Uruguay
AI Agent Legal Status: partial · Autonomy: moderate
Legal Framework
Uruguay has adopted a National AI Strategy (Estrategia de IA) through AGESIC (digital government agency). The BCU (Central Bank) has created a fintech sandbox and is piloting a CBDC (e-Peso). Data protection is robust under Ley 18.331, with an independent data protection authority (URCDP). Uruguay is known for institutional stability and progressive technology policy.
Key Laws & Regulations
- ◆Estrategia Nacional de Inteligencia Artificial (AGESIC)
- ◆Ley 18.331 - Data Protection (GDPR-equivalent)
- ◆BCU Fintech Sandbox - regulatory sandbox for financial innovation
- ◆Ley 19.210 - Financial Inclusion Law
- ◆Ley 18.600 - Electronic Documents and Signatures
Business Formation
Sociedad Anónima (SA) and Sociedad de Responsabilidad Limitada (SRL) are standard. Registration is efficient by regional standards. Free trade zones (zonas francas) offer tax incentives. Uruguay has a reputation for ease of doing business. No AI entity recognition but friendly regulatory environment.
Tax Implications
Corporate income tax (IRAE) at 25%. VAT (IVA) at 22%. Free trade zone companies exempt from most taxes. No personal income tax on foreign-source income for tax residents. Crypto treated as assets subject to capital gains. Relatively simple tax system compared to neighbors.
Opportunities
Fintech sandbox for testing AI-driven financial products. Free trade zone tax incentives for technology companies. Institutional stability attracting long-term investment. CBDC infrastructure enabling programmable money. Regional reputation as trustworthy jurisdiction.
Highlights
Strong institutional stability and rule of law — often called the 'Switzerland of South America.' Active AI strategy and fintech sandbox. CBDC (e-Peso) pilot among first in the region. Robust data protection framework. Free trade zones with significant tax benefits.
Risks & Challenges
Small domestic market (3.5M population). Higher operating costs than some neighbors. Regulatory progress can be slow despite good intentions. Limited venture capital ecosystem. Dependence on agricultural exports.