Guidance

Overseas Business Risk: Suriname

Published 27 October 2015

Information on key security and political risks which UK businesses may face when operating in Suriname.

On 12 August 2015, Desiré “Desi” Bouterse was inaugurated as President of the Republic of Suriname, having been re-elected following general elections on 25 May 2015. The elections were considered to be free, fair and transparent by observers. Despite President Bouterse’s National Democratic Party (NDP) winning a majority (the first time in many years that any one party has achieved such a majority without needing the help of coalition partners), President Bouterse elected to include a number of other parties in a governing coalition.

1. Politics

Suriname has a parliamentary democracy with a generally stable political system. National elections to appoint the 51 members of the National Assembly are held at periods not exceeding 5 years. The National Assembly in turn elects the president by a two-thirds majority vote. The latest national elections were held on 25 May 2015 with the ruling NDP being returned to power with a small majority (the first time in many years that any one party has achieved such a majority without needing the help of coalition partners). In a move justified as generating political stability, President Bouterse (who was re-elected for a second term in July 2015 following the National elections) elected to include a number of other parties in a governing coalition despite the NDP’s majority

2. Economics

Suriname achieved positive growth in the 9 year period up to and including 2014. The leading sectors were: construction, commerce, hotels, financial services, transport, communications, and agriculture. Continuing this positive trend, further growth of 3% is forecast in 2015 (by the Economic Commission of Latin America and the Caribbean (ECLAC)). This is on the basis of increased government spending and public investment in the run-up to the general elections (held in May 2015), and despite a reduction in mining sector revenues due to a drop in global prices.

Suriname remains an open, market-driven economy which promotes foreign inward investment and has attracted investors from several countries including the USA, China and the UAE. From a negative US$248 million position in 2010, net foreign direct investment (FDI) has risen dramatically to US$343 million by the end of 2014 (Source: ECLAC). The majority of FDI is in the mining sector.

You may wish to refer to FCO Travel Advice for a general country update.

3. Business and Human Rights

Human rights problems include widespread government corruption, reports of press intimidation, lengthy pre-trial detention, self-censorship by some media organizations and journalists, societal discrimination against women, continued lack of land rights of the Maroons (descendants of escaped slaves who fled to the interior of the country to avoid recapture and who make up 20% of the population), Amerindians (2% of the population), and discrimination against other minorities; domestic violence against women; trafficking in persons; and child labour in the informal sector.

Although the government continued to take steps to prosecute HR abusers in the security forces, there was a perception of impunity amongst sections of the public. The judiciary is susceptible to political influence and Intellectual Property Rights (IPR) are not well protected or enforced.

However, on a more positive note, following international lobbying including from the UK and EU, Suriname abolished the death penalty in March 2015. A move lauded by several States and International Organisations and one, it is hoped, will provide the impetus for other countries in the region to consider doing likewise.

See the FCO Annual Human Rights report for more general information.

4. Bribery and Corruption

Please be guided by the Bribery Act 2010. Bribery is illegal. It is an offence for British nationals or someone who is ordinarily resident in the UK, a body incorporated in the UK or a Scottish partnership, to bribe anywhere in the world. In addition, a commercial organization carrying on a business in the UK can be liable for the conduct of a person who is neither a UK national or resident in the UK or a body incorporated or formed in the UK. In this case it does not matter whether the acts or omissions which form part of the offence take place in the UK or elsewhere.

In 2014, Suriname, with a score of 36 (unchanged from the previous 2 years) was ranked 100 in the World Transparency International Corruption Perceptions Index. In the World Bank’s Ease of doing Business Suriname was ranked at 162 representing a marginal increase over 2014. Some overall improvement is expected in the coming years as the World Bank Group launched a 2015-2018 country partnership strategy. This is aimed, in part, at assisting Suriname with its efforts in economic diversification through, amongst others, improving the business climate and promoting transparency.

Suriname has signed and ratified the Inter-American Convention against Corruption but not yet signed or ratified the UN Anti-Corruption Convention. While opposition parliamentarians and the public have alleged the authorities are failing to investigate corruption cases levelled against the public sector.

Read the information provided on our Bribery and corruption page.

5. Terrorism and Security

The threat from terrorism is low. Read the latest information on our Terrorism threat page.

Visiting Suriname is mostly trouble free, but burglary, armed robbery and violent crime do occur in Paramaribo (the Capital) and in outlying areas. Pick pocketing and robbery are increasingly common in the major business and shopping districts in the capital.

Read the information provided on our Protective security advicepage. The Centre for the Protection of National Infrastructure also provides protective security advice to businesses.

6. Cyber Security

Although there is currently no cyber security legislation in place, Suriname is a member of the International Telecommunications Union (ITU), and, at the end of 2014, the Organisation of American States (OAS) announced the development of a National Cyber Security Plan for Suriname.

7. Commercial Dispute

Investment disputes are mostly settled outside the court system or via appointed arbitrators. Over the past years there were no publicly known investment disputes involving foreign investors or contractors in Suriname. Judgments of foreign courts are accepted and enforced by the local courts once Suriname has a legal treaty of jurisprudence with that involved foreign country. Suriname consistently applies its commercial and bankruptcy laws.

8. Intellectual Property

Although Suriname has been a member of the World Intellectual Property Organization (WIPO) since 1975, it has not yet ratified the Trade Related Aspects of Intellectual Property Rights (TRIPS) agreement.