This section provide a brief summary of the Niue business environment, some of the attributes mentioned have more details included in the other sections of this site www.investniue.com. The quality and attractiveness of the Niue business environment lays in its simplicity, mainly because of Niue being small, good infrastructure and the Government that is very supportive on foreign investment.
1. Political Environment;
- Niue has political stability. Niue’s current Premier Hon Toke Talagi is now is his second term as Premier of Niue. He was re-elected after the May General Election 2011with 11 votes from the 20 members Legislative Assembly of Niue.
- There is a high level of Government support for foreign investment in Niue, with Cabinet responsible directly for any decision regarding foreign investment on Niue.
2. Macroeconomic Environment
- The Niue Integrated Strategic Plan 2003-2008 (NISP 2003-2008) fully supports foreign investment under the Economic Development section, which is to seek and encourage venture capital investment and skills and technology transfer.
- Economic Development will be promoted through targeting assistance to areas in the private sector with maximum potential, maximising use of Niue’s resources in a sustainable manner, encouraging foreign direct investment and trade, and developing and maintaining key infrastructure.
- Private Sector 1) Promote, assist and support a vibrant private sector. 2) Form and foster partnerships with non-government organisations.
- Agriculture Facilitate agricultural development of products with proven commercial merits, particularly vanilla, through research and product and market development.
- Fisheries Increase the returns from the fisheries resource in a sustainable and responsible manner.
- Tourism Increase tourism in a responsible and sustainable manner taking advantage of our clean, green environment and cultural and social values.
- Trade And Marketing Promote and secure markets for our products.
- Investment Seek and encourage venture capital investment and skills and technology transfer.
3. Market Opportunities
- The local market for some products and services is limited, but will not be limited under a dynamic tourism developments we have at the moment;
- There are also direct access to the New Zealand, Australia and Pacific Islands Markets;
- The availability of free internet access in Niue at broadband speeds makes it easier to deliver some of the services to any market anywhere in the world without problem at all.
4. Policy towards free enterprise and competition
- Niue has policies that free enterprise and competition.
5. Foreign Investment
- Foreign investment is encouraged, in 1993 the Government of Niue formed a couple of joint venture investment with the Reef Group from New Zealand in the areas of fishing, noni and lime.
- Privileges and protection for foreign investment under the Development Investment Act 1992.
6. Foreign Trade and Exchange Controls
- Niue have policies fostering foreign trade;
- Exchange controls is pretty much under New Zealand controls, the New Zealand currency is used in Niue;
- Government may exempt tax and offer concession on grounds of mutual benefits;
- Tax holiday may also be granted to support the development of industries;
- The Bank South Pacific and the Niue Development Bank also offer financial services;
9. Labour Market
- Despite Niue’s small labour force, labour can be sourced when required to meet development needs, including selecting the labour force with the right skills;
- Niue education system adopted the New Zealand curriculum, with primary and secondary education compulsory under law, many Niueans went on to study in the New Zealand, Australia and regional universities for higher qualification. Niue also have a large population of qualified professionals living in Australia and New Zealand, and they can be encouraged to come back and work in Niue, because most of their families migrated overseas to find jobs.
- The infrastructure in Niue is pretty much developed compared to the rest of the Pacific.
- Electricity is available all around Niue from the underground cables laid under the main road around Niue.
- Tap water is available in all the villages; larger storage tanks can also be used for storing water if required.
- Most of the roads are sealed, there are also access roads to scenic sites and coastal areas;
- Telephones are also available around Niue;
- Free Internet access is also available all around Niue, via a wireless (WiFi) connection operating at a broadband level.