Labuan is improving economic indicators

24.10.2011 The Chief Executive has declared that Labuan is increasing its attractiveness as a financial business center. Especially in recent years the process of captive insurance companies registration has intensified. In comparison with 2010 income of this sector has increased by USD1.2 bln. (USD 34.2 bln. now). Experts predict further widening trend in the sector and consequently state income increase.

On the whole Labuan is a low tax territory (the corporate tax rate is only 3%). Along with tax privileges the economics strengthening is a major advantage in choosing Labuan as the region for investment by international business.

Expert’s opinion

“At the moment taking into consideration the destructive crisis impact the investors from around the world are looking for new tax havens. The great advantage of Labuan is strengthening its positions in the captive insurance sphere and generally increase of the country's economic indicators. Positive forecasts given by the experts should also have a stimulating effect on the flow of capital process to the state”.

On the basis: www.tax-news.com

Andrianova Irina ( the lawyer of international consulting department of “Honest & Bright” )