HomeReportsBureau of Economic and Business Affairs2023 Investment Climate Statements…Antigua and Barbuda

# 					2023 Investment Climate Statements: Antigua and Barbuda			

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													EXECUTIVE SUMMARY											

                -  EXECUTIVE SUMMARY 
                -  1. Openness To, and Restrictions Upon, Foreign Investment                    -  Policies Towards Foreign Direct Investment 
                  -  Limits on Foreign Control and Right to Private Ownership and Establishment 
                  -  Other Investment Policy Reviews 
                  -  Business Facilitation 
                  -  Outward Investment 
                -  2. Bilateral Investment and Taxation Treaties 
                -  3. Legal Regime                    -  Transparency of the Regulatory System 
                  -  International Regulatory Considerations 
                  -  Legal System and Judicial Independence 
                  -  Laws and Regulations on Foreign Direct Investment 
                  -  Citizenship by Investment 
                  -  Competition and Antitrust Laws 
                  -  Expropriation and Compensation 
                  -  Dispute Settlement                      -  ICSID Convention and New York Convention 
                    -  Investor-State Dispute Settlement 
                    -  International Commercial Arbitration and Foreign Courts 
                  -  Bankruptcy Regulations 
                -  4. Industrial Policies                    -  Investment Incentives 
                  -  Foreign Trade Zones/Free Ports/Trade Facilitation 
                  -  Performance and Data Localization Requirements 
                -  5. Protection of Property Rights                    -  Real Property 
                  -  Intellectual Property Rights 
                -  6. Financial Sector                    -  Capital Markets and Portfolio Investment 
                  -  Money and Banking System 
                  -  Foreign Exchange and Remittances                      -  Foreign Exchange 
                    -   
                    -  Remittance Policies 
                  -  Sovereign Wealth Funds 
                -  7. State-Owned Enterprises                    -  Privatization Program 
                -  8. Responsible Business Conduct                    -  Additional Resources 
                  -  Climate Issues 
                -  9. Corruption                    -  Resources to Report Corruption 
                -  10. Political and Security Environment 
                -  11. Labor Policies and Practices 
                -  12. U.S. International Development Finance Corporation (DFC), and Other Investment Insurance or Development Finance Programs 
                -  13. Foreign Direct Investment Statistics 
                -  14. Contact for More Information 

## EXECUTIVE SUMMARY

Antigua and Barbuda is a member of the Organization of Eastern Caribbean States (OECS) and the Eastern Caribbean Currency Union (ECCU). According to Eastern Caribbean Central Bank (ECCB) statistics, Antigua and Barbuda’s 2022 estimated gross domestic product (GDP) was $1.75 billion (4.74 billion Eastern Caribbean dollars). Like most of the Eastern Caribbean, the country continues to grapple with the fall-out of the COVID-19 pandemic, supply-chain issues and rising food and fuel prices associated with Russia’s war on-Ukraine. As of May 2023, the International Monetary Fund (IMF) forecast that the economy will grow by 5.5% in 2023.

The tourism sector is showing signs of recovery from the COVID-19 pandemic. The sector is expected to have grown by just over 56 per cent in 2022; with tourism related construction increasing by 20 percent. Revenue from the country’s Citizenship by Investment program amounts to nearly 60 percent of all non-tax revenue.

Through the Antigua and Barbuda Investment Authority (ABIA), the government encourages foreign direct investment, particularly in industries that create jobs and earn foreign exchange. The ABIA facilitates and supports foreign direct investment in the country and maintains an open dialogue with current and potential investors. All potential investors are afforded the same level of business facilitation services.

While the government welcomes all foreign direct investment, tourism and related services, yachting and marine services, agriculture and agro-processing, and business process outsourcing have been identified by the government as priority investment areas.

There are no limits on foreign control of investment and ownership in Antigua and Barbuda. Foreign investors may hold up to 100 percent of an investment.

Antigua and Barbuda’s legal system is based on British common law. It does not have a bilateral investment treaty with the United States, though it does have bilateral investment treaties with Germany and the UK.

There is currently an unresolved dispute regarding the alleged expropriation of an American-owned property. For this reason, the U.S. government recommends careful consideration when investing in real estate in Antigua and Barbuda.

In 2017, the government signed an intergovernmental agreement in observance of the U.S. Foreign Account Tax Compliance Act (FATCA), making it mandatory for banks in Antigua and Barbuda to report the banking information of U.S. citizens.

							1. Openness To, and Restrictions Upon, Foreign Investment					

### Policies Towards Foreign Direct Investment

The Government of Antigua and Barbuda encourages foreign direct investment (FDI), particularly in industries that create jobs, enhance economic activity, earn foreign currency, and have a positive impact on its citizens. Diversification of the economy remains a priority.

Through the Antigua and Barbuda Investment Agency (ABIA), the government facilitates and supports foreign direct investment in the country and maintains an open dialogue with current and potential investors. All potential investors are afforded the same level of business facilitation services. ABIA offers complementary support services to investors exploring business opportunities, including facilitation of incentives and concessions, project monitoring, and general assistance. ABIA maintains an informational website https://investantiguabarbuda.org for all potential investors. Antigua and Barbuda also has a citizenship by investment program to facilitate certain forms of FDI (see section on Laws and Regulations on foreign investment for additional details).

While the government welcomes all FDI, tourism and related services, yachting and marine services, agriculture and agro-processing, and business process outsourcing, have been identified by the government as priority investment areas.

### Limits on Foreign Control and Right to Private Ownership and Establishment

Local laws do not place any limits on foreign control of investment and ownership in Antigua and Barbuda. Foreign investors may hold up to 100 percent of an investment. Local and foreign entrepreneurs need approximately 40 days from start to finish to transfer the title on a piece of property. In 1995, the government established a permanent residency program to encourage high-net-worth individuals to establish residency in Antigua and Barbuda for up to three years. As residents, their income is free of local taxation. In 2020, the government established the Nomad Digital Residence Visa program in which eligible remote workers can apply for a two-year special resident authorization. Under this program, the visa holders are also exempt from paying local income taxes. These programs are separate from the Citizenship by Investment program.

