It looks like we will have to continue the second semester of 2022 with five ambassadors. So the wait is on to see who will replace Mr. Alexis Rosado (Belize), Mr. Sergio Alfaro Salas (Costa Rica) and Mr. Roberto Ochoa Madrid (Honduras) in the near future. Meanwhile, HIM Ambassador Ivan Ogando Lora has taken over both the SICA (Central American Integration System) SICA and SIECA (Central American Secretariat for Economic Integration) presidencies from Panama on behalf of the Dominican Republic.

Meanwhile, at the request of BLCCA ( our umbrella association Belgian Luxembourg Chambers of Commerce abroad) we are also looking for a permanent Euracen representative in each of the eight countries we represent in Central America. Former Ambassador Lautaro (Nicaragua) and outgoing Ambassador Alfaro Salas (Costa Rica) have confirmed their willingness to take on that role in their countries. We will work in the coming weeks to find a suitable candidate in Belize, Dominican Republic, El Salvador, Guatemala, Honduras and Panama.

During the preparation of the June 24 "Ambassadors Dinner" we were able to reactivate the relationships with a lot of existing members and we spoke to a lot of potential new members. During that dinner, we also managed to put the ambassadors and their representatives in contact with a lot of potential "matching partners" for a number of projects in which Euracen will play a role as intermediary.

On our "to do" list are not only conversations or meetings with the Ambassador for Central America based in Panama and his counterpart from the European Commission, with representatives from EEAS, DG Trade, DG Agriculture, DG Mare, DG Devco, ... but also a number of visits to (member and not yet member) companies and presentations by entrepreneurs to our Ambassadors. Finally, in September we will pro-actively represent Euracen at the BLCCA Academy, which this year visits the province of Limburg.

As you can see, we don't have much time to sit back, but it is with some pride that we notice to what extent Euracen is earning not only the attention of a growing number of entrepreneurs and investors in Belgium and Luxemburg but also the interest of government representatives and private project owners on either side of the ocean.

Wish you all another safe and interesting summer month!

DOMINICAN REPUBLIC LEADS THE REGIONAL TOURISM PROMOTION AND INTEGRATION AGENDA DURING THE SECOND SEMESTER OF 2022.

This is the third time that the Dominican Republic holds the Pro Tempore Presidency of the Central American Tourism Council (CCT) since its incorporation into the Central American Integration System (SICA) in June 2013.

The Dominican Republic received the Pro Tempore Presidency of the Central American Tourism Council (CCT), and with it, assumed the leadership of the Board of Directors of the Central American Tourism Promotion Agency (CATA), a working platform from which it will be promoting a series of robust actions with the slogan "adapting regional integration for new challenges".

“Міd-уеаr ехроrt rеvеnuеѕ uр оvеr 25 реrсеnt,”
ѕауѕ thе Ѕtаtіѕtісаl Іnѕtіtutе оf Веlіzе

Ву Веnјаmіn Flоwеrѕ

Тhе Ѕtаtіѕtісаl Іnѕtіtutе оf Веlіzе іѕ rероrtіng thаt ехроrt rеvеnuеѕ fоr thе fіrѕt ѕіх mоnthѕ оf 2022 іnсrеаѕеd bу оvеr 25 реrсеnt whеn соmраrеd tо thе ѕаmе реrіоd lаѕt уеаr.

Тhе ЅІВ’ѕ lаtеѕt Ехtеrnаl Тrаdе Вullеtіn (ЕТВ) ѕhоwѕ thаt fоr thе реrіоd Јаnuаrу – Јunе 2022, thе vаluе оf ехроrtѕ tоtаlеd $251.8 mіllіоn, uр 25.9 реrсеnt оr $51.9 mіllіоn frоm thе ѕаmе реrіоd lаѕt уеаr, whеn еаrnіngѕ frоm dоmеѕtіс ехроrtѕ tоtаlеd $200 mіllіоn.

A Complete Guide to Opening up a Corporation in Costa Rica

Many expats coming to live or invest in Costa Rica decide or receive advice that creating a corporation is the best way to operate and protect their investment here. There are numerous reasons why they decide to proceed with that, but establishing a business, opening a bank account, or obtaining asset protection seem to be the most common ones. The initial process of a creating a new corporation is simple, but that does not mean people understand all details and extra obligations implied, and which is the right one required for their specific purposes.

