U.N. reports on investments into offshore jurisdictions: BVI and CI are the leaders

According to the recent U.N. report, last year companies invested US$72 billion into two British offshore jurisdictions – the British Virgin Islands and Cayman Islands. Investment flow into the BVI and the CI was corresponding to the historical averages, but the source of investments in the last years were developing countries.

In the years 2010-2014, Hong Kong, the US, China and Russia were the top four investment sources. The U.N. report said that companies moving money between jurisdictions to save on taxes are “a key concern for policy makers”. It noted that “special purpose entities” (SPEs) were typically subsidiaries that had little connection to the local economy but held assets or liabilities or raised capital.

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