Dominican Republic is located in the central zone of the Antilles, in the eastern two-thirds of the island of Hispaniola. Bordering on the north by the Atlantic Ocean, on the east by the Mona Channel, separating it from Puerto Rico, on the south by the sea Caribbean, and to the west with Haiti, which is the other country located in Hispaniola. With 48,670 sq. km and a population of more than 10,785,000 inhabitants, is the second largest and populated country of the region, after Cuba. Its capital is Santo Domingo and its official and most spoken language is Spanish. The currency of legal tender is the Dominican Peso (DOP), although the US dollar is involved in almost all commercial transactions, and together with the Euro, is widely accepted in most tourism avenues.
The Dominican Republic economy is the largest in Central America and the Caribbean and one of the fastest growing worldwide, reaching 7-8% annual growth rates during the last 3 years (2014-2016). Its economy depends mainly on agriculture (sugar, bananas, cocoa and rice), services (tourism), mining (ferronickel, gold, silver, copper, plaster, salt, clay, industrial minerals) and foreign trade (commodities and mining). Although the services sector is the main employment provider, agriculture still remains the most important domestic consumption sector and the second, behind mining, in terms of exports. Remittances of Dominican citizens living abroad, mainly in US, are a relevant contribution to its GDP.
The Dominican Republic is also an attractive spot for manufacturing companies conducting international trade. It has several free trade areas, where its established companies benefit of a 100 percent exemption from all taxes, duties, charges and fees affecting production and export activities. In addition, foreign-source income is exempt from taxation, except those arising from investment and financial gains. However, foreign tax paid can be credited up to the amount of the tax payable in the country.
At Flag Theory, we are committed to offer you the best internationalization options to increase your privacy, freedom and wealth. Below, you can find why and how to set up a company and do business in Dominican Republic, banking and investment options and how to get residency and eventually citizenship in this Caribbean jurisdiction.