With the advent of Liberalization and Globalization there has been a huge surge in businesses wanting to invest in various countries around the world. Keeping this in mind, the government of New Zealand is keeping no stone unturned to attract investors to invest in New Zealand. They are offering a whole lot of opportunities to businesses from all around the world to invest in New Zealand.
Investing in New Zealand has become more than relocating; it has now become a process of total regeneration of businesses. With strong Economic Fundamentals, solid infrastructure and competitive business costs, New Zealand is surely one of the best places to invest.
The Strong Economic Fundamentals
New Zealand's efficient, market-driven economy is suitable for investors as it provides a variety of benefits such as economic stability, comprehensive free-trade agreements, and an active government support for investment. All these factors have made New Zealand one of the most desired locations for investments.
Economic Stability: With more than a decade of economic restructuring, New Zealand now has a stable economy which is well accelerated for long term international competitiveness. The privatization of several utilities and state services, such as postage and rail services, has given rise to the most efficient and competitive friendly economies in the world. Furthermore, a free and independent media in New Zealand ensures a high level of transparency in the corporate and government decision making processes.
Comprehensive Free-trade Agreements (FTA's): The recent economic co-operation agreements with countries such as Singapore and Thailand and China have substantially increased the size of consumer markets in New Zealand.
Infrastructure for Business
New Zealand has all the necessary infrastructures needed to start and sustain a business. Locally, New Zealand makes use of the fast digital and wireless networks for communication to communicate globally and the country has a set range of airline services and high capacity submarine fiber-optic cables.
Transport and Logistics Connections
New Zealand has a chain of extensive road and rail transport systems, effective inter island links, privately run deep water ports which are served by 30 global and regional shipping lines, and all these at internationally competitive prices. It also has International airports in seven major urban centers across the country which provide services from all the major international airlines
New Zealand's overall energy self-sufficiency hovers around 90 percent and is projected to grow at a rate of 1.1 per cent per annum between the years 2000-2025. This growth will be mainly dominated by geothermal energy generation which is expected to grow at 3.5 percent per annum. New Zealand's energy supply through wind power is also expected to grow at a rate of 17 percent per annum.
Highly-advanced telecommunication infrastructure:
New Zealand's telecommunications infrastructure involves five international submarine cable systems and four on-shore mobile networks. Its Southern Cross Cable is solely responsible for delivering 240 Gbit/s of fully protected bandwidth to the US mainland, Australia, Fiji and Hawaii.
Research and Development (R&D)
International investment has now become a fundamental to New Zealand's science and technological innovations. Nearly 40 percent of all the New Zealand's Research and Development Expenditure comes from the private sector. It also has a huge track-record of commercially successful products and solutions, discovered through government funded research organizations/university partnerships. Its Nine Crown Research Institutes (CRI's) produce the world-leading public researches and spin-off viable ventures such as small molecule synthesis for pharmaceutical production and earthquake monitoring systems.
Competitive Business Costs
Efficacy for starting-up business
Believe it or not, it only takes three days to start a new business in New Zealand. The process of starting a business is also one of the simplest and the easiest among all the Organization of Economic Co-operation and Development (OECD) countries. It ranks third in cross-border transactions with foreign partners and scores more than other developed countries such as the USA, Australia, Ireland and Germany.
Competitive Property Prices and Liberated Labor Market
Office rental rates and industrial construction costs in New Zealand are also one of the lowest amongst all the developed countries in the world. Efforts are also on to maintain a liberal foreign investment environment in order to reduce compliance costs.
Competitive Energy and Communication
New Zealand's liberal energy sector and natural resources have gifted the country with one of the lowest electricity costs for industrial use in the past few years. The vibrant competition between several major telecommunication providers is also an added advantage for businesses in New Zealand.
With so many business friendly aspects, New Zealand is surely a place which every investor must look for. All these competitive advantages give New Zealand the edge and make it a cynosure for investment among all the leading countries in the world.