This is the opinion of some market participants, such as the Invercasa brokerage firm, who believe that the law governing the securities market is robust, but needs to be reformed in order to encourage private participation.
One of these reforms is the inclusion of innovative investment vehicles that would allow public works financing through the stock market, said Edgar Gutierrez, head of Invercasa.
However, not everyone agrees with these proposals. Representatives from Parliament believe that although it is necessary to consider some modifications, they are not urgent in nature.
An article in Diario.com.ni states: "Wálmaro Gutierrez, chairman of the Committee on Production, Economics and Parliament's budget, said that article three of the Act states that all securities transactions are exempt from all taxes. However, he noted that income from operations in the Stock Exchanges are subject to current taxation. "The argument is if, as well as exonerating the transaction, the beneficiary of the transaction would also be exempt from charges", explained the senator. "
Source: elnuevodiario.com.ni
More on this topic
September 2011
In July the operations of the Stock Exchange reported growth of 28% compared to same month in 2010.
Estimates for the end of 2011 show a 24% increase, on the basis that between January and August transactions totaled more than $465 million.
Elnuevodiario.com.ni reported statements by Edgar Gutierrez, general manager of brokerage firm Invercasa, "The growth is partly due to excess liquidity in the economy, issues by the Central Bank of Nicaragua (BCN in Spanish), negotiations that have occurred in the secondary markets on Compensation Payment Bonds (BPI) and also more activity in repurchases. "
August 2011
The supply of investment alternatives will be broadened with the authorization granted to Invercasa.
Nicaraguan investors will now have more options for their investment portfolios, now that the Invercasa stock exchange has received authorization from the Superintendency to sell Costa Rican sovereign debt bonds.
February 2012
Business leaders see the government’s tax reform bill as insufficient and analysts suggest including more sectors in order to stimulate economic activity.
The Superior Council of Private Enterprise (COSEP) has stated that the tax reform bill that the government has sent to the National Assembly, was not consulted on with the private sector and they consider it "inadequate", reports El Nuevo Diario on its website.
January 2012
The Nicaraguan dairy industry is calling on lawmakers to exempt cheese processing plants from paying the Selective Consumption Tax (ISC) and VAT on raw materials.
The industrial processing of cheese should be exempted from payment of ISC and VAT, so say the Chamber of Industry of Nicaragua (Cadin), which has asked the National Assembly to extend the tax breaks suggested by the Executive.
español
1895
