The economy of Margarita is intrinsically linked to the overall economy in Venezuela where the economy is going from strength to strength on the back of the oil reserves that the country has in abundance.
Few people are aware that as one of the top 10 oil producing nations in the world, Venezuela's fiscal strengths are increasing continually as oil prices rise. At the same time, according to analysts, the government is working to lessen the nation's overall reliance and dependence on just oil for the longer term.
Lying off the northern shore and forming part of the Republic of Venezuela, Margarita typifies the perfect Caribbean island fantasy in most people's minds with its blend of palm fringed beaches backed by dramatic, lush mountain peaks and duty free status.
However, the true fundamentals that support an investment commitment in this specific location may not be quite as obviously apparent as the natural charms of the island at first glance.
In much the same way as Dubai has already done for example, Venezuela is optimising its oil revenues by putting oil generated income back into the development of other economic sectors for the long-term stability of the economy in the country.
One of the main areas witnessing significant and increasing investment is tourism, and as one of the nation's most treasured and desirable destinations, Margarita is receiving a great deal of this investment.
'Our goal is to position Venezuela as a sustainable tourism product. Margarita is very important for our strategic plan given that it has a geographic location popular around the world,' said a spokesman for the deputy Minister of Tourism.
According to the latest figures from the World Travel and Tourism Council, the investment the Venezuelan government is ploughing into the development of a sustainable tourism sector is paying off to the tune of an average annual increase in already strong tourism numbers of 11.7% this year, rising to 13% in 2009.
'This is an affordable, accessible Caribbean destination that lies outside the hurricane zone and which is protected and enhanced economically speaking by an incredibly wealthy financial backer, namely one of the world's top ten oil producing nations, Venezuela,' said Mark Andrew, of Emerging Earth.