The ABIA evaluates all FDI proposals applying for government incentives and provides intelligence, business facilitation, and investment promotion to establish and expand profitable business enterprises. The ABIA also advises the government on issues that are important to the private sector and potential investors to increase the international competitiveness of the local economy.

The government of Antigua and Barbuda treats foreign and local investors equally with respect to the establishment, acquisition, expansion, management, conduct, operation, and sale or other disposition of investments in its territory.

### Other Investment Policy Reviews

In May 2023, the World Trade Organization (WTO) conducted a trade policy review of the OECS of which Antigua and Barbuda is a member. The full report is available at https://www.wto.org/english/tratop_e/tpr_e/tp537_e.htm. There have not been any investment policy reviews of Antigua and Barbuda by civil society organizations in the past five years.

### Business Facilitation

Established in 2006, the ABIA facilitates foreign direct investment in priority sectors and advises the government on the formation and implementation of policies and programs to attract investment. The ABIA provides business support services and market intelligence to all investors. It also offers an online guide that is useful for navigating the laws, rules, procedures, and registration requirements for foreign investors. The guide is available at https://www.theiguides.org/public-docs/guides/antiguabarbuda.

All potential investors applying for government incentives must submit their proposals for review by the ABIA to ensure the project is consistent with national interests and provides economic benefits to the country.

To register a business, the general practice is to retain a local attorney who prepares all the relevant incorporation documents. A business must register with the Intellectual Property and Commercial Office, the Inland Revenue Department, the Medical Benefits Scheme, the Social Security Scheme, and the Board of Education. The process typically takes up to three weeks.The online guide lists the necessary steps to complete the registration.

### Outward Investment

Although the government of Antigua and Barbuda prioritizes investment return as a key component of its overall economic strategy, there are no formal mechanisms in place to achieve this. To sustain future economic growth, Antigua and Barbuda’s economy depends on significant FDI.

Local laws do not place any restrictions on domestic investors seeking to do business abroad. Local companies in Antigua and Barbuda are actively encouraged to take advantage of export opportunities specifically related to the country’s membership in the OECS Economic Union and the Caribbean Community Single Market and Economy (CSME).

							2. Bilateral Investment and Taxation Treaties					

Antigua and Barbuda has signed bilateral investment treaties with Germany and the UK. It does not have a bilateral investment treaty or bilateral taxation treaty with the United States. Antigua and Barbuda has bilateral taxation agreements with Denmark, Norway, Sweden, Switzerland, and the UK. There are double taxation agreements in force with the UK and the UAE. Antigua and Barbuda has 22 Tax Information Exchange Agreements in force.

Antigua and Barbuda is also party to the following:

Caribbean Community (CARICOM)

The Treaty of Chaguaramas established the CARICOM in 1973 to promote economic integration among its 15 member states. Investors operating in Antigua and Barbuda have preferential access to the entire CARICOM market. The Revised Treaty of Chaguaramas established the CSME, which permits the free movement of goods, capital, and labor among CARICOM states. CARICOM has bilateral agreements with Cuba, Colombia, Costa Rica, the Dominican Republic, and Venezuela. In 2013, CARICOM entered into a Trade and Investment Framework Agreement with the United States.

Organization of Eastern Caribbean States (OECS)

The Treaty of Basseterre established the OECS in 1981. The OECS consists of seven full members (Antigua and Barbuda, Dominica, Grenada, Montserrat, Saint Kitts and Nevis, Saint Lucia, and Saint Vincent and the Grenadines), and four associate members (Anguilla, the British Virgin Islands, Guadeloupe, and Martinique). The purpose of the Treaty is to promote harmonization among member states in foreign policy, defense and security, and economic affairs. The seven full members ratified the Revised Treaty of Basseterre establishing the OECS Economic Union, which entered into force in 2011. The Economic Union established a single financial and economic space within which goods, services, and people move without hindrance.Caribbean Basin Initiative

The Caribbean Basin Initiative facilitates the economic development and export diversification of the Caribbean Basin economies. It encourages private sector initiatives by expanding foreign and domestic investment in non-traditional sectors, diversifying country economies, and expanding their imports, and it permits duty-free entry of eligible products manufactured or assembled in Antigua and Barbuda into the United States.

CARIFORUM-EU Economic Partnership Agreement

The European Community and Caribbean Forum (CARIFORUM) states signed an Economic Partnership Agreement (EPA) in 2008. CARIFORUM consists of the independent Anglophone CARICOM member states, the Dominican Republic and Suriname. The overarching objectives of the EPA are to alleviate poverty in CARIFORUM states, to promote regional integration and economic cooperation, and to foster the gradual integration of the CARIFORUM states into the world economy by improving their trade capacity and creating an investment-conducive environment. The agreement promotes trade-related developments in areas such as competition, intellectual property, public procurement, the environment, and protection of personal data.

CARIFORUM-UK Economic Partnership Agreement

The UK and CARIFORUM signed an EPA in 2019, committing to trade continuity after Britain’s departure from the European Union. The CARIFORUM-UK EPA eliminates tariffs on all goods imported from CARIFORUM states into the UK, while those Caribbean states will continue to gradually cut import tariffs on most of the region’s imports from the UK.

Caribbean/Canada Trade Agreement (CARIBCAN)

The Caribbean-Canada Trade Agreement (CARIBCAN) is an economic and trade development assistance program for Commonwealth Caribbean countries. Through CARIBCAN, Canada provides duty-free access to its national market for most products originating in Commonwealth Caribbean countries.

