The exotic nation of Venezuela, including the idyllic tourist hot-spot of Isla Margarita, is recognised as one of the most promising emerging markets in the world. Politically more stable than many comparable emerging markets, it also enjoys a diverse economy going through considerable growth. These are factors that must be taken into account when assessing the suitability of an emerging market for investment.

Venezuela is a democratic, federal, multi-party republic with a formal constitution. Current president, Hugo Chavez, is popular in the country and has steered the country through periods of prolonged economic growth coupled with social reform. Presidential terms are 6 years, and a candidate can be re-elected to 2 consecutive terms. Increased government spending has also improved the situation for the poor of the country, with increased access to healthcare and education. Significant economic growth has allowed Venezuela to sustain a large foreign aid program.

The Venezuelan economy has seen fantastic growth. As the 8th biggest producer of oil in the world, petroleum revenues have driven growth at yearly levels of over 9% per annum. These revenues are used to control inflation and sustain continued economic growth with internal reinvestment. It has strong trading relationships with the USA and most major European countries. Whilst oil is the main contributor to the Venezuelan economy, there is rapid expansion in other sectors. Isla Margarita itself, is leading the charge to further increase Venezuela's tourist market, with 2.3 million visitors arriving in 2007 (and growing at 15% p.a.) There has been increased public and private investment in the luxury hotel and tourist industry. Further to this, the government has issued a mandate stating that a portion of bank loans be allocated to tourism related companies in order to encourage investment.

This market promises not only significant capital gains, but the promise of excellent rental returns. Significant government backing to overseas investment, coupled with a rapidly expanding economy, adds strength the vibrant tourist market. Due to these factors, it can be seen that there are few markets as suited to investment as the tourist market of Isla Margarita, Venezuela.