1 / 23

DOING BUSINESS - TOURISM – IN ALBANIA

UK-Albania Investments Forum, London, 22 Oct 2010. DOING BUSINESS - TOURISM – IN ALBANIA. KALO & ASSOCIATES is active in the legal market for over 15 years acting as legal counsel to major investors, and IFIs . Some of our clients :. UK-Albania Investments Forum, London, 22 Oct 2010.

gunnar
Download Presentation

DOING BUSINESS - TOURISM – IN ALBANIA

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. UK-Albania Investments Forum, London, 22 Oct 2010 DOING BUSINESS - TOURISM – IN ALBANIA

  2. KALO & ASSOCIATESis active in the legal market for over 15 years acting as legal counsel to major investors, and IFIs. Some of our clients: UK-Albania Investments Forum, London, 22 Oct 2010

  3. UK-Albania Investments Forum, London, 22 Oct 2010 YESTERDAY–The check list of investors was quite long: type of legal system, type of vehicle, entry options, cost of starting and continuing a business, form of government support, tax, employment cost and rules, safety, incentives, re-imbursements, exit options, etc. TODAY – Check list is rather short, Albania being a member of NATO, a member-candidate to EU and signatory of many conventions on investment protection and enforcement of claims, so there are less questions on the list

  4. UK-Albania Investments Forum, London, 22 Oct 2010 QUESTIONS NOW INVESTORS ASK ARE OF A PURE LEGAL NATURE: • status of title of land • fairness in tender processes/appeals • secured transactions system • enforcement of contracts and • enforcement of claims

  5. UK-Albania Investments Forum, London, 22 Oct 2010 STATUS OF TITLE OF LAND - Restitution process. - Legalization process - From-scratch registration. - Recent amendment to FDI Law - Amendment of expropriation law enabling GOA to take land for important projects

  6. UK-Albania Investments Forum, London, 22 Oct 2010 FAIRNESS IN TENDERS/LICENSING Procurement, Concession, Economic Zones laws establish tender procedures (often tender documents are specified by Council of Ministers resolutions) One guarantee is evaluation commission is not part of drafting of tender documents

  7. UK-Albania Investments Forum, London, 22 Oct 2010 FAIR TREATMENT OF APPEALS We are witnessing introduction of several new special structures, like: Public Procurement Appeal Commission Ombudsman Procurement “Ombudsman” Taxpayers “Ombudsman” gover

  8. UK-Albania Investments Forum, London, 22 Oct 2010 SECUREDTRANSACTIONS SYSTEM A modern secured transactions system which recognizes all forms of security interests that exist in modern societies will developed financial markets. All financing transactions are secured through mortgages, possessory pledge and non possessory pledge and registries deal with such security routinely

  9. UK-Albania Investments Forum, London, 22 Oct 2010 ENFORCEMENT OF CONTRACTS - Civil Code offers sufficient guarantees - “Doing business” culture has improved - Government Contracts – no difference, except Governing Law restrictions - Limitation of liability issue

  10. UK-Albania Investments Forum, London, 22 Oct 2010 ENFORCEMENT OF CLAIMSLocal courts will usually handle disputes with public administration, whereas contract disputes can be resolved elsewhere Recognition of foreign judgments/awards An additional force of private bailiffs recently introduced as licensed

  11. UK-Albania Investments Forum, London, 22 Oct 2010 INVESTMENT OPPORTUNITIES:  Energy and Natural Resources  Communications/Technology  Tourism, Leisure, Hotels  Food/Beverages  Infrastructure (ports, roads)  Agriculture  Retail/Commercial Centers Air Transport

  12. TOURISM regularly defined as a Strategic Sector UK-Albania Investments Forum, London, 22 Oct 2010

  13. LEGAL FRAMEWORK • International Conventions • Foreign Investments • Small Entrepreneurs/Company Law • Tourism Law • Policy Statement 2007-2013 • Regulation on Water Tourism UK-Albania Investments Forum, London, 22 Oct 2010

  14. NEW INSTITUTIONS Inter-ministerial Committee Advisory Committee of Private Sector Information Centers in 12 Counties UK-Albania Investments Forum, London, 22 Oct 2010

  15. STATE AID State aid in tourism is to be granted in accordance with Albanian Tourism Law and State Aid Law, and also with SAA, CEFTA. It can be provided in the form of: Subsidies , grants, soft loans; guarantees Tax exemptions or deferrals, lowering of tax rates; Lowering of social security contributions; Equity participation Role of National Tourism Agency (NTA): Support investors in tourism sector to secure financing; Managing the national fund for tourism development UK-Albania Investments Forum, London, 22 Oct 2010

  16. EFFECTIVE DOUBLE TAX TREATIES: Austria, Belgium, Bosnia Herzegovina, Bulgaria, China, Croatia, Czech Republic, Egypt, France, Republic of Macedonia, Greece, Hungary, Italy, Kosovo, Latvia, Luxembourg, Malaysia, Malta, Moldova, Netherlands, Norway, Poland, Romania, Russia, Serbia, Slovenia, South Korea, Sweden, Switzerland and Turkey. DOUBLE TAX TREATIES EFFECTIVE 1.1.2011 Estonia, Germany, Ireland and Kuwait. UK-Albania Investments Forum, London, 22 Oct 2010

  17. REGULATIONS The sector is regulated: Regulations for hotels, restaurants, travel agents/agencies, tour operators, souvenirs shops, touristic villages, tour guides, designing and building of tourist units UK-Albania Investments Forum, London, 22 Oct 2010

  18. SECTOR’S OPPORTUNITIES - Privatization of assets under Defense Ministry - Investments in the southern coast - Albania good location is fit for business tourism - Industrial parks and complexes - Access to 500 million Euros government has allocated in the 2011 budget for UK-Albania Investments Forum, London, 22 Oct 2010

  19. WHAT INVESTORS EXPECT: (i) Finalization of restitution/legalization process (ii) Law enforcement (construction, environment) (iii) Specific industry incentives (bonuses, VAT) (iv) Clear cut powers of local-central government …to be continued… UK-Albania Investments Forum, London, 22 Oct 2010

  20. WHAT INVESTORS EXPECT: …continued (v) Mapping and Urban Planning (www.gc-al.com ; http://tpi.mcata.org.al:8080/Map.aspx) (vi) a better coordination with local authorities (vii) improve websites, including GIS/GPS (viii)improve education, continued training UK-Albania Investments Forum, London, 22 Oct 2010

  21. CLOSING NOTE TO INVESTORS: Albania is a country with great potential and recently has demonstrated to have a healthy business environment, however it is recommended to: Due diligence on Status of Title/Standing of Target or Terms of Green Field Project Check bankability of project and financing terms  Engage in negotiations on Terms of Contract(s). Try to mitigate the risk of payment of purchase price (Escrow is recommended)  Ensure investment benefits the special State protection UK-Albania Investments Forum, London, 22 Oct 2010

  22. Hope these slides were useful! However, should you have questions feel free to contact us at: www.kalo-attorneys.com UK-Albania Investments Forum, London, 22 Oct 2010

More Related