The most popular and usual types of corporations are “Sociedad Anonima or S.A”. and “Sociedad de Responsabilidad Limitada or Limitada”. There are also other types of corporations that exist, which are: 1. Empresa Individual de Responsabilidad Limitada, 2. Sociedad en Nombre Colectivo, 3. Sociedades en Comandita, which are silent partnerships and 4. Sociedad Civil or Civil Company. These types of companies are seldom used because they do not differentiate between liabilities held by the company and those held by the stockholders.

One more type of structure that can also be used here is to choose the option of those owning an existing corporation outside Costa Rica, like in Panama, Canada or USA, to proceed opening a branch in the country. According to articles 5 and 226 of the Code of Commerce, they must keep the same name, have a Costa Rican corporate ID number and also to have a local appointed legal representative. The process of opening the branch needs to be performed through a Costa Rican notary public, for which is necessary to provide proof of the existence of the corporation on a different country.

Santo Domingo - It has been proven that improving women’s access to credit promotes their economic empowerment and translates into savings and investment for their households, a fundamental equation for accelerating a country’s economic reactivation.

Coffee growers to expand production
by more than 400 tareas in Jarabacoa

Santo Domingo- The Dominican Coffee Institute (Indocafé), the Jarabacoa Coffee Growers Association (Ascaja), and the Municipal Council for the Administration of Mining Funds will promote the expansion of 400 areas (300,400 square yards) of coffee in the communities of Paso Bajito and Hatillo to contribute to the strengthening of production and strengthen the reforestation process in the area.

Through an inter-institutional collaboration agreement, signed by the executive director of Indocafé, Leónidas Batista Díaz, the president of the Municipal Council, Rafael Paulino, and the president of Ascaja, Reyes Hernández, this proposal will be implemented through the planting of coffee and forestry plants, preferably timber and fruit trees.

Early bond buybacks could save El Salvador
between $100M and $150M

The Minister of Finance, Alejandro Zelaya, stated that the 2023 bonds rose around 80% last Tuesday, after President Nayib Bukele’s announcement, while the 2025 bonds rose 51%. The trend continued this Wednesday, and just around 11 in the morning, the price of the 2023 bond increased by 87% and that of the 2025 bond by 48%.

Zelaya stated that the initiatives approved yesterday by the Legislative Assembly will allow the international market and investors to reiterate their confidence in the country. One of these actions presented by the Executive allows the Central Reserve Bank (BCR) to allocate the Special Drawing Rights (SDR), funds that belong to the Republic and that when used will have an average of around $360 million. In addition, it included budget support from the Central American Bank for Economic Integration (CABEI), which is a disbursement of investment spending that we carry out as a government to address the effects of the international crisis.

Earliest evidence of Maya calendar found
inside Guatemalan pyramid

Mural fragments from between 200 and 300 BC with remnants of a “Seven Deer” glyph on them have been found inside the ruins of a pyramid in Guatemala.

The discovery marks the earliest-known use of the Maya calendar, an historical system created from movements of the sun, moon and planets which was based on a ritual cycle of 260 named days. Until now, the earliest definitive Maya calendar notation dated to the first century BC. The fragments were found at the San Bartolo archaeological site in the jungles of northern Guatemala, which gained prominence following the 2001 discovery of a buried chamber with elaborate and colourful murals dating back to around 100 BC depicting Maya ceremonial and mythological scenes. Pieces with the Seven Deer glyph – one of the calendar’s 260 named days – were unearthed inside the same Las Pinturas pyramid where the still-intact later murals were found 21 years ago.

Honduran economic zones in ‘limbo’ after government repeal 

By Marlon González, AP

TEGUCIGALPA, Honduras (AP) — A plan to create special self-governing zones for foreign investors in Honduras has been thrown into limbo with the new government’s repeal of a law many criticized as surrendering sovereignty.

