Shipping and investment incentives: a trilogyPart 2. Investment incentives for shipping

This paper concentrates on the shipping industry and considers the forms of fiscal and financial incentives which are used by different governments to promote or encourage investment in their shipping industry. The analysis reduces the various packages of investment incentives and loan arrangements to a common measurement—the net present value of the package—and uses this to draw international comparisons and rankings. The results are based on different values of rates of return in the shipping industry and under certain assumptions concerning the rate of inflation and the rate of discount. Differences in loan arrangements have also been incorporated. The particular results are valid only for the specified circumstances but the methodology is generally applicable.