							3. Legal Regime					

### Transparency of the Regulatory System

The government of Antigua and Barbuda publishes laws, regulations, administrative practices, and procedures of general application and judicial decisions that affect or pertain to investments or investors in the country. Where the government establishes policies that affect or pertain to investments or investors that are not expressed in laws and regulation or by other means, the national government has committed to make them publicly available.

Rulemaking and regulatory authority lie with the bicameral parliament of the government of Antigua and Barbuda. The House of Representatives has 19 members, 17 of whom are elected for a five-year term in single-seat constituencies, one of whom is an ex-officio member, and one of whom is speaker. The Senate has 17 appointed members.

Respective line ministries develop relevant national laws and regulations, which are then drafted by the Ministry of Legal Affairs. Laws relating to the ABIA and the Citizenship by Investment program are the main laws relevant to foreign direct investment. The full text of laws already in force, as well as those Parliament is currently considering are available at:http://laws.gov.ag/ .

While some draft bills are not subject to public consultation, input from stakeholder groups may be considered. The government encourages stakeholder organizations to support and contribute to the legal development process by participating in technical committees and providing comments on drafts. The government discloses information on public finances and debt obligations through the annual budget address.  The annual budget address can be found online at: https://ab.gov.ag/.

Accounting, legal, and regulatory procedures are generally transparent and consistent with international norms. The International Financial Accounting Standards, which stem from the General Accepted Accounting Principles, govern the accounting profession.

The constitution provides for the independent Office of the Ombudsman to guard against abuses of power by government officials. The Ombudsman is responsible for investigating complaints about acts or omissions by government officials that violate the rights of members of the public.

The ABIA has primary responsibility for investment supervision, and the Ministry of Finance, Corporate Governance and Public-Private Partnerships monitors investments to collect information for national statistics and reporting purposes. The ABIA can revoke an issued Investment Certificate if the holder fails to comply with certain stipulations detailed in the Investment Authority Act and its regulations.

Antigua and Barbuda’s membership in regional organizations, particularly the OECS and its Economic Union, commits the state to implement all appropriate measures to fulfill its various treaty obligations. The eight member states and territories of the ECCU tend to enact laws uniformly, though minor differences in implementation may exist. The enforcement mechanisms of these regulations include penalties and other sanctions.

The country’s membership in regional organizations, particularly the OECS and its Economic Union, commits the state to implement all appropriate measures to fulfill its various treaty obligations.  For example, the Banking Act, which establishes a single banking space and the harmonization of banking regulations in the Economic Union, is uniformly in force in the eight member territories of the ECCU, although there are some minor differences in implementation from country to country.  The enforcement mechanisms of these regulations include penalties or legal sanctions. The most recent Caribbean Financial Action Task Force (CFATF) Mutual Evaluation assessment found Antigua and Barbuda to be largely compliant.  The ECCB is the supervisory authority over financial institutions registered under the Banking Act of 2015.

### International Regulatory Considerations

As a member of the OECS and the ECCU, Antigua and Barbuda subscribes to principles and policies outlined in the Revised Treaty of Basseterre. The relationship between national and regional systems is such that each participating member state is expected to coordinate and adopt, where possible, common national policies aimed at the progressive harmonization of relevant policies and systems across the region. Thus, Antigua and Barbuda is obligated to implement regionally developed regulations such as legislation passed under the authority of the OECS, unless it seeks specific concessions.

The Antigua and Barbuda Bureau of Standards is a statutory body that prepares and promulgates standards in relation to goods, services, processes, and practices. As a member of the WTO, Antigua and Barbuda is a signatory to the WTO Agreement on the Technical Barriers to Trade and is obligated to notify the Committee of any draft new and updated technical regulations. Antigua and Barbuda ratified the WTO Trade Facilitation Agreement (TFA) in 2017. The TFA is intended to improve the speed and efficiency of border procedures, facilitate trade costs reduction, and enhance participation in the global value chain. A full list of measures undertaken pursuant to the TFA is available at https://tfadatabase.org/en/members/antigua-and-barbuda.

As a member of CARICOM, Antigua and Barbuda utilizes the Advanced Cargo Information System, a computer-based system developed by the United Nations Conference on Trade and Development (UNCTAD) to harmonize and standardize electronic cargo information in order to improve the capability to track cargo efficiently and to support regional and international trade. The Advanced Cargo Information System forms a critical part of the World Customs Organization SAFE Framework of Standards. Antigua and Barbuda has also fully implemented the Automated System for Customs Data.

### Legal System and Judicial Independence

Antigua and Barbuda bases its legal system on the British common law system. The Attorney General, the Chief Justice of the Eastern Caribbean Supreme Court, junior judges, and magistrates administer justice. The Eastern Caribbean Supreme Court Act establishes the Supreme Court of Judicature, which consists of the High Court and the Eastern Caribbean Court of Appeal. The High Court hears criminal and civil matters and rules on constitutional law issues. Parties may appeal first to the Eastern Caribbean Supreme Court, an itinerant court that hears appeals from all OECS members. The final appellate authority is the Judicial Committee of the UK Privy Council.

The Caribbean Court of Justice (CCJ) is the regional judicial tribunal, established in 2001 by the Agreement Establishing the CARICOM Single Market and Economy.  The CCJ has original jurisdiction to interpret and apply the Revised Treaty of Chaguaramas. Antigua and Barbuda is only subject to the original jurisdiction of the CCJ.

The United States and Antigua and Barbuda are both party to the WTO. The WTO Dispute Settlement Panel and Appellate Body resolves disputes over WTO agreements, while courts of appropriate jurisdiction in both countries resolve private disputes. Antigua and Barbuda brought a case before the WTO against the United States concerning the cross-border supply of online gambling and betting services. The WTO ruled in favor of Antigua and Barbuda, but agreement on settlement terms remains outstanding.

