, electricity, gas
and water 3.8%, non-sugar agriculture 2.2%,
mining and quarrying 1.0%, and sugar 0.6%.
A 21 mile x 14 mile Caribbean island. West
and South Coast have calm Caribbean sea and
endless beaches. Rugged cliffs and Atlantic
Ocean on East Coast.
4

• Top Quality Services Make Barbados Ideal Business Base
• Favourable Tax Regime Meets International Regulations
Business & Investment
Opportunities
5

© Barbados Tourism Authority
Top Quality Services Make
Barbados Ideal Business Base
The government of Barbados has
placed a high priority on making the
island an ideal base for business. The
regulatory environment is responsive
and competitive, and companies
operating in Barbados can count on
a diverse choice of very high quality
professional services.
For international meetings,
Barbados has it all. Conference
facilities range from large
meeting halls for trade shows and
conventions to smaller rooms for
workshops and group meetings.
Business centres are also available
and offer all basic office facilities
in a central location. The island’s
many luxury resorts are a perfect
choice for international business
events which combine business and
pleasure, and all top hotels contain
world class business facilities and
meeting rooms.
Diverse range of services
High quality services provided
in Barbados by local and international
firms include function
and event planning, destination
management, legal services, real
estate services, communications,
educational facilities, car hire
and leasing, business accommodations,
high quality telecommunications,
and superior facilities
and services for expatriate
professionals.
Barbados has both onshore and
offshore financial services sectors.
The thriving onshore financial
sector includes commercial banks,
non-bank financial institutions,
credit unions, life insurers and
general insurance companies. The
offshore sector is the home of international
insurance companies, international
banks, mutual funds, global
asset management, information
and communication technology,
knowledge based contact centre
services, medical transcription,
software development, niche manufacturing,
ships registration and
shipping activities, alternative and
renewable energy and headquarter
and holding companies.
Strong yet flexible regulatory
environment
All international trading companies
operating in Barbados must meet the
criteria of the International Business
Companies Act and be licensed by
the Ministry of International Business
and International Transport.
Onshore insurance companies are
regulated by the Insurance Act while
offshore insurers are regulated by
the Exempt Insurance Act; both
must be licensed by the Office of the
Supervisor of Insurance.
Barbados has taken a tough stand
on money laundering through its
Money Laundering (Prevention and
Control) Act as amended in 2002, the
Anti-Terrorism Act, and the Mutual
Assistance in Criminal Matters Act.
The Anti-Money Laundering Control
Authority is responsible for ensuring
compliance with local legislation.
In Barbados, international insurance
companies can take two forms:
Exempt Insurance Companies (EICs)
– These entities are registered under
the Exempt Insurance Act 1983 and
can be used to insure risks originating
outside of Barbados. They are taxed
at a rate of 0% of profits and gains
for the first 15 financial years. After
the first 15 years an EIC is taxed at a
rate of 2% on the first $250 000 of
taxable income and at a rate of 0%
in respect of all other taxable income
in excess of $250,000.
Qualified Insurance Companies
(QICs) – This type of insurance
company is registered under the
Insurance Act and may also insure a
certain amount of local risk. A QIC
is taxed at the same rate of corporate
taxation as a local company. However,
the rate of tax may be effectively
reduced to 1.75%. A rebate of up to
93% of income tax can be claimed,
depending on the percentage of
total premium income that is earned
from foreign insurance business.
Under the Companies Act, insurance
companies can operate as segregated
cell companies. Under this corporate
structure, the risks and rewards of
one cell are kept separate from those
of other cells.
The government continues to
encourage the development of high
quality business services in Barbados.
6

