Tourism investment & finance 21 Unit 2: Evaluate Investment Environment

Legal and Regulatory Transparency 
— The investor needs a complete and easily understood 
picture of rules, regulations, and requirements governing investment. In some countries, the 
investment code is simply a guideline and the investor must research and examine other 
legislation, including the tax code, labor laws, property laws, and rulings and judgments from 
relevant authorities. Because all rules might not be in one place, the cost of gathering 
information and the risk of violating obscure laws are considerably increased. Specific 
regulations of concern include:
•
Zoning laws:
Laws that control the location of businesses and type of and limits to 
development in an area (height, density, type of business, construction, 
environmental impact, etc.)
 
RESOURCE 2.2 
 
I
NTERNATIONAL 
F
INANCE 
C
ORPORATION 
(IFC),
 
D
OING 
B
USINESS 
R
EPORTS 
 
Viewed by many as the most authoritative global guide to international business, the IFC’s 
annual Doing Business Report ranks 183 countries on a range of measures related to the 
ease of doing business, including 
•
Starting a business 
•
Dealing with construction permits 
•
Registering property 
•
Getting credit 
•
Protecting investors 
•
Paying taxes 
•
Trading across borders 
•
Enforcing contracts 
•
Closing a business 
The report also tracks efforts by countries to improve their business environments, and thus 
proves a powerful incentive for countries to adopt more pro-business policies.
www.doingbusiness.org/~/media/FPDKM/Doing%20Business/Documents/Annual-
Reports/English/DB11-FullReport.pdf
 

---

TOURISM INVESTMENT & FINANCE
24 
•