### Laws and Regulations on Foreign Direct Investment

The ABIA provides guidance on the relevant laws, rules, procedures, and reporting requirements for investors. These are available at http://www.theiguides.org/public-docs/guides/antiguabarbuda.

The ABIA may grant concessions as specified in the Investment Authority Act Amended 2019. These concessions are listed on Antigua and Barbuda’s iGuide website. Investors must apply to ABIA to take advantage of these incentives.

### Citizenship by Investment

Under the citizenship by investment program, foreign individuals can obtain citizenship in accordance with the Citizenship by Investment Act of 2013, which grants citizenship without voting rights to qualified investors. Applicants are required to undergo a due diligence process before citizenship can be granted. The minimum contribution for investors under the program is $100,000 (270,225 Eastern Caribbean dollars) to the National Development Fund for a family of up to four people and $125,000 (337,818 Eastern Caribbean dollars) for a family of five, with additional contributions of $15,000 (40,538 Eastern Caribbean dollars) per person for up to four additional family members.

Individual applicants can also qualify for the program by buying real estate valued at $400,000 (1,081,020 Eastern Caribbean dollars) or more or making a business investment of $1.5 million (4,053,825 Eastern Caribbean dollars). Alternatively, at least two applicants can propose to make a joint investment in an approved business with a total investment of at least $5 million (13.5 million Eastern Caribbean dollars). Each investor must contribute at least $400,000 (1,081,020 Eastern Caribbean dollars) to the joint investment. Citizenship by investment investors must own real estate for a minimum of five years before selling it.

A fourth option involves a contribution of $150,000 (405,383 Eastern Caribbean dollars) to the University of the West Indies (UWI) Fund for a family of six people, which entitles one member of the family to a one-year tuition-only scholarship at UWI’s Five Islands campus. All applicants must also pay relevant government and due diligence fees, and provide a medical certificate, police certificate, and evidence of the source of funds. Further information is available at: https://cip.gov.ag/.

### Competition and Antitrust Laws

Chapter 8 of the Revised Treaty of Chaguaramas outlines the competition policy applicable to CARICOM states.  Member states are required to establish and maintain a national competition authority for implementing the rules of competition.  CARICOM established a Caribbean Competition Commission (CCC) to apply rules of competition regarding anti-competitive cross-border business conduct.  CARICOM competition policy addresses anti-competitive business conduct such as agreements between enterprises, decisions by associations of enterprises, and concerted practices by enterprises that have as their object or effect the prevention, restriction, or distortion of competition within CARICOM, and actions by which an enterprise abuses its dominant position within CARICOM.  Antigua and Barbuda is a member of the CCC.

The OECS has agreed to establish a regional authority to regulate competition in the economic union and would be a part of the CCC. To date, the draft OECS Competition Bill remains under review. As such, there is currently no legislation or authority outside of the CARICOM framework that regulates competition in Antigua and Barbuda.

### Expropriation and Compensation

According to the Investment Authority Act of 2006, investments in Antigua and Barbuda will not be nationalized, expropriated, or subject to indirect measures having an equivalent effect, except as necessary for the public good, in accordance with the due process of law, on a non-discriminatory basis, and accompanied by prompt, adequate, and effective compensation. Compensation in such cases is the fair market value of the expropriated investment immediately before the expropriation or the impending expropriation became public knowledge, whichever is earlier. Compensation includes interest from the date of dispossession of the expropriated property until the date of payment and is required to be paid without delay.

There is an unresolved dispute regarding the 2007 expropriation of an American-owned property. Following the expropriation, the owners initiated legal action to enforce their rights under Antigua and Barbuda’s Land Acquisition Act. A 2014 Privy Council court decision ordered the Government of Antigua and Barbuda to pay the former property owners $39.8 million in compensation. The government has only paid approximately $20 million as of June 2022, and the property owners have continued to pursue multiple legal remedies to compel the government to pay the outstanding balance. In 2022, the courts dismissed the government’s appeal of a 2018 court decision in favor of the claimants. At that time, the courts ruled that the outstanding costs due to the claimants should be assessed by the High Court to be paid promptly and in full. The claimants have also continued to pursue recourse in other jurisdictions in addition to Antigua and Barbuda, with the latest legal decision in 2022. The government has not made any additional payments to the claimants since 2020 and to date, the government has only paid them approximately $ 26.6 million. The U.S. government recommends continued caution when investing in real estate or any other venture in Antigua and Barbuda.

### Dispute Settlement

#### ICSID Convention and New York Convention

Antigua and Barbuda is not a party to the Convention on the Settlement of Investment Disputes between States and Nationals of Other States. However, it is a member of the Convention on the Recognition and Enforcement of Foreign Arbitral Awards, also known as the New York Arbitration Convention. Private parties may use international or national arbitration if specified in contracts. The Arbitration Act Chap. 33 (1975) is the main legislation which governs arbitration in Antigua and Barbuda.

#### Investor-State Dispute Settlement

Investors may use national or international arbitration to resolve contractual disputes with the state. Antigua and Barbuda has bilateral investment treaties with Germany and the UK that recognize binding international arbitration of investment disputes. Antigua and Barbuda does not have a bilateral investment treaty or a free trade agreement with an investment chapter with the United States.

Through the Arbitration Act, the local courts recognize and enforce foreign arbitral awards issued against the government.

#### International Commercial Arbitration and Foreign Courts

As mandated by the Arbitration Act, alternative dispute mechanisms are available as a means of settling disputes between two private parties. Parties may use voluntary mediation or conciliation. The Arbitration Act mandates the legal recognition and enforcement of judgments of foreign courts by local courts. Thus, the High Court of Antigua and Barbuda recognizes and enforces foreign arbitral awards. The Eastern Caribbean Supreme Court’s Court of Appeals provides meditation on commercial contracts.

