The new “Ley de Organica de Incentivos y la Inversión Extranjera” for P3 projects will incentivize private investment by allowing international companies to have the same fiscal treatment as is granted to public enterprises.
It will also grant benefitrs such as exemptions in the payment of income tax for 10 years, refund of Value Added Tax, and removing taxes on capital outflows.
The new law also plans to create a unit called “Comité Interinstitucional de Asociaciones Público-Privadas” responsible for the coordination and articulation of policies, guidelines and regulations related to P3 projects.
A commission for the development comprised of the main economic and state control authorities as well as private sectors will meet today to give their opinion on the plans.
The government expects to complete a first report by October 7, when the law will be debated in the parliament.