The government offers full repatriation of after-tax profits; normal exemption from import duties for machinery, spare parts, and raw materials; and possible tariff protection. While parastatals are common in Seychelles, there is no policy of nationalization, though joint ventures are preferred when foreign capital is involved. Public and private investment is sought for the tourist, fishing, agriculture, and manufacturing sectors. In 1995, the government established an International Investment Authority which offers incentives and tax concessions to foreign investors.
Annual foreign direct investment (FDI) inflows to the Seychelles from 1997 to 2000 ranged from $54.4 million in 1997 to $60 million in 1999. In 2001, FDI inflows slowed to $34 million.