A new era of prosperity
ONE OF THE CARIBBEAN REGION'S MOST DYNAMIC ECONOMIES IS SET TO CONSOLIDATE AND ENHANCE ITS TRADITIONAL ROLE AS A FAVORITE DESTINATION FOR U.S. INVESTMENT BY STREAMLINING THE PERMIT PROCESS AND PROVIDING FURTHER INCENTIVES. THE ISLAND'S POWERFUL TOURISM INDUSTRY, MEANWHILE, IS HOPING A MAJOR PROMOTIONAL CAMPAIGN PAYS DIVIDENDS

A DIVERSE economic base made up of financial services, tourism and manufacturing has ensured Puerto Rico remains a step ahead of Caribbean neighbors.

Puerto Rico is a self-governing commonwealth in association with the United States comprised of the main island of Puerto Rico, two smaller islands–Vieques and Culebra –and numerous smaller Caribbean islets. Its head of state is the U.S. president, but the island’s government is run by a democratically elected governor, a post currently held by one the commonwealth’s most beloved political leaders, Sila Maria Calderon.
Ms. Calderon, whose Popular Democratic Party gained control of the legislature in the November 2000 elections, is a strong supporter of Puerto Rico’s current status with the United States. In other words, rejecting both U.S. statehood as well as other less popular options, such as full independence.
She is also one of the main architects of the Puerto Rican Project for the 21st Century, an ambitious economic and social enterprise for the new century.
The blueprint for the project was based on input from thousands of Puerto Ricans representing the entire economic and social spectrum of the commonwealth who believe that the art of governing is the art of understanding the governed.

Most notable among the project’s 15 priorities is a commitment to attack corruption, making sure that the corrupt are punished accordingly so that the heart and soul of the project, economic development, continues unhindered.
Other important aspects of the 21st century project include more and better housing, the establishment of the drug czar, as well as improvements in the health, education and transportation sectors.
On the economic scene, Puerto Rico has made wise use of its special relationship with the United States to become a Caribbean economic powerhouse. In fact, if Puerto Rico were an independent nation, it would find itself among America’s ten largest trading partners.
The commonwealth’s robust economy is based on a diverse industrial sector that has in recent years surpassed agriculture as the primary focus of both economic activity and income.
International companies have invested heavily in Puerto Rico for decades, attracted by duty-free access to the United States and tax incentives.

PLAZA SAN JOSÉ (1963) by Manuel Hernández Acevedo. Part of the permanent collection of the Museo de Arte de Puerto Rico.

Puerto Rico’s manufacturing industry makes up about 40% of the island’s GNP with the pharmaceutical sector leading the way. Eight of the top ten prescription drugs sold in the United States are made in Puerto Rico, as well as 18% of all pharmaceutical products manufactured in the nation.
Pharmaceutical companies operating on the island currently represent 25% of the value of all drugs made in the United States, and last year the sector employed 132,000 people in Puerto Rico. Electronics, apparel, plastics and chemicals round out Puerto Rico’s highly developed manufacturing industry.

The island’s tourist industry is also an important source of income, with millions of visitors — mostly from the U.S. mainland - arriving to the Caribbean paradise each year to enjoy its sunny climate, pristine beaches and world-class golf courses. Legal gaming alone accounts for some $3 billion in annual earnings, while plans to further develop other areas, such as eco-tourism, are expected to bring in billions more.
Information Technology and telecommunications round out Puerto Rico’s stable economy. The island’s association with the United States has guaranteed that the Puerto Rican IT and telecommunications industries are among the most advanced in the world, and certainly the best in the Caribbean region. And thanks to the hundreds of millions of dollars that pour into the industry annually from knowledgeable private investors, Puerto Rico will remain a regional leader for years to come.