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16-03-2020 Information about SDM's Services during the national alert state... Having in view the prevention measures resulting from infection by “Convid-19” and in accorda...

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18-11-2019 SDM promoted Madeira's IBC at the Web Summit... The number of high-tech companies (ICT’s) operating within the framework of the International B...

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25-10-2019 MAR now accepting electronic certificates A new digital system allowing for the issuing of electronic certificates for crew and vessels......

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09-10-2019 MAR in the top 15 shipping registers of the world... “The International Shipping Register of Madeira (MAR) achieved a new level of international......

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25-09-2019 An IT company in Madeira innovates on the Internet of Things... “Originally, we came to Madeira because it is a wonderful place to live and didn’t have big p...

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24-09-2019 TV APP pleased with Madeira as a business location... TV APP Agency is a company operating in the International Business Centre of Madeira, whose main....

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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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