Business & Investment Opportunities
Favourable Tax Regime Meets International
Regulations
Barbados’s tax-efficient vehicles
provide excellent avenues through
which to conduct international
business while ensuring adherence
to the highest levels of transparency
and information disclosure.
The government of Barbados has
carefully developed a system which
meets international standards
while avoiding positioning itself as
a secrecy destination.
Barbados began establishing a series of bilateral income tax treaties years
ago and now has more favourable prospects for growth and investment than
many of its counterparts in the Caribbean. In contrast to Barbados, other
small eastern Caribbean countries have signed few (if any) income tax treaties
or tax information exchange agreements, and the OECD recently included
those countries on its April 2 gray list of tax havens. Barbados is the only small
Caribbean country on the OECD’s latest white list of countries which comply
with OECD tax information exchange standards.
In addition to being party to a Caribbean Community Double Taxation
Agreement, the island nation has several DTAs with OECD countries and an
impressive network of 18 treaties in total. These include treaties with Austria,
Botswana, Canada, China, Cuba, the Kingdom of the Netherlands, Finland,
Ghana, Malta, Mexico, Mauritius, Seychelles, Norway, Sweden, Switzerland,
the United Kingdom, the United States of America and Venezuela. Barbados
has recently concluded new agreements with Spain, Italy and Luxembourg
and these are presently awaiting signature and ratification. Negotiations with
India and Iceland are at an advanced stage and technical discussions have
been held with Belgium, France, Chile, Brazil, Ireland, Malaysia, and Turkey.
Tax agreements reflect Barbados’s high standards
The agreements Barbados has established with the world’s best regulated
jurisdictions are another indication that Barbados does not encourage tax
evasion or money laundering. In fact, it continues to strengthen its anti money
laundering regulations.
The government of Barbados has established a number of tax incentives for
investors. Capital gains are not subject to tax, and international companies
are taxed on income on a sliding scale. There are no withholding taxes on
dividends, royalties, management fees, interest payments and other fees paid
by an international business to non-residents of Barbados or to another international
company.
Offshore entities are exempt from exchange control restrictions and may
keep records and financial statements in a foreign currency. Expatriate staff
can be exempted from income tax and exchange control on up to 35% of their
remuneration from an international company, and an international company
may import equipment, machinery or materials for use in its business without
paying customs duties.
© Stock Exchange
Such incentives are just the beginning for businesses wishing to set up
operations in Barbados, a well-run jurisdiction that is business friendly while
meeting high international standards.
7

• Financial Sector Set to Weather Global Crisis
• A Country Where Financial and Macroeconomic Stability Are the Watchwords
Finance & Banking
8
“We believe that the EU market
has growth potential for Barbados.
We are encouraging local
businesses to target the EU and we
welcome EU investors.”
Dr. Marion Williams, Governor Central Bank

Finance & Banking
Financial Sector Set to Weather
Global Crisis
Barbados has developed a strong, well-regulated
financial services sector which is named on the latest
“White List” of jurisdictions largely compliant with
the OECD’s standard for tax information exchange
agreements, making Barbados the only small country in
the Caribbean to make the cut. The many bilateral tax
agreements which Barbados has signed – including with
EU countries – add to its appeal for investors. Barbados
has built the foundations to help it withstand the current
global financial crisis.
Attractive base for business
International investors continue to target Barbados as a base
for business. According to the Central Bank, 470 new business
licences were issued in 2007. Of these, 126 companies with
restricted liability, six exempt insurance companies, one
exempt insurance management company and three new
offshore banks were approved for operation.
The current financial crisis is creating significant challenges
for Barbados’s financial sector as for other financial services
centres worldwide, but the Central Bank remains hopeful.
In a speech given in March this year, Dr. Marion Williams,
Governor of the Central Bank, commented, “Although the
Barbados’s financial
sector is overseen by
the Central Bank, the
Office of the Supervisor
of Insurance, the
Securities Commission
of Barbados, the International
Business Division
and the Barbados Ships’
Registry. As of the end of
2008, the sector included
54 licensed international
banks, and Barbados’s
stock exchange reported
capitalisation of €4.7
billion. Twenty-six local
companies and many
international companies,
including seven banks,
are listed.
Barbados has been building up its financial sector for
more than 30 years and today its offshore financial
sector includes companies in the banking, insurance,
and shipping sectors, as well as funds managers and
other companies. In the insurance sector alone,
Barbados counts more than 400 captive companies.
All types of insurance – life, general and commercial –
are provided by Barbados insurance firms to both local
and international markets.
challenges that lay ahead seem a bit daunting, Barbados’s
financial system is currently well positioned to cope with
them. Furthermore, the Central Bank continues to stand
ready to do all within its power to ensure that we ride this
global crisis out with as minimal damage as possible. With
the continued solid cooperation of the other regulators
and the wider financial community, we expect that, despite
a couple hiccups, the Barbadian financial system will
continue to be recognised for its soundness and stability
and the insurance sector will continue to thrive.”
© Stockxpert
9