A New Ambassador in Brussels

Zoila Yanira MULLER GOFF

Born in the Autonomous Region of the Northern Caribbean Coast of Nicaragua, she graduated with a Degree in Diplomacy and International Relations and holds a Masters Degree in International Cooperation and Management of Public Policies, Programs and Development Projects from the Meléndez Pelayo University and the Ortega y Gasset Institute in Madrid, Spain.
She began her professional career in the External Cooperation office in Puerto Cabezas, head city of the Autonomous Region of the Northern Caribbean Coast of Nicaragua. She worked in the Secretariat for Relations with Indigenous and Afro-descendant Peoples of the Ministry of Foreign Affairs of Nicaragua given her experience and training in the subject. Likewise, in this government institution, she worked as a Specialist in International Policies.
She was part of the coordinating team of the Master Plan Project for the Urban Development of the Municipality of Managua, carried out jointly by the Municipality of Managua and the Japan International Cooperation Agency.
In 2020, she became Minister Counselor at the Embassy of the Republic of Nicaragua to the Kingdom of Belgium and Mission to the European Union. In 2022 she was appointed as Ambassador Extraordinary and Plenipotentiary of this Mission.

How Panama is tackling climate change and deforestation

Environment minister Milciades Concepcion explained in an interview with the Tomas Returns Foundations, some of the ways Panama is working to combat climate change and deforestation.

(courtesy FocusEconomics)

GDP growth will moderate in 2022

Belize

Economic Outlook

Economic momentum in the first quarter likely cooled amid a less favorable base effect. Moreover, industrial output contracted notably and the merchandise trade deficit widened, further dragging on the overall economy. Moving into the second quarter, the removal of all Covid-19 restrictions from April onwards bodes well for the tourism sector. Following stellar growth in the first quarter, arrivals jumped just over 168% in April year on year, improving even further. This should feed back into firming domestic demand. However, elevated price pressures will likely impede household spending somewhat. Particularly, transport and food prices ballooned. Elevated inflation is linked to the spillover effects from the war in Ukraine, which has pushed up global energy and food commodity prices.

Economic Growth

The pace of economic growth is set to slow this year amid a tougher base effect and the fallout from the war in Ukraine: A higher import bill and greater inflation will weigh on activity. However, the removal of Covid-19 restrictions should buoy the tourism sector and support domestic demand in turn. A tighter labor market is set to further support household spending. FocusEconomics panelists forecast GDP to grow 5.8% in 2022, which is unchanged from the previous month’s forecast. For 2023, the panel sees the economy expanding 3.8%

Costa Rica

Economic Outlook

Growth in Q1 2022 likely slowed from 2021’s rally. Economic activity contracted in every month of Q1 2022 in seasonally-adjusted month-on-month terms due to rising inflation, interest rate hikes and the country’s worst Covid-19 wave to date. This trend should be lasting in Q2: The positive impact of rising commodity prices on the key exports sector is likely being outweighed by scorching inflation, steeper production costs and even tighter monetary policy. Still, a rebound in tourism and a region-leading vaccination scheme will be supporting activity. On 9 May, President Chaves declared a state of emergency after a Russia-based group of cyber attackers struck key government institutions, including the Ministry of Finance. The attacks have likely led to several million dollars in lost output already. In the longer term, the risk of future breaches may deter foreign investment and trade.

Economic Growth

In 2022, the economy should grow slower than in 2021 and below pre-pandemic averages. Economic slowdown among major trading partners will likely weaken investment and trade, while higher inflation will erode private spending. New Covid-19 variants, a fragmented parliament and sharp monetary tightening at home and in the U.S. further cloud the outlook. FocusEconomics panelists see GDP expanding 3.5% in 2022, which is unchanged from last month’s forecast, and 3.1% in 2023.

Dominican Republic

Economic Outlook

Momentum seemingly eased in Q1 2022, in part due to a tougher base effect. Economic activity moderated in annual terms in January–March amid a record-breaking wave of Covid-19 cases in January and associated restrictions. Moreover, a year-on-year fall in remittances and elevated inflation in Q1 should have dented private spending. However, late February’s scrapping of all pandemic-related restrictions for citizens should have cushioned household consumption’s fall. In addition, the tourism sector remained robust, with annual growth in visitor arrivals in Q1 picking up on an annual basis. Turning to Q2, domestic conditions remained muted: Economic activity grew at a 15-month low in April. Lastly, the IMF concluded its Article IV consultation in the country on 16 May. The Fund heralded the country’s resilience to external shocks thanks to sound fiscal policy.