### Bankruptcy Regulations

Under the Bankruptcy Act (1975), Antigua and Barbuda has a bankruptcy framework that grants certain rights to debtors and creditors. The full text of the legislation can be found on the government’s website.

							4. Industrial Policies					

### Investment Incentives

The Government of Antigua and Barbuda granted certain concessions specified in the Investment Authority Act Amended 2019. These concessions provide exemption or reduction on various taxes and fees, including corporate income tax, withholding tax, stamp duty on land transfers, and import duties on vehicles and construction materials. The length and/or scale of concession is based on company and investment size. These incentives cover capital investment in all priority sectors. Investors must apply to the ABIA to take advantage of these incentives. Investments in healthcare, tourism, infrastructure development, renewable energy, education, and other projects considered important for economic development may receive incentives and/or concessions determined by the ABIA and Cabinet of Antigua and Barbuda if they are over $55.6 million (150.26 million Eastern Caribbean dollars) in size.

The Antigua and Barbuda Science Innovation Park (ABSIP) launched in 2019 to support and create business startup opportunities that will generate sustainable business enterprises. ABSIP provides business incubation and financing, access to business financing, branding, training, partnership establishment, and other services. More information is available at ABSIP’s website: http://absip.gov.ag.

The Prime Minister’s Entrepreneurial Development Programme (EDP) supports the creation of micro and small businesses with the intent of increasing the Antiguan and Barbudan ownership share of the country’s economy. Priority sectors in which EDP grants loans are agriculture and agro-processing, manufacturing, information technology, e-business, and tourism.

The Government of Antigua and Barbuda has been proactively pursuing public-private partnerships through the National Asset Management Company (NAMCO). NAMCO is a wholly owned government entity that holds the government’s stake in joint ventures and manages the investment proceeds that accrue.

### Foreign Trade Zones/Free Ports/Trade Facilitation

The government established the Antigua and Barbuda Free Trade and Processing Zone (Free Zone) in 1994. A commission, acting as a private enterprise, administers the Free Zone. The Free Zone is part of a government initiative to diversify the economy. The commission is mandated to attract investment in priority areas.

### Performance and Data Localization Requirements

As a member of the WTO, Antigua and Barbuda is party to the Agreement to the Trade Related Investment Measures. While there are no formal performance requirements, the government encourages investments that will create jobs and increase exports and foreign exchange earnings. There are no requirements for participation either by nationals or by the government in foreign investment projects. There is no requirement that enterprises must purchase a fixed percentage of goods or technology from local sources, but the government encourages local sourcing. Foreign investors receive the same treatment as citizens. There are no requirements for foreign information technology providers to turn over source code and/or provide access to surveillance (for example, backdoors into hardware and software or keys for encryption). In 2013, the government passed the Data Protection Act to promote the protection of personal and private data.

							5. Protection of Property Rights					

### Real Property

The government owns 55 percent of Antigua’s land, and the remaining 45 percent is privately owned. The Lands Division in the Ministry of Agriculture, Lands, Fisheries and Barbuda Affairs is the custodian of Crown lands on behalf of the government.

Historically, the residents of Barbuda owned all land on Barbuda communally, however the recent appropriation of land for new development projects has resulted in legal challenges to this system. In the aftermath of 2017’s Hurricane Irma, the government attempted to introduce a private property system by amending and repealing the Barbuda Land Act and replacing it with the Crown Land Regulation (Amendment) Act, which would allow private ownership of land in Barbuda by non-Barbudans. Barbudan representatives filed a legal challenge to the constitutionality of this legislation in the Eastern Caribbean Supreme Court. This court ruled in the government’s favor and a further appeal was filed in the Privy Council. The Privy Council dismissed the appeal in 2022. In April 2023, the government announced its intention to make further changes to the act.

Citizens and non-citizens can lease or buy land on the island of Antigua from the government or the private sector. Land sold to non-citizens is subject to the Non-Citizen Land Holding Regulation Act, which requires buyers to obtain a license to purchase land. Buyers are advised to consult with a local attorney. All land titles and purchases must be registered at the Land Registry.

The Town and Country Planning office of the Development Control Authority designates land use areas, including for commercial, agricultural, industrial, or tourism use. The government’s Free Trade and Processing Zone manages land and facilities which are geared towards attracting foreign direct investment in export sectors.

Because Antigua and Barbuda is a member of the ECCU, lending institutions in Antigua and Barbuda generally follow the guidelines published by the ECCB. However, the lack of capital market depth in the sub-region makes the use of securitization difficult.

### Intellectual Property Rights

Antigua and Barbuda has an extensive legislative framework supporting the protection of intellectual property rights (IPR); however, enforcement efforts are inconsistent. The country is not listed in the U.S. Trade Representative’s 2023 Special 301 Report or in its 2022 Review of Notorious Markets for Counterfeiting and Piracy. Antigua and Barbuda is a member of the United Nations World Intellectual Property Organization (WIPO). It is a signatory to the Paris Convention for the Protection of Industrial Property, the Patent Cooperation Treaty, the Protocol Relating to the Madrid Agreement Concerning the International Registration of Marks, and the Berne Convention for the Protection of Literacy and Artistic Works.

Article 66 of the Revised Treaty of Chaguaramas establishing the CSME commits all 15 members to implement stronger intellectual property protection and enforcement. The CARIFORUM-EU EPA contains the most detailed obligations regarding IPR in any trade agreement to which Antigua and Barbuda is a party. The EPA recognizes the protection and enforcement of IPR. Article 139 of the EPA requires parties to “ensure an adequate and effective implementation of the international treaties dealing with intellectual property to which they are parties, and of the WTO Agreement on Trade Related Aspects of Intellectual Property (TRIPS).” As a member of the WTO, Antigua and Barbuda recognizes the WTO TRIPS Agreement.

