Currently, there is a series of Initiatives of Law in the Congress of the Republic of Guatemala whose approval is expected to reactivate the economic dynamics of the country. With the support of the Ministry of the Economy, the Presidential Commission for Competitiveness and Investment and the private sector, the process of approving them will be streamlined so as to strengthen the economic sectors of road infrastructure, coffee production, access to housing and the business climate.
The first of these is Initiative 5431, which proposes the creation of a General Law on Road Infrastructure through which it prioritize, regulate and promote the public-private cooperation to optimize the improvement of roads with a more sustainable model that allows participation of the private sector in public projects of that subject.
Likewise, Law 5484, which seeks to create the Housing Savings Institute as a solution to the housing deficit of the country, is accompanied by others such as the 5500 that seeks to create the Trade Promotion Institute to promote the country as an investment destination; Initiative Law 5498 that seeks the Economic Reactivation of Coffee and Law Initiative 5456, which request to create an Insolvency Law, which prevents companies from closing through mechanisms so that they can reorganize.
The potential approval of these laws would have a positive impact on foreign and domestic investors and companies, since it would improve the legal climate to do business, granting certainty to those who participate in commercial projects of any kind in the country. The deputies of the Congress of the Republic plan to discuss all the bills in the coming days, so a significant improvement is expected to the economic legislation for this year.
Senior Associate
García & Bodán
Guatemala