Economic Growth

This year, the country is set to be one of the region’s top performers. The removal of all Covid-19 restrictions will boost domestic demand, while a buoyant tourism sector will also drive growth. That said, GDP growth should nevertheless moderate in 2022, largely due to a less favorable base effect, a normalization of economic activity and elevated commodity prices. FocusEconomics panelists see the economy growing 5.1% in 2022, which is unchanged from last month’s forecast, and expanding 4.6% in 2023.

El Salvador

Economic Outlook

The economy should have lost some steam in the opening quarter of the year. However, activity gathered pace in the tail end of the period. GDP expanded at a four-month quick pace in March on the back of firm expansions in the construction, real estate and financial services sectors. Less positively, activity in the industrial sector contracted year on year. Furthermore, household spending was likely hampered by a notable pickup in inflation amid pricier commodities due to the war in Ukraine. Softening domestic demand is further hinted at by moderating merchandise import growth in the quarter. Turning to the second quarter, domestic demand is expected to have cooled further. Despite easing slightly in April, inflation remained elevated and will have weighed on private consumption. Furthermore, rising core inflation points to more persistent price pressures.

Economic Growth

The fallout from the war in Ukraine and a tougher base of comparison will see the economy expand at a softer clip this year. Elevated inflation will dent household spending, although the rollback of Covid-19 restrictions and solid remittance inflows should support domestic demand. However, heightened debt and fiscal sustainability concerns pose risks. Our panelists see GDP expanding 2.3% in 2022, which is unchanged from last month’s forecast, and 2.0% in 2023

Guatemala

Economic Outlook

High-frequency data points to a slight moderation in economic growth in the first quarter. Firstly, the Central Bank’s monthly activity index recorded a softer expansion, on average, in the three months ending in March. Additionally, price pressures have risen in the same time frame and this—coupled with easing remittance inflows—bodes poorly for household spending. Finally, cooling goods import growth further underlines reduced domestic demand. That said, a smaller merchandise trade deficit suggests that the external sector will have dragged less on the economy. Momentum continued to moderate at the outset of the second quarter, as evidenced by an eight-month soft expansion in economic activity in April. Furthermore, inflation rose to a 14-month high in May and remittances growth eased on average in April–May, likely impeding private consumption.

Economic Growth

Economic growth is forecast to moderate this year on the back of a tougher base of comparison and the fallout from the war in Ukraine. Lingering pandemic-related uncertainty further clouds the outlook. However, domestic demand should be buoyed by softer Covid-19 restrictions and robust inflows of remittances. FocusEconomics panelists estimate the economy to grow 3.7% in 2022, which is unchanged from last month’s forecast, and to expand 3.2% in 2023

Honduras

Economic Outlook

Economic growth will have cooled notably in the opening quarter of the year. The Central Bank’s monthly index of economic activity registered softer growth on average in the period. The manufacturing sector lost steam in Q1. Additionally, consumer price inflation picked up pace through March, eating into consumers’ pockets and boding ill for private spending. Moderating growth in goods imports further points to easing domestic demand in the period. However, merchandise exports accelerated and drove a narrowing of the goods trade deficit; the external sector should have weighed on overall growth to a lesser extent. Turning to Q2, household consumption will have continued to be hindered by greater inflation, which rose to an over 13-year high in April.

Honduras Economic Growth

The economy will expand at a softer pace this year amid the military conflict in Ukraine and a tougher base of comparison. The war has pushed up global energy and food prices, eroding purchasing power. However, a rollback of Covid-19 restrictions and resilient remittance inflows should provide some respite to the economy. FocusEconomics Consensus Forecast panelists see the economy expanding 3.6% in 2022, which is unchanged from last month’s forecast, and growing 3.3% in 2023.

Nicaragua

Economic Outlook

The economy in Q1 failed to live up to Q4 2021’s double-digit growth, in part due to a base effect. An improvement in fixed capital growth wasn’t enough to outweigh the drags from slower expansion of exports and private and public consumption. In Q2, higher global fertilizer and fuel prices amid the war in Ukraine are likely depressing agricultural output. Rising import costs and inflation should also be denting private consumption despite strong remittances growth. Nevertheless, the government extended April’s price freeze on fuels and gas, with the measure to continue till late August, boosting household and public spending. In other news, on 7 June, President Ortega authorized the deployment of Russian military forces on home soil later in 2022, increasing the probability of new international sanctions.