The Comptroller of Customs leads enforcement and prevention efforts against counterfeit goods, which include detention, seizure, and forfeiture. The Royal Police Force of Antigua and Barbuda has extensive powers of search and seizure in the investigation of alleged infringements and has the power to confiscate suspected infringing copies.

For additional information about national laws and points of contact at local IP offices, please see WIPO’s country profiles at http://www.wipo.int/directory/en/ .

							6. Financial Sector					

### Capital Markets and Portfolio Investment

As a member of the ECCU. As such, it is a member of the Eastern Caribbean Stock Exchange (ECSE) and the Regional Government Securities Market. The ECSE is a regional securities market established by the ECCB and licensed under the Securities Act of 2001, a uniform regional body of legislation governing securities market activities.

The ECSE and its subsidiaries, the Eastern Caribbean Central Securities Depository and the Eastern Caribbean Central Securities Registry, facilitate activities on the ECSE. The main activities are the primary issuance and secondary trading of corporate and sovereign securities, the clearance and settlement of issues and trades, maintaining securities holders’ records, and providing custodial, registration, transfer agency, and paying agency services while respecting listed and non-listed securities. As of March 2022, there were 164 securities listed on the ECSE, comprising 135 sovereign debt instruments, 13 equities, and 16 corporate debt securities. Market capitalization stood at $703 million (1.9 billion Eastern Caribbean dollars). Antigua and Barbuda is open to portfolio investment.

Antigua and Barbuda accepted the obligations of Article VIII of the International Monetary Fund Agreement Sections 2, 3, and 4, and maintains an exchange system free of restrictions on making international payments and transfers. The government normally does not grant foreign tax credits except in cases where taxes are paid in a Commonwealth country that grants similar relief for Antigua and Barbuda taxes, or where an applicable tax treaty provides a credit. The private sector has access to credit on the local market through loans, purchases of non-equity services, and trade credits, as well as other accounts receivable that establish a claim for repayment.

### Money and Banking System

Antigua and Barbuda is a signatory to the 1983 agreement establishing the ECCB. The ECCB controls Antigua and Barbuda’s currency and regulates its domestic banks.

The Banking Act (2015) is a harmonized piece of legislation across the ECCU member states. The ECCB and the Ministers of Finance of member states jointly carry out banking supervision under the act. The Minster of Finance usually acts in consultation with the ECCB with respect to those areas of responsibility within the Minister of Finance’s portfolio.

Domestic and foreign banks can establish operations in Antigua and Barbuda. The Banking Act requires all commercial banks and other institutions to be licensed. The ECCB regulates financial institutions. As part of supervision, licensed financial institutions are required to submit monthly, quarterly, and annual performance reports to the ECCB. In its latest annual report, the ECCB listed the commercial banking sector as stable. Assessments including effects of the pandemic are not yet available. Assets of commercial banks totaled $2.07 billion (5.6 billion Eastern Caribbean dollars) at the end of the last reported year of 2019. and remained relatively consistent. The reserve requirement for commercial banks was 6 percent of deposit liabilities.

Antigua and Barbuda is well-served by bank and non-bank financial institutions. There are minimal alternative financial services offered. Some people still participate in informal community group lending, but the practice is declining.

The Caribbean region has witnessed a withdrawal of correspondent banking services by U.S., Canadian, and European banks due to risk management concerns. CARICOM remains committed to engaging with key stakeholders on the issue and appointed a Committee of Ministers of Finance on Correspondent Banking to continue to monitor the issue.

Bitt, a wholly U.S. owned company founded in Barbados, developed digital currency DCash in partnership with the ECCB. The first successful DCash retail central bank digital currency (CDBC) consumer-to-merchant transaction took place in Grenada in February 2021 following a multi-year development process. The ECCB and BITT signed a memorandum of understanding in March 2018 and launched their fintech pilot project and regulatory sandbox in four member countries: Antigua and Barbuda, Grenada, St. Kitts and Nevis and Saint Lucia a year later. In March 2021, DCash was officially rolled out in Antigua and Barbuda. After some challenges in early 2022, the DCash online platform remained online and available for transactions during the reporting period.

Antigua and Barbuda’s Digital Assets Business Bill 2020 created a comprehensive regulatory framework for digital asset businesses, clients, and customers. The bill states that all digital asset businesses in the country must obtain a license for issuing, selling, or redeeming virtual coins, operating as a payment service or electronic exchange, providing custodial wallet services, among other activities. The government aspires to develop Antigua and Barbuda into a regional center for blockchain and cryptocurrency. To date, over 40 major businesses accepted bitcoin cash. The bill was drafted by the ECCB,

### Foreign Exchange and Remittances

#### Foreign Exchange

Antigua and Barbuda is a member of the ECCU and the ECCB. The currency of exchange is the Eastern Caribbean dollar (XCD). As a member of the OECS, Antigua and Barbuda has a foreign exchange system that is fully liberalized. The Eastern Caribbean dollar has been pegged to the U.S. dollar at a rate of XCD 2.70 to $1.00 since 1976. As a result, the Eastern Caribbean dollar does not fluctuate, creating a stable currency environment for trade and investment in Antigua and Barbuda.

#### 

#### Remittance Policies

Companies registered in Antigua and Barbuda have the right to repatriate all capital, royalties, dividends, and profits free of all taxes or any other charges on foreign exchange transactions. The government levies withholding taxes on non-resident corporations and individuals receiving income in the form of dividends, preferred share dividends, interest and rentals, management fees, and royalties, as well as on interest on bank deposits to non-resident corporations. A person must be present in the country for no less than four years without interruption to be considered a resident. Antigua and Barbuda is a member of the CFATF.

In 2017, the government signed an intergovernmental agreement in observance of the FATCA, making it mandatory for banks in Antigua and Barbuda to report the banking information of U.S. citizens.

