18^th February, 2010

 Review of the Investment Policy – Cook Islands Investment Code 2003

The Business Trade Investment Board (BTIB) is in the process of reviewing it’s policy on foreign investment, namely the Cook Islands Investment Code 2003. This policy is a derivative of the Foreign Investment Act 1995 -1996 that provides direction on foreign direct investment in the Cook Islands.

Under the current policy, The Investment Code promotes and encourages foreign investment in the sectors of Agriculture, Marine and certain Tourism areas. These are called PRIORITY AREAS OF INVESTMENT.

There are certain areas that are RESERVED for Cook Islanders only. Sectors such as:

• agriculture
• marine resources
• tourism
• manufacturing and production

This means that foreigners cannot carry on business in these areas.

However, there are EXCEPTIONS:

For Example:

• In the case where an enterprise has been advertised for sale for more than one month and has not been sold, foreign investment applications for the purchase of the business will be considered by the Board.
• There is a considerable demand for a certain activity.
• The foreign enterprise is a joint-venture with a Cook Islander.
• The capital investment injection exceeds 1 million dollars.

Criteria for foreign investment include:

• Whether there is a demand for the product or service.
• Whether the product or service is currently not available in the Cook Islands.
• Whether there is a substantial participation of Cook Islanders in the enterprise.
• Whether the proposed activity involves innovations, new processes or products, or new skills and technology.

The decision for foreign investment approvals are made by the Board of Directors. BTIB is looking to update and refine this policy to ensure that all investment solutions made by the Board is the best for all Cook Islanders.

For more information of the Investment Code 2003 or it’s review contact our office on:

Phone: (+682) 24-296

Fax: (+682) 24-298

Email: This e-mail address is being protected from spambots. You need JavaScript enabled to view it ;