BARBADOS
A Country Where Financial and
Macroeconomic Stability Are the
Watchwords
Barbados is one of the world’s oldest
democracies, with a bi-cameral
parliament and a thriving two-party
system. Elections are held every five
years and in January 2008 Mr.
David Thompson, an Attorney-at-
Law, became the country’s sixth
Prime Minister. Barbados has
had a flourishing banking system
– including the presence of British
and Canadian banks – for almost
200 years. In May 1972, the
government established the Central
Bank of Barbados, which plays a key
role in the national economy.
Dr. Marion Williams, Central Bank
Governor since 1999, explains that
in addition to issuing Barbados’
national currency beginning in
1973, “the Central Bank is charged
with the oversight and supervision
of Barbados’ financial system,
principally the commercial banking
system, and we are also responsible
for developing and enforcing a
monetary policy that will ensure the
financial stability of our banking
system and for promoting macroeconomic
policies that will maintain
financial stability.”
Barbados’ financial system continues
to evolve. The government has
decided to establish a financial
services commission that will serve
as the regulatory authority for all
financial entities in Barbados other
than banks. This commission
would be a regulator for insurance
companies, pension funds, international
business companies and
others. Currently, each of these
groups has a separate supervisor, and
it is felt that it is time to place them
under a single regulator.
EU financial services firms
particularly welcome
A current goal for the government is
to attract more European financial
sector enterprises to Barbados. While
Barbados has trade agreements with
the EU, no EU commercial bank has
established a presence on the island,
although some EU firms are active in
the offshore sector. “We believe that
Dr. Marion Williams, Governor Central Bank
the EU market has growth potential
for Barbados. We are encouraging
local businesses to target the EU
and we welcome EU investors,” Dr.
Williams points out.
Like all countries throughout the
world, Barbados has to cope with the
global economic downturn, but the
authorities are confident that given the
fact that Barbados has a history of stable
financial management, they have every
reason to believe that the country will
continue to prosper despite the difficulties
posed by the global recession.
The World Economic Forum ranked
Barbados number three in the western
world for the best regulated jurisdiction.
Barbados is number one among
developing countries in the Human
Development Index of the United
Nations.
The authorities are of the view that
Barbados can hold its own in any
environment in the financial field.
Barbados encourages EU financial
services firms to investigate Barbados’
attractions as a base for business
10

Finance & Banking
Concorde Bank
Independent Private Bank Provides
Truly Personalised Services
Concorde Bank has earned a strong
reputation for its high-quality, personalised
services. The independent,
Barbados-based private bank created
in 1987 specialises in private
banking, wealth management, trust
and custody services for high net
worth individuals and corporate
clients, as well as in administrative
services for fund managers.
It is this unique combination of
a variety of financial services that
set Concorde Bank apart from
its domestic and international
competitors. Gerard Lussan,
Chairman and CEO, explains,
“Concorde Bank focuses on tailoring
its services to the individual’s needs
as opposed to a broader mass
market service which today is often
offered by many big name institutions.”
He adds, “Many of our clients
are expatriated individuals from a
variety of countries, backgrounds
and professions, including many
who have been disappointed by the
supposedly ‘high net worth’ services
provided worldwide by large institutions.
As expatriates ourselves,
the founders of the bank know the
type of service most clients require
and expect. At Concorde, they find
the support and services they are
looking for.”
Concorde Bank’s services are
enhanced by its collaboration with
other major financial institutions
around the world. In particular
Concorde Bank cooperates with the
Laven Partners financial services
group, whose European offices are
located in London, Luxembourg
and Geneva. Laven Partners are
investment management consultants
offering fund structuring, compliance,
tax, legal and risk management
services. Laven Partners also offers
the potential to carry valuable due
diligence assessments of all types of
funds.
Barbados leading the way–a
well–regulated jurisdiction
Concorde Bank is a leading institution
in Barbados’s varied banking
sector, which includes major
commercial banks and 54 international
private banks. All banking
activities in Barbados are licensed
and regulated by the Central Bank
of Barbados.
Lussan points out that the Barbados
government has put in place a
regulatory framework for the
financial sector that meets the
best international standards, it is
currently Basel I compliant and is
aiming at being Basel II compliant
by 2010. In this respect, Barbados is
ahead of other Caribbean jurisdictions
and some OECD countries.
He adds, “Barbados has a positive
image. It was ‘white-listed’ this year
by the OECD as it has proven to be
compliant with their international
standards. Barbados has a very good
track record when it comes to the
prevention of financial crime. It is
also the Caribbean jurisdiction with
Gerard and Philippe Lussan
the greater number of tax treaties
with major countries, such as the US,
Canada, China, the UK, Switzerland,
and others. It is a stable, reliable
jurisdiction and a great alternative
in a global economy.”
CONCORDE BANK LIMITED
The Corporate Centre
Bush Hill & Bay Street
St. Michael BB14038, Barbados
P.O. Box 1161,
Bridgetown BB11000, Barbados
Tel.: +1 246 430 5320
Fax: +1 246 437 1227
concorde@concordebb.com
11

