Saint Lucia Country Report
Risks arise from natural hazards, especially hurricanes, and the island’s poor transport infrastructure, which would benefit from upgrades and expansion. Companies operating in St Lucia are likely to face tax-related reputational risks should the EU, which is urging tax transparency, re-blacklist the country as a tax haven following warnings it has issued, with the country being still under scrutiny. To open a business, companies need five procedures and an average of 11 days, according to the World Bank 2020 Doing Business report. The labour movement does not represent a significant operational constraint, although occasional strikes can occur.
There are no domestic terrorist groups with the intention or capability to conduct terrorist attacks within St Lucia. The country's relatively close relations with the United Kingdom and the United States increase the risks of the tourism sector being targeted, but such risks are low. The island is not considered a target for international terrorist organisations.
The number of homicides in St Lucia increased in 2019, with 51 homicides recorded, up from 44 for 2018. By the end of July 2020, there had been 26 murders. St Lucia remains vulnerable to money laundering, with the island being named as a "major money laundering jurisdiction" in the US State Department's 2020 International Narcotics Control Strategy Report (INCSR).
St Lucia’s foreign relations initiatives predominantly focus on economic development and aid. A minor territorial dispute over Bird Rock/Isla de Aves exists with Venezuela, but is likely to be resolved through diplomatic channels. St Lucia faces little in the way of external threats and there is a low interstate war risk. In July 2017, St Lucia signed maritime boundary agreements with Barbados and Saint Vincent and the Grenadines during the Caribbean Community (CARICOM) meeting held in Grenada, thereby further reducing the risk of local disputes.