Industrial Parks Report - 2024

• Uruguay is a country with a great history of political, democratic and social stability, and macroeconomic soundness that provides a suitable environment to develop successful investments. The economy has been resilient to recessionary pressures in the region over the last few years, and Uruguay is currently the most equal country with the highest per capita income in Latin America.

• Uruguay's strategic location operates as a gateway to the region, while its time zone and cultural proximity facilitate the business climate with major global markets. Moreover, Uruguay offers first-class logistics infrastructure, state-of-the-art telecommunications technology and the best energy supply in Latin America based on renewable sources.

• The main rating agencies have ratified Uruguay with Investor Grade. This reflects the confidence the institutional framework of the country and the conduction of the economic policy generate. Only three countries in Latin America – Uruguay, Peru and Chile – have this type of rating, which, in the case of Uruguay, has improved and has continued to improve in recent years.

• The Uruguayan legal framework provides the broadest guarantees and clear rules of the game, in addition to granting attractive incentives to investors. The Investment Promotion and Protection Law No. 16,906, passed in 1998, provides an attractive regime for investment in Uruguay. Foreign investments receive the same treatment as domestic investments by law.

• Uruguay offers important advantages for the operation of Industrial Parks (IP) for both the developer of parks and the user companies that settle in them. The Law 19,784 with its recent regulatory decree 79/020 and its amending decree 408/022, provides incentives for companies wishing to set up in these parks. In particular, the installation in IP's increases the benefits granted by the Investment Promotion Law, and grants specific tax credits.

• Industrial Parks improve the production costs of the companies due to economies of scale and lower costs, since they share services such as electricity, water, internet, cleaning, waste disposal and security, among others, as well as physical infrastructure (roads, lighting, effluent treatment, etc.).