• Key Ministry Ready to Partner with Foreign Investors
• High Potential Telecom and IT Markets
• Energy Sector Getting Greener
Energy & Telecom
12
“The government of Barbados
continues to respond to the threat
posed by this crisis to our social
and economic development by
supporting external sectors while
safeguarding jobs to the extent
feasible and ensuring that the
most vulnerable members of our
society are protected. Despite the
crisis, we remain optimistic, given
the traditional resilience and
resourcefulness of Barbadians.”
Senator the Hon. Darcy Boyce, Minister of State in the Ministry of
Finance, Investment, Telecommunication and Energy

Energy & Telecom
Key Ministry Ready to Partner
with Foreign Investors
The Ministry of Finance, Investment,
Telecommunication and Energy plays
a vital role in enhancing Barbados’s
investment appeal. Darcy Boyce,
Minister of State, explains, “We are
creating an attractive environment
for business.”
As the Minister points out, Barbados
offers a stable, well organised
business environment which
includes high quality business
services. The regulatory system
is world class, and Barbados has
developed a reliable telecommunications
infrastructure.
Barbados also offers attractive tax
breaks. As Darcy Boyce points out,
“Barbados is a very well run jurisdiction.
Our corporate tax is 25%,
which is lower than many other
jurisdictions, and we also offer the
opportunity to earn tax credits.
Companies conducting their
international business through
Barbados can utilise tax-efficient
business structures such as the
International Business Companies
(IBC) and the International
Society with Restricted Liability
(ISRL) which allows non-resident
companies a reduced corporation
rate between 2.5% and 1%. Other
Incentives associated with these
structures include exemption from
withholding taxes on dividends,
interest and management fees,
royalties’ paid to non-residents, and
from taxes on transfers of shares
and other assets.”
Transparency, freedom from
corruption, efficiency
Transparency, freedom from
corruption, and efficiency are
guiding principles for the Ministry,
which is also dedicated to ensuring
that social services in Barbados
meet local residents’ needs. At a
recent Special Summit of the United
Nations, Darcy Boyce expressed his
commitment to maintaining high
standards during the current global
financial downturn. He said, “International
financial institutions must
be responsive to the interests of all
members, especially the smallest,
poorest and most vulnerable, and
must conduct their business in transparency
and with accountability to
the entire membership.”
Optimism in a time of crisis
Even in a time of global financial
crisis, Barbados remains committed
to its on going economic and social
development. As Darcy Boyce
explains, “The government of
Barbados continues to respond to
the threat posed by this crisis to our
social and economic development
by supporting external sectors while
safeguarding jobs to the extent
feasible and ensuring that the most
vulnerable members of our society
are protected. Despite the crisis,
we remain optimistic, given the
traditional resilience and resourcefulness
of Barbadians.”
The Ministry welcomes the chance
to work with foreign investors. Darcy
Senator the Hon. Darcy Boyce, Minister of State in
the Ministry of Finance, Investment, Telecommunication
and Energy
Boyce points out that Barbados particularly
needs projects involving
alternative energies and the construction
of tourism facilities,
and that the Ministry is open to
getting involved in joint ventures.
The Energy Division within the
Ministry focuses on projects
involving oil and gas, alternative
energy, and energy conservation,
as well as providing geological
and earth science services to other
government departments and the
private sector.
The Minister of State concludes, “I
would like to welcome investors to
come to Barbados, where they will
find lots of high potential investment
and business opportunities.”
13

BARBADOS
High Potential Telecom and IT
Markets
© Dkandrew | Dreamstime.com
Although it is an island nation with a population of
only around 250,000, Barbados has one of the world’s
most advanced telecom and information technology
infrastructures. According to the International Telecommunications
Union, 55 out of 1,000 people in Barbados
used the Internet in 2007, putting Barbados ahead of
both Japan and Italy; only 13 countries had higher
ratings. In 2004, according to the ITU, Barbados had
124 telephones for every 100 people, beating Canada
(111), Japan (118), and all other Caribbean countries.
Around 237,000 cellular telephones were in use in
Barbados in 2006.
High speed Internet access is available throughout the
island via wireless and ADSL connections; with transmission
speeds up to 4Mbps. Barbados is equipped with
the latest in digital technology and fibre-optic systems,
including international direct dialling and satellite telecommunications.
Companies operating in Barbados
can count on cutting edge telecom and IT.
The island’s telecom market began to be liberalised in
2001, and soon new call centre operators, mobile operators,
private long distance services providers, Internet access
providers and other service providers entered the market,
although former monopoly provider Cable & Wireless
retains its monopoly on fixed line services. In 2006,
fiber-optic and wireless broadband WIMAX networks were
launched in Barbados by TeleBarbados.
World-class regulatory environment
Along with advanced infrastructure, Barbados has
established a world-class regulatory environment for
the IT and telecom sector, including the Electronic
Transactions Act (2000), making Barbados the third
Caribbean country to implement digital signature
legislation.
Now the government is moving ahead in its
programme to promote Barbados as an e-commerce
base. The Information Society of Barbados has
identified three opportunities for e-commerce on
the island: local to local, local to international,
and international to international through local
facilities. Barbados’s major objective is to become a
leading base for managing e-commerce activities for
corporations around the world.
E-government is another priority. The government
has established the Central Information
Management Agency, which will incorporate the
Data Processing Department and will be responsible
for the development of ICT strategies, policies and
programmes geared at delivering governmental
services through the use of information and communications
technology.
14

