Foreign investment in Andorra, on the rise

Interview with Jordi Marticella, CEO of Integrals Serveis 21.

What is the current economic situation of the Principality of Andorra?

Although Andorra has suffered the economic consequences of COVID-19, like any other country that depends on tourism, Andorra is currently recovering at an exceptional rate as a result of government efforts, the initiative of retailers and entrepreneurs, the economic and social legacy of previous years and the growth of foreign investment.

About this last point, what are the current figures for foreign investment in Andorra?

At the end of this month of June, the Government of Andorra made the figures of foreign investment public, announcing that they are recovering and even exceeding those of 2019, the year before the pandemic.

How does it translate into figures?

During the first semester, the Andorran administration authorised 535 projects with an investment of 444 million euros, while in 2019 they authorised 276 with a total amount of 189 million euros. It is important to highlight that investment in real estate has also experienced a notable increase: the number of official investments, mainly from Spain and France, has grown from 193 to 213 during this year.

What is your opinion?

After a slow 2020, as a result of the pandemic, these are very positive figures for the country. The development of new companies in the Principality of Andorra will not only result in an equity injection into the country’s finances, but will also bring innovation, technology, new services, and the expansion into new high-value markets. I think it is an impulse for global and diversified economic growth.

What kind of companies are interested in Andorra?

Andorra is a modern country that benefits from a stable political and social framework, an attractive tax system, a strategic geographical situation, a unique natural environment and a dynamic economy. This makes Andorra one of the most interesting countries to invest in and a place that welcomes all kinds of projects, from internationally renowned pharmaceutical laboratories to start ups, professional athletes and even YouTubers, who find Andorra offers an extremely attractive business model.

How can a foreign company become established in Andorra?

Andorra is currently in an opening process that allows investments of 100% foreign capital, so that interested companies can get established in the country quickly and effectively. There are also companies, such as IS21, which offer comprehensive services to respond to the needs of investors that are interested in Andorrra.