Cainco proposes tax reductions to attract large investments in Bolivia

The Chamber of Industry, Commerce, Services and Tourism of Santa Cruz (Cainco) has presented a legislative proposal aimed at attracting national and foreign capital to Bolivia. The initiative seeks to establish a Special Incentive Regime for Large Investments (RIGI) for projects exceeding $50 million in sectors such as agro-industry, mining, energy, tourism, and technology.

Key components of the proposal include reducing the Value Added Tax (IVA) from 13% to 10% and the Corporate Income Tax (IUE) from 25% to 10%. To ensure long-term predictability, the plan offers 30 years of regulatory stability, allowing companies to maintain the tax and legal conditions present at the time of their initial investment structure.

Cainco is urging the Plurinational Legislative Assembly to approve a short investment law by December to prevent delays. The proposal also includes measures for exchange freedom, international arbitration, and labor flexibility to restore economic confidence and stimulate job creation.