Energy & Telecom
Energy Sector Getting Greener
Barbados is a trend-setter in adopting renewable energies.
The government has committed to having renewable
energy account for 30% of the island’s primary electricity
by 2012, but it is trying to achieve this target earlier to
cope with the rising price of fuel imports. Bagasse (made
from sugarcane fibre) and solar water heaters already
contribute 15% of the island’s primary energy supply,
and the government aims to expand the number of
sources of renewable energy.
According to the Draft Barbados National Energy
Policy, the government will introduce gasohol (based
on a 10% ethanol to gasoline mix) to the local market,
and it aims for the local sugar industry to produce
around 14.7 million litres of ethanol per year. The
percentage of ethanol in gasoline will be increased
over time.
Barbados Light and Power has completed a feasibility study for a wind farm.
© Stockxpert
Incentives for biodiesel projects
The government has announced it will offer incentives
for biodiesel projects, and it is considering requiring a
2% biodiesel content in all diesel fuelled vehicles. The
island consumes around 100 million litres of biodiesel
per year. The government estimates that around 4.5
million litres of used cooking oil can be converted to
biodiesel.
Barbados has estimated natural gas reserves of 4.99
billion cubic feet, with an annual consumption of 1.03
billion cubic feet. With national supplies expected to
run out in the next five to fifteen years, the government
is looking to import gas from Trinidad and Tobago via
a pipeline under construction. This project should
bring in around 30 million to 40 million cubic feet per
day more than current supplies, allowing for expansion
of the national gas grid and guaranteeing security of
supply to the Barbados Light & Power, which is constructing
an 80-megawatt generation plant capable of
using natural gas. Barbados Light and Power has also
completed a feasibility study for a wind farm, as well as
for a fuel cane power generation plant.
Palm oil seeds
number of “green” measures, and it is implementing
incentives for energy conservation, energy efficiency and
use of renewable energy. It is also introducing standards
for efficient energy use and promoting research and
development in renewable energies.
The government is also promoting energy efficient
technologies and energy conservation through a
15

• New Economic Partnership to Boost Trade and Investment Flows
• New Ministry Focuses on Innovative Industrial Development
Trade & Industry
16
“Barbados presents an unique
opportunity to invest in a broad
set of areas that are important
not only for national development
but which also provide a stable
opportunity for returns on
investment.”
Dr. The Hon. David Estwick, Minister of Economic Affairs

© Barbados Tourism Authority
Six Roads industrial park
New Economic Partnership to
Boost Trade and Investment Flows
Under the terms of the new Economic
Partnership Agreement (EPA), the EU
has liberalised 90% of its services sectors
while the More Developed Caribbean
Countries of CARIFORUM have
opened up 75% and the Less Developed
Countries of CARIFORUM 65%. The
EPT removes all quotas and tariffs
from Caribbean exports to the EU, with
the exception of sugar and rice, both of
which will be liberalised over time.
The EU has agreed to open up new
markets for Caribbean companies
and professionals offering services
to Europe, and to permit young
services professionals to gain
work experience in the European
market. CARIFORUM countries
have agreed to gradually open their
markets to European exports over
the next 25 years, lowering domestic
prices on European products.
– construction, light industry, sugar,
tourism and others – along with its
highly developed services sector are
all expected to benefit from the new
agreement. Barbados has positioned
itself as an ideal business base in the
Americas for EU companies thanks
to its value added services.
Thanks to the EPA agreement,
more and more EU investors are
expected to employ a Barbadian
entity to invest in other countries.
Barbados has entered into treaties
for the promotion and protection
of investment with the Belgium-
Luxembourg Economic Union,
Canada, China, Cuba, Germany,
Italy, Mauritius, Ghana, Switzerland,
the UK and Venezuela.
Under these agreements, Barbadian
entities, which invest in the other
contracting state, benefit from
provisions offering protection,
including guarantees of non-discriminatory
treatment of their
investments, the transfer of
investments and returns held in the
host state, and recourse to international
arbitration to settle disputes.
CARIFORUM’s agriculture sector
will still have significant protection
under the EPA; around 75% of EU
agricultural produce will continue to
face some form of tariff on entry into
CARIFORUM. In addition, many
sensitive CARIFORUM commodities
will not face duty-free competition
from EU suppliers for some time.
Nevertheless, trade and investment
flows between the EU and Barbados
are expected to increase dramatically
over the next few years.
Bilateral trade agreements
put Barbados ahead
Barbados is much better placed
than other CARIFORUM members
to benefit from the EPA, thanks
to its well-established bilateral
trade agreements with many EU
countries. Barbados’s key industries
© Barbados Tourism Authority
17

