Economy and Infrastructure

The infrastructure of Gibraltar is highly developed, with all necessary support services for new business growth.

The existing highways provide easy access to Spain. The single airport provides direct flights to the UK and to Morocco. A Cruise Liner Terminal has modern facilities for cruise passengers that visit Gibraltar in large numbers.

The economy of Gibraltar has a number of constraints to its development, including its small size, lack of natural resources and lack of population. All that makes any type of domestic activity unavailable due to market size. Economic diversification includes strong emphasis on financial services, registration of Gibraltarian companies, tourism, retail activities, ship repair and conversion and port services.

Since the opening of the border with Spain in 1985, the level of tourism and investment has increased dramatically. There are some international banks and insurance companies having offices in Gibraltar.

The GDP of Gibraltar is $500 million, with a per capita income of $17,500 (1997 estimate). There is the Beneficial Tax Regime and no VAT offered to the companies involved in international trade.

Telecommunications

Two separate joint ventures are providing for telecommunication needs, to enhance the infrastructure of this sector. GNC, a joint venture company between Bell Atlantic Corporation and the Government, provides local telephone service and international calls to and from Spain. Gibraltar Telecommunications Limited (Gibtel), is a joint venture between the Government and British Telecom (BT), to provide international telecommunications service.