### Sovereign Wealth Funds

Neither the government of Antigua and Barbuda nor the ECCB, of which Antigua and Barbuda is a member, maintains a sovereign wealth fund.

							7. State-Owned Enterprises					

State-owned enterprises (SOEs) in Antigua and Barbuda are governed by their respective legislation and do not generally pose a threat to investors, as they are not designed for competition. The government established many SOEs to create economic activity in areas where the private sector is perceived to have little interest.

SOEs are headed by boards of directors to which senior managers report. In 2016, Parliament passed the Statutory Corporations (General Provisions) Act, which specifies ministerial responsibilities in the appointment and termination of board members, decisions of the board, and employment in these SOEs. To promote diversity and independence on SOE boards, professional associations, non-governmental organizations (NGOs), and civil society may nominate directors for boards.

### Privatization Program

Antigua and Barbuda does not have a targeted privatization program.

							8. Responsible Business Conduct					

Responsible business conduct by producers and consumers is positively regarded in Antigua and Barbuda. The private sector is involved in projects that benefit society, including in support of environmental, social, and cultural causes.

The NGO community, while comparatively small, is involved in fundraising and volunteerism in gender, health, environmental, and community projects. The government at times partners with NGOs in their activities and encourages philanthropy.

### Additional Resources

Department of State

- Country Reports on Human Rights Practices ( https://www.state.gov/reports-bureau-of-democracy-human-rights-and-labor/country-reports-on-human-rights-practices/ )
- Trafficking in Persons Report ( https://www.state.gov/trafficking-in-persons-report/ )
- Guidance on Implementing the “UN Guiding Principles” for Transactions Linked to Foreign Government End-Users for Products or Services with Surveillance Capabilities ( https://www.state.gov/key-topics-bureau-of-democracy-human-rights-and-labor/due-diligence-guidance/ )
- U.S. National Contact Point for the OECD Guidelines for Multinational Enterprises ( https://www.state.gov/u-s-national-contact-point-for-the-oecd-guidelines-for-multinational-enterprises/ )
- Xinjiang Supply Chain Business Advisory ( https://www.state.gov/xinjiang-supply-chain-business-advisory/ )

Department of the Treasury

- OFAC Recent Actions ( https://home.treasury.gov/policy-issues/financial-sanctions/recent-actions )

Department of Labor

- Findings on the Worst Forms of Child Labor Report ( https://www.dol.gov/agencies/ilab/resources/reports/child-labor/findings  )
- List of Goods Produced by Child Labor or Forced Labor ( https://www.dol.gov/agencies/ilab/reports/child-labor/list-of-goods )
- Sweat & Toil: Child Labor, Forced Labor, and Human Trafficking Around the World ( https://www.dol.gov/general/apps/ilab )
- Comply Chain ( https://www.dol.gov/ilab/complychain/ )

### Climate Issues

Antigua and Barbuda remains susceptible to natural disasters and other effects due to climate change. Antigua and Barbuda has developed a multi-stakeholder policy on the environment that focuses on climate resilience and adaptation, disaster risk reduction, protection of biodiversity, effective natural resources, and environmental management through the enforcement of policies, legislation and regulations. The Environment Protection and Management Act was amended in 2019 to create an updated institutional and administrative framework that codifies all decisions on environmental and climate-related issues. Antigua and Barbuda is party to the Paris Agreement. In 2021, the government updated its Nationally Determined Contribution to the United Nations to signal its commitment to becoming a low- emission resilient country.

							9. Corruption					

The law provides criminal penalties for corruption by officials, and the government generally implements these laws if corruption is proven. Allegations of corruption against government officials in Antigua and Barbuda are common. Both major political parties frequently accuse the other of corruption, but investigations yield few results. Antigua and Barbuda is party to the Inter-American Convention Against Corruption and the UN Anti-Corruption Convention.

The Integrity in Public Life Act requires all public officials to disclose all income, assets (including those of spouses and children), and personal gifts received while in public office. The integrity act established an integrity commission, appointed by the Governor General, receives and investigates complaints regarding noncompliance with or violations of this law or of the Prevention of Corruption Act. As the only agency charged with combatting corruption, the commission is independent but understaffed and under-resourced. Critics stated the legislation was inadequately enforced and that the act should be strengthened.

The Office of National Drug and Money Laundering Control Policy is the independent law enforcement agency with specific authority to investigate reports of suspicious activity concerning specified offenses and the proceeds of crime.

The Freedom of Information Act granted citizens the statutory right to access official documents from public authorities and agencies and created a commissioner to oversee the process. In practice, citizens found it difficult to obtain documents, possibly due to government funding constraints rather than obstruction. The act created a special unit mandated to monitor and verify disclosures. By law, the disclosures are not public. There are criminal and administrative sanctions for noncompliance.

### Resources to Report Corruption

Radford HillChairman, Integrity CommissionR.I.O.A. (Francis) Building, High Street, St. John’s(268) 562-5512/14(268) 562-5512/14Hillandhillbb@gmail.com

Lt. Col. Edward CroftDirector, Office of National Drug and Money Laundering Control PolicyCamp Blizzard, St. George’s, Antigua(268) 562-3255/6(268) 562-3255/6ondcp@candw.ag

							10. Political and Security Environment					

Antigua and Barbuda does not have a recent history of politically motivated violence or civil disturbance. Elections are peaceful and regarded as being free and fair. The next general elections are constitutionally due by January 2028.

							11. Labor Policies and Practices					

The labor code dictates that the minimum working age is 16 years. The Ministry of Legal Affairs, Public Safety, and Labour conducts periodic workplace inspections to enforce this law. The labor commissioner’s office also has an inspectorate that investigates child labor allegations.