BARBADOS
New Ministry Focuses on
Innovative Industrial Development
The Ministry of Economic Affairs, Empowerment,
Innovation, Trade, Industry and Commerce was created
in 2008 to centralise the government’s macro-economic
planning for Barbados’s industrial activities. The government’s
aim is to foster the development of smaller
industrial enterprises as well as enhance the industrial
sector overall.
Encouraging the growth of micro enterprises is essential
in the new industry’s plans. As Dr. The Hon. David
Estwick, Minister, explains, “We need to establish a
policy framework to promote the consistent delivery of
services; allow for the evaluation of programmes; assist
in the building of an entrepreneurial culture; allow
for the development of competitive and innovative
small businesses; and to build the capacity for small
businesses to grow. It is important that we keep the
micro business sector in operation because it provides
protection for those big businesses that performed
poorly during a recession.”
Public and private sector joining forces
To keep industrial growth on track, the public sector
will step in through providing financing and human
resources development in high potential sectors. “We
plan state intervention in those areas where we have
the best opportunities. We want the public sector to
be efficient enough to drive private sector efficiency.
The public and private sectors need to work together
to achieve our mutual goals,” the Minister says.
Pro-active approach
The new Ministry is resolutely pro-active. As Dr. David
Estwick explains, “We envision an environment for
small business development that moves from being
conservative to one that is outward looking, change
driven and growth oriented.”
A top priority for the new Ministry -- as its name indicates
-- is to foster innovation in the industrial sector through
Dr. The Hon. David Estwick, Minister of Economic Affairs
new applications of science and technology. Another
goal is to upgrade policies and programmes as well as
to establish a protocol for the collection and efficient
provision of up to date information related to the
industrial sector which will assist local entrepreneurs.
Enhanced investment attractions
Dr. David Estwick points out that the government
is working harder than ever to enhance Barbados’s
investment attractions. He explains, “Barbados presents
an unique opportunity to invest in a broad set of areas
that are important not only for national development
but which also provide a stable opportunity for returns
on investment. One example of our investment appeal
is our well developed and well regulated financial sector,
which offers a broad set of instruments from which
investors can benefit.”
18

Trade & Industry
Gildan
Textile Leader Bets on Barbados
Gildan, the vertically integrated manufacturer of
branded basic apparel, listed on both the Toronto
and New York stock exchanges, is one of the world’s
largest producers of T-shirts and socks. Gildan has
been operating in Barbados for 11 years and is a
leading example of the potential of Barbados as a base
for business. As Mike Hoffman, President, explains,
“We are in Barbados for all the right reasons.
The infrastructure is in place, there is a highly educated
workforce, the environment is pro-business, and the
commitment of the people in Barbados is a key factor in
our success. We complement the island and the island
complements us.” Mike Hoffman goes on to further
explain that Gildan’s activities include everything from
buying raw cotton to manufacturing to packaging and
distributing its finished products. During Gildan’s time in
Barbados, the company has been able to achieve the leading
market share position in North America in all of its core
activewear categories; t-shirts, fleece, polo shirts and socks.
These ‘blank’ apparel products are marketed through a
dedicated network of wholesale distributor partners for
use in various decorative applications such as screen-printing
and embroidery. Boasting #1 in the industry is no easy
feat, and as such Gildan is currently expanding its portfolio
to include men’s and boys’ underwear.
Gildan employs 145 people in its Barbados office which
accounts for €895 million (US$1.25 billion) in annual
sales. Mike Hoffman points out, “We are not just any
offshore company; we manage our entire business
from Barbados. We set pricing and conclude contracts
here, make our forecast projections, buy our products,
and handle all other sales and marketing activities for
our company. Everything we need to do business is
here in Barbados.” As a result, the company plans to
expand its facilities on the island. Focused on setting
the standard in Barbados as in all of its markets, Gildan
is known for its corporate social responsibility projects
and for its adherence to stringent environmental
protection standards.
Mike Hoffman, President
Mike Hoffman explains that Europe is a growing market
where Gildan has approximately 10% market share,
distributes to 25 countries, and is the company’s fastest
growing market. “I would be disappointed if we did not
double or even triple our presence in Europe over the
next five years, given our aggressive growth plans as a
company,” Mike Hoffman says.
Gildan is currently looking into expanding it distribution
capabilities in Europe and establishing a new
distribution centre there. The company already has a
warehouse in the UK and Belgium. “The only thing that
has limited our growth in Europe is not enough capacity
and lack of product availability to meet the demand,”
Mike Hoffman says.
As for Barbados, Gildan is there to stay.
Gildan House,
34 Warrens, St. Michael,
BB 22026 Barbados W.I.
Tel.: +246 421 7751
Fax: +246 421 7779
www.gildan.com
19

