This presentation was delivered by Martin St-Hilaire, CPA, Chairman of the FCA, to the Revenue Task Force put together by the Government of Vanuatu.
A growing economy creates wealth. More wealth means more revenue for the government to use for public expenditures.
Only the private sector creates wealth, which makes it the engine of the economy. The Government can help by promoting policies and legislation that are business friendly.
A business friendly environment indirectly translates into better education and healthcare services to the population, which in turn contribute to a business friendly environment.
The Government also has the power to negatively affect growth through fees, taxes and red tape that make doing business costlier and more difficult.
Avenues to explore:
- Simplifying and/or removing unnecessary regulatory burden
- Developing new industries such as Digital Assets
- Investing in a significant overhaul of the legislation that regulates the IFC
- Improving the environment in order to be more business friendly
- Creating new Business Visas, Residency Visas, Digital Nomad Visas
- E-government, digital identity, digitization of all public administration
- Increasing market competition for the benefit of consumers
