In an effort to attract high-tech companies in the cryptocurrency industry, the autonomous region of Portugal, the Madeira archipelago, has unveiled a plan to provide an array of incentives. Finance minister, Rogerio Gouveia, has pledged to expand the powers of the free trade zone, offer tax breaks to crypto firms, exempt them from capital gains tax, and establish one of the lowest corporate tax rates in the European Union.
Gouveia explained, “For companies seeking to establish themselves in the region, the Madeira Free Zone or International Business Center offers the greatest tax incentive. This zone provides a preferential tax regime, capping the corporate tax rate at a competitive maximum of 5%.”
Madeira is focused on attracting high-tech startups to bolster its economy. Currently, the digital finance sector already accounts for approximately 30% of the archipelago’s business, and its support is crucial for Madeira, which has traditionally relied on international tourism.
The President of the regional government of Portugal on the island of Madeira, Miguel Albuquerque, also shares the vision of turning the archipelago into an innovative cryptocurrency hub.