• Come to Barbados for Your Health
• Well-Developed Healthcare Sector Offers Excellent Investment Potential
Health
20
“Visitors and investors coming
to Barbados should know that
we have a very well developed
healthcare infrastructure with
excellent facilities and services.
I welcome investments in health
tourism projects, as well as in
specialised niche facilities. These
offer wonderful opportunities.”
The Hon. Donville O. Inniss, Minister of Health

Health
Come to Barbados for Your Health
With its bracing sea breezes, sunshine and comfortable
accommodations, Barbados has always attracted visitors
seeking destinations that promote health, and the island
now has a thriving health tourism sector which the
government aims to develop still further through its new
health and wellness tourism programme.
For local residents and visitors alike, Barbados offers
advanced healthcare facilities and services accessible to
all. In fact, the United Nations Human Development
Index (HDI) rated Barbados at number 31 out of 159
countries in human development (including access to
healthcare) in 2007.
Barbados’s healthcare system, which is overseen by the
Ministry of Health, includes excellent public and private
facilities, all of which have benefited from significant
recent investments. There are two main hospitals as well
as a network of polyclinics, private medical centres, a
psychiatric hospital, gerontology centres, laboratories
and research centres, and specialist services centres,
including a haemodialysis centre and a fertility clinic.
Stem cell research, imaging, ultrasound and MRI testing
as well as nuclear imaging are all of very high quality
in Barbados. Around 340 physicians
practice in the country, around
one-third of them in the public
sector.
In recent years, Barbados
has been stepping up its
educational services to
train healthcare profes-
sionals, ensuring high quality human resources. The
government has been steadily opening up opportunities
for private healthcare facilities and services.
Range of high-quality health services
The 600-bed, state-funded Queen Elizabeth Hospital
(QEH) offers the broadest range of services, including
a 24-hour accident and emergency service. The QEH
doubles as a teaching hospital, part of the Faculty of
Medical Sciences of the University of the West Indies
(UWI). The smaller, privately owned Bayview Hospital,
just outside Bridgetown, offers more personalised
attention. The private, upscale Sandy Crest Medical
Centre and FMH Emergency Centre also provide
excellent care.
Osteopathic care and a wide choice of alternative
treatments – including reiki, reflexology and Ayurvedic
medicine – are also available in Barbados. In fact,
a growing new trend in the health tourism sector is
luxurious medical spas which feature an integrated
offering combining conventional medicine, such as
plastic surgery, with alternative treatments.
The government operates the Barbados Drug
Service which controls the importation and distribution
of essential drugs in the country, to
ensure that Barbadians receive affordable,
quality drugs and pharmaceuticals.
The government welcomes foreign
investment in Barbados’s healthcare
sector, for example in providing
health tourism offerings or specialised
medical services.
© Stockxpert
21