Economic Growth

Growth this year should drop to a third of what it was in 2021, amid investment outflows and subdued consumer spending. U.S. sanctions will also hamper trade. The central bank’s tightening cycle, which took off in April to halt capital flight, may further stifle activity. Meanwhile, soaring import prices, political turmoil and further international sanctions pose risks to the outlook. FocusEconomics panelists see GDP expanding 3.0% in 2022, which is up 0.1 percentage points from last month’s forecast, and 2.4% in 2023.

Panama

Panama Economic Outlook

The economy grew at a solid albeit slightly softer rate in Q1 compared to Q4 2021, according to monthly economic activity data. This was chiefly driven by a tougher base effect and rising energy and food prices, which likely capped private consumption growth. That said, output in Q1 was stimulated by healthy copper exports and a recovery of Panama Canal activity. Turning to Q2, available data indicates that growth should be resilient despite rising global demand constraints. Construction output and new vehicle sales in April increased year on year. Meanwhile, the current high price of copper and the expected rebound in tourist arrivals should be further supporting growth. Furthermore, the dollarized economy as well as the recent price cap on fuel should alleviate the rise in inflation and thus mitigate the hit to households’ purchasing power.

Economic Growth

Growth is expected to remain strong this year, following last year’s rebound. The overall expansion should be fueled by increased activity in the transportation sector, higher tourism arrivals and healthy copper exports. Rising inflation, the current account deficit and high debt levels are downside risks to the outlook. FocusEconomics Consensus Forecast panelists foresee the economy expanding 7.1% in 2022, which is up 0.1 percentage points from last month’s forecast. For 2023, the economy is seen growing 5.0%

BELIZE

As a Chamber of Commerce, Euracen has every interest in having a good connection with the cabinet of Foreign Affairs which in our country is also responsible for Foreign Trade. Although Euracen wishes to adopt a politically neutral stance at all times, it cannot be denied that the incident below can have an impact on the image and reputation of Belgian companies that are active in the Central American region or that may wish to participate in projects in the region. That is why we decided to publish the article below.

Belgian Foreign Minister causes tensions with Ukraine over Crimea visit

Belga photo James Arthur Gekiere

Foreign minister Hadja Lahbib pictured during a press conference on the occasion of the inauguration of the Kyiv Independance Column and a miniature staging symbolizing the movement of solidarity from Europeans to Ukrainians at Mini-Europe, Brussels on Tuesday 26 July 2022. 

Wednesday, 27 July 2022 - Newly appointed Belgian foreign minister Hadja Lahbib has drawn the ire of Ukrainian commentators following a journalistic visit to Crimea in 2021. The region has been under illegal Russian occupation since 2014 when it was annexed by invading Russian forces.

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The new foreign minister, a former long-time journalist with French-language broadcaster RTBF, was reported to have visited the peninsula as part of a documentary on the arts. It has emerged that that the controversial trip Belgian foreign minister Hadja Lahbib (Francophone liberal) made to Crimea last year was paid for by a theatre festival in which the daughter of Russian President Putin plays an important role. Ms Lahbib made the trip in her then capacity of journalist for the Francophone public broadcaster RTBF.

Already under intense scrutiny from the Belgian public, many of whom believe that the Mouvement Réformateur politician is inexperienced for the role, Lahbib’s visit to Crimea has outraged many Ukrainians.

See also: https://www.facebook.com/10000...

8th Environment Action Programme:
EU sets out to measure progress on Green Deal environment and climate goals

The European Commission presented a list of headline indicators for monitoring progress towards the EU's environment and climate goals to 2030, as well as the 2050 long-term vision to “live well, within planetary boundaries”.

Background

The 8th Environment Action Programme entered into force on 2 May 2022 and includes an obligation for the Commission to present a monitoring framework, based on a limited number of headline indicators. These should include, where available, systemic indicators that address interlinkages between environment-social and environmental-economic policy considerations, respectively.

The 8th EAP aims at accelerating the green transition in a just and inclusive way, with the 2050 long-term objective of ‘Living well, within planetary boundaries', already established in the 7th programme (2014-2020). For more than 40 years, these action programmes have provided the EU with policy frameworks that deliver results and ensure predictable and coordinated action for Europe's environment and climate change policies.