The law provides for the right of public-sector and private-sector workers to form and join independent unions. The law also provides for the right to bargain collectively and conduct legal strikes, but it imposes restrictions on the right to strike. The Court of Industrial Relations may limit the right to strike in a dispute. Once either party to a dispute requests the court to mediate, there can be no strike. Due to delays associated with this process, unions often resolve labor disputes before a strike is called. The law prohibits antiunion discrimination by employers but does not specifically require reinstatement of workers illegally fired for union activity.

Freedom of association and the right to collective bargaining were generally respected for citizen workers as well as migrant laborers. Unions said some foreign workers reported that employers threatened withdrawal of their worker permits if they joined a union. There were no reports of antiunion discrimination, nor were there any reports of violations of collective bargaining rights.

Workers who provide essential services (including water, electricity, hospital, fire, prison, air traffic control, meteorology, telecommunications, government printing office, and port authority) must give two weeks’ notice of intent to strike. If either party to a dispute requests court mediation, strikes are prohibited under penalty of imprisonment for any private-sector worker and some government workers. The Industrial Relations Court may issue an injunction against a legal strike when the national interest is threatened or affected. The law prohibits retaliation against strikers.

Penalties for violating labor laws range from a minor fine to two months in prison and were commensurate with those for denials of other civil rights. Penalties were regularly applied against violators. The government enforced the right of association and collective bargaining. Administrative and judicial procedures, however, were often subject to lengthy delays and appeals.

Unions and private citizens reported a decline in respect for workers’ rights during the pandemic that continued during the year, as well as a need for more meaningful engagement of all stakeholders regarding labor policies.

The labor code provides that the Minister of Legal Affairs, Public Safety, Immigration and Labour may issue orders, which have the force of law, to establish a minimum wage. The minimum wage is $3.03 (8.18 Eastern Caribbean dollars) an hour for all categories of labor. In practice, the great majority of workers earn substantially more than minimum wage.

The customary standard workweek is 40 hours in five days. The law provides that the employer may not require workers to work more than a 48-hour, six-day workweek, and provides for 12 paid annual holidays. The law requires that employees be paid one and a half times the employees’ basic wage per hour for overtime work in excess of the standard workweek. The Ministry of Legal Affairs, Public Safety, Immigration and Labour put few limitations on overtime, allowing it in temporary or occasional cases, but did not allow employers to make regular overtime compulsory.

Investors in Antigua and Barbuda are required to maintain workers’ rights and safeguard the environment. While there are no specific health and safety regulations, the Labour Code provides general health and safety guidelines to labor inspectors. The Labour Commission settles disputes over labor abuses, health, and safety conditions. The law gives the ministry the authority to require special safety measures, not otherwise defined in the law, to be put in place for worker safety. Antigua and Barbuda is party to the International Labor Convention on Occupational Health and Safety No. 155 of 1981.

Workers have the right to report unsafe work environments without jeopardy to continued employment. Inspectors then investigate such claims, and workers may leave such locations without jeopardy to their continued employment.

							12. U.S. International Development Finance Corporation (DFC), and Other Investment Insurance or Development Finance Programs					

Antigua and Barbuda is classified as a high- income country under the World Bank’s definition and is ineligible for DFC programs.

							13. Foreign Direct Investment Statistics					

* * Source for Host Country Data: Eastern Caribbean Central Bank: https://www.eccb-centralbank.org/statistics/dashboard-datas/****

**Table 3: Sources and Destination of FDI**Antigua and Barbuda does not appear in the IMF’s Coordinated Direct Investment Survey (CDIS)

							14. Contact for More Information					

Political/Economic SectionU.S. Embassy to Barbados, the Eastern Caribbean and the Organization of the Eastern Caribbean States246-227-4000Email: BridgetownPolEcon@state.gov

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### On This Page

                    -  EXECUTIVE SUMMARY 
                    -  1. Openness To, and Restrictions Upon, Foreign Investment                        -  Policies Towards Foreign Direct Investment 
                      -  Limits on Foreign Control and Right to Private Ownership and Establishment 
                      -  Other Investment Policy Reviews 
                      -  Business Facilitation 
                      -  Outward Investment 
                    -  2. Bilateral Investment and Taxation Treaties 
                    -  3. Legal Regime                        -  Transparency of the Regulatory System 
                      -  International Regulatory Considerations 
                      -  Legal System and Judicial Independence 
                      -  Laws and Regulations on Foreign Direct Investment 
                      -  Citizenship by Investment 
                      -  Competition and Antitrust Laws 
                      -  Expropriation and Compensation 
                      -  Dispute Settlement                          -  ICSID Convention and New York Convention 
                        -  Investor-State Dispute Settlement 
                        -  International Commercial Arbitration and Foreign Courts 
                      -  Bankruptcy Regulations 
                    -  4. Industrial Policies                        -  Investment Incentives 
                      -  Foreign Trade Zones/Free Ports/Trade Facilitation 
                      -  Performance and Data Localization Requirements 
                    -  5. Protection of Property Rights                        -  Real Property 
                      -  Intellectual Property Rights 
                    -  6. Financial Sector                        -  Capital Markets and Portfolio Investment 
                      -  Money and Banking System 
                      -  Foreign Exchange and Remittances                          -  Foreign Exchange 
                        -   
                        -  Remittance Policies 
                      -  Sovereign Wealth Funds 
                    -  7. State-Owned Enterprises                        -  Privatization Program 
                    -  8. Responsible Business Conduct                        -  Additional Resources 
                      -  Climate Issues 
                    -  9. Corruption                        -  Resources to Report Corruption 
                    -  10. Political and Security Environment 
                    -  11. Labor Policies and Practices 
                    -  12. U.S. International Development Finance Corporation (DFC), and Other Investment Insurance or Development Finance Programs 
                    -  13. Foreign Direct Investment Statistics 
                    -  14. Contact for More Information 

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#### The Lessons of 1989: Freedom and Our Future