BARBADOS
Well-Developed Healthcare Sector
Offers Excellent Investment Potential
Barbados has a well-developed healthcare sector,
which provides free care to all Barbadians. According
to The Hon. Donville O. Inniss, Minister of Health,
the government is currently focusing on preventative
medicine through analysing disease patterns and
developing new programmes to combat health issues
before extensive care is required. “We recently finalised
a strategic plan to reduce the number and length of
hospital stays by focusing on the preventative side, and
we already have an excellent model for HIV/Aids intervention,”
he explains.
Barbados offers a number of special services for citizens
under 16 and over 65, and the government operates
eight polyclinics around the island as well as four
secondary care facilities, a psychiatric hospital, and the
country’s main healthcare institution, Queen Elisabeth
Hospital, a teaching hospital with 552 beds.
Promoting health tourism to Barbados is another priority
for the Ministry. Donville O. Inniss says, “Barbados has an
excellent, mature tourism sector as well as a mature and
diversified healthcare sector. We believe health tourism,
including upscale health tourism, is a natural choice
for Barbados.” To enhance Barbados’s attractions as a
destination for health tourism as well as to provide even
better care, the Ministry aims to continue to improve
the country’s healthcare facilities and to diversify the
healthcare sector.
Investment opportunities in health tourism
and niche services
The Ministry is open to working with international
investors through public-private partnerships, and
encourages private investors to develop specialised
healthcare services in Barbados, since the government
does not have the means to do this. The Minister explains,
“Visitors and investors coming to Barbados should
know that we have a very well developed healthcare
infrastructure with excellent facilities and services. I
welcome investments in health tourism projects, as well
as in specialised niche facilities. These offer wonderful
opportunities.”
The main challenge the Ministry of Health faces,
according to Donville O. Inniss, is to maintain the
financial resources the country needs to face the health
issues of the future. “The disease profile is changing all
the time. We have to make sure that we have the financial
resources we need to drive the sector forward and the
diverse range of human resources to continually develop
the sector,” he says. Overall, the Minister is very confident.
He concludes, “Barbados is an island that works. International
investors can be sure that their investments are safe
here and that the healthcare is excellent.”
© Stockxpert
22
Bottom Bay Beach

Health
Biovail
Pharmaceuticals Leader,
a Good Investment
Biovail Corporation demonstrates the
potential of Barbados as a business base
for an innovative company. Biovail’s
predecessor company was founded
in 1987, and in 1991, organized
its main operating subsidiary (now
known as Biovail Laboratories International
SRL or BLS) in Barbados.
Today, Biovail is ranked Canada’s
largest publicly traded pharmaceuticals
enterprise and, in 2008, achieved
US$757 million (€542.1 million) in
annual revenues.
BLS owns, manages and controls
Biovail’s intellectual property that
underlies the Company’s products.
It performs all of the activities
that are involved with owning and
exploiting a substantial intellectual
property portfolio; and it performs
strategic planning and decisionmaking.
“We also manage the
supply chain and distribute to our
partners in Canada and the US,”
says Bill Wells, President of BLS and
Chief Executive Officer of Biovail.
Explaining why a Canadian
enterprise chose to establish
operations in Barbados, Bill Wells
says, “The tax structure and business
environment are transparent, the
courts work, the government is
pro-business, and Barbados has
a quality educated work force.
There are regular international air
connections and Barbados is a very
attractive place to live.”
Biovail is involved in the formulation,
clinical testing, registration,
manufacture and commercialisation
of pharmaceutical products for distribution
mainly in the US (which
accounts for approximately 90% of
the corporation’s sales) and Canada.
Biovail specialises in drugs used
in the treatment of neurological
conditions. Bill Wells explains, “The
core of our strategy is to operate in
an area of the marketplace, specialty
neurology, with high opportunity
and good growth rates.” Biovail
received the 2009 Corporate Award
from the National Organisation for
Rare Disorders for the development
of Xenazine® to treat chorea in
association with Huntington’s
disease.
Open to new collaborations
Biovail recently acquired worldwide
rights to tetrabenazine from a UK
company, Cambridge Laboratories
(Ireland) Ltd., and purchased the
US distribution rights for Welbutrin
XL from GlaxoSmithKline. Biovail
supplies tetrabenazine, the only
authorised treatment for Huntington’s
chorea, to Lundbeck Inc. for
commercialisation in the US under
the Xenazine brand name. Xenazine
is the only FDA-approved product
for the treatment of any symptom
of Huntington’s disease – a neurodegenerative
disease that affects
approximately 25,000 people in the
US. In addition, Biovail recently
entered into a collaboration and
license agreement with ACADIA
Pharmaceuticals for pimavanserin
– a new chemical entity currently
in Phase III development for the
treatment of Parkinson’s disease
psychosis, or PDP. “Biovail focuses
on conditions for which there are
insufficient or no treatments. We
are a credible player in specialty
neurology and an active player in
terms of licensing and acquiring
products,” Bill Wells explains. Biovail
is always open to new collaborations,
including working with marketing
partners in Europe in the future.
An exemplary corporate citizen,
Biovail supports many community
service projects in Barbados and
has made a long-term commitment
to the island. Bill Wells concludes,
“Barbados is a great business
environment, and Biovail serves as a
good example of a company which is
contributing to the overall image of
the country.”
Biovail Laboratories International SRL
Welches Christ Church, Barbados,
BB17154
Tel: +1 246 418 6400
Fax: +1 246 420 1532
www.biovail.com
23

3
1
Upcoming
Projects:
ARGENTINA
The European
Times
BOSNIA
BULGARIA
ROMANIA
SWITZERLAND
For more information,
please email info@european-times.com
5
or visit www.european-times.com