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05-12-2017 MAR contributes to Portugal's inclusion in Qualship 21 For the first time, vessels under the Portuguese flag have been included in the Qualship 21 Index...

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11-10-2017 Madeira's IBC intensive promotional activity till the end of 2017... In the last quarter of the year, S.D.M. will conduct promotional missions to six more countries t...

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11-10-2017 MAR continues to show a positive growth trend... The continuous and positive growth of companies in the International Business Centre of Madeira i...

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11-10-2017 Licensing of new companies keeps growing Between January and the end of July, 121 new companies were set up within the International Busin...

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23-10-2015 MSC registers vessels in MAR MSC - the Mediterrenean Shipping Company, the second largest shipping company in the world and wh...

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22-09-2015 MAR with better conditions to compete internationally The amendments to the legal framework of the International Shipping Register of Madeira - MAR rec...

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Agreements on the Mutual Promotion and Protection of Investments

Portugal has concluded approximately 50 Agreements on the Mutual Promotion and Protection of Investments and 39 of them are already in force.

Given the risk that certain investments abroad involve, the existence of these agreements within the Portuguese legal framework is noteworthy and relevant both for domestic and foreign investors wishing to invest in these jurisdictions through a Portuguese company.

These agreements are mainly concluded with the purpose of creating favorable conditions for the promotion and creation of investments in the territory of both Contracting Parties.

Furthermore, alongside the purposes mentioned above, these agreements provide, on a reciprocal basis, a most favorable treatment of investors and ensure that its investments are given an exceptional protection. Actually, these agreements provide that investments from an investor of one Contracting State within the territory of the other Contracting State cannot be nationalized, expropriated or be subject to any similar measures therein, except in cases of overriding public necessity and provided that a fair compensation, calculated according to the market value, is paid to the investor harmed.

In this context, whenever investors are considering investments in jurisdictions with higher risks involved, and whenever these jurisdictions have concluded an agreement on the Mutual Promotion and Protection of Investment with Portugal, the incorporation of a company within Madeira’s International Business Center may render them unique advantages and protection guarantees.

Indeed, through the incorporation of a company within Madeira’s IBC, investors will not only benefit from a favorable tax regime, but also from relevant instruments of promotion and protection of its investments.

Check the list of jurisdictions with which Portugal has concluded an Agreement on the Mutual Promotion and Protection of Investment and which of them are not yet in force:

Agreement on the Mutual Promotion and Protection of Investment
(in force)
Albania Egypt Mauritius Slovaquia
Argelia Germany Mexico Slovenia
Argentina Guinea Bissau Mozambique South Korea
Bulgaria Hungary Paquistan Timor
Cape Verde India Paraguay Tunisia
Chile Latvia Peru Turkey
China Libya Philippines Ukraine
Croatia Lithuania Poland Uruguay
Cuba Macau Romania Venezuela
Czech Republic Morocco Serbia  

Agreement on the Mutual Promotion and Protection of Investment
(not yet in force)
Angola Gabon Qatar Uzbequistan
Bosnia Kuwait Russia Zimbabwe
Brazil Morocco
(new agreement approved in 2008)
Sao Tome and Principe  
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