Josh
If you’re looking for a great place to expand your entrepreneurial investments abroad, Colombia has a lot to offer for both new and experienced global investors. There’s a lot going on in the country to foster an inviting atmosphere for foreign investment, much of it due to unprecedented cooperation between the U.S. and Colombian governments toward mutually beneficial trade agreements. This includes not only free trade agreements but also investment grants in focal areas designed to help investors from the U.S. move into industries that are growing and in need of investment.
Infrastructure Investments in Colombia
One of the largest areas of foreign investment in Colombia during the last five years has been the extensive infrastructure projects the government has authorized as part of its commitment to economic development. There are additional projects throughout the country, from highway development to civic development, and even further waterfront development to expand the trade at the country’s ports. As the only South American nation with coastlines on both the Atlantic and Pacific oceans, the development of this infrastructure is key to the good work being done in other sectors. Investors will need to have an efficient way of sending money to Colombia to keep the cash flow open during the crucial phases of these projects, but investment risks are hedged by the United States Trade and Development Agency’s commitment to fostering investment through grants.
Other Attractive Industries for Foreign Investors
While the infrastructure development in-country is a huge opportunity, it is also being done in the service of other industries that will be able to grow even more quickly as the support for their logistical needs in-country grows. Right now, the energy sector provides a number of opportunities that, like the infrastructure projects, will increase trade capacity in the long run. Getting into investments in these vital services and commodities while they are developing is a rare chance to develop a stable long-term investment with great returns. Niches that are under development include:
- Petrochemical extraction and refinement
- Renewable energy generation
- Traditional energy generation
In addition to the opportunities in the energy sector, the development of the ports also present opportunities for international trade companies and logistics specialists to gain a foothold in a nation that is poised to be an important crossroads for global trade for decades to come. Flexible entrepreneurs with a variety of interests will find synergistic opportunities in the combination of infrastructure investment opportunities and subsequent participation in the industries that development fostered. Investors looking for that kind of combination of opportunities should also pay attention to the expansion of the country’s telecommunications sector, which will see a rise in both business and consumer demand as trade picks up in the country’s largest cities.
Build a Diverse Portfolio of International Investments
Colombia is not the only country with great opportunities for international investors, but it can be a great foothold for expanding further into the region if you’re looking to build a network of trade investments in a few countries in Central and South America. Trading effectively requires moving money to the markets where it is going to be able to work for you today, so you need to have a fast, cost-effective way to send money to Colombia or to the Dominican Republic and other important investment locations throughout the hemisphere.
Whether you’re looking to build a strong, synergistic set of investments in one country or you want to establish yourself as a key industry player in several, the opportunities in Central and South America are tremendous, and increased trade in Colombia will only make them better. Even if you’re not moving into investments in Colombia at the moment, understanding the country’s role in the region lets you invest more wisely in practically any South American market.