Slovakia in Figures

Transcription

1 Developed Infrastructure Productive and Modern Industry Beautiful Nature The 14 th out of 15 fully integrated EU countries The Council of Europe ALB ARM pop: 820 mil. 47 countries AZE BIH European Economic Area CRO GEO pop: 500 mil. MDA European Union MNE BUL MKD RUS SRB EU Customs Union UKR CYP IRL Eurozone pop: 330 mil. ROU AND European Free Trade Association LIE AUT BEL EST FIN UK TUR ISL FRA GER GRE ITA CZE DEN SMR LUX MLT NED POR HUN SUI NOR Schengen Area SVK SLO ESP POL MON VAT SLOVAKIA 5.4 mil. people 13% unempl. 750 avg. salary 1,150 avg. labor cost Currency: Euro ( ) Simple tax system - 19% flat Logistically well positioned - between Eastern and Western markets The most productive labor force in OECD - the highest return on labor investment SWE LAT LTU Agreement with EU to mint Euros ISBN We help businesses achieve outstanding results. We help companies become and stay leaders in their markets. We help investors to successfully establish their businesses. Tel. - +(421) , Fax - +(421) , - info@ecenter.net Important Economic c Figures Years in Slovakia Percentage of Slovakia s GDP produced by AmCham Members ,000 Number of AmCham members Number of employees in AmCham membership 15,500,000,000 Annual turnover in EUR of our top 100 companies Crowne Plaza, Hodžovo námestie Bratislava, Slovak Republic Tel: (+421-2) Fax: (+421-2) ofce@amcham.sk

2 Politics The Adecco Group is the world s leading provider of HR solutions. If you re determined to make a change for the better, then we want to offer you the resources you need to create and achieve your personal and professional objectives. Our office in Slovakia has been operating since 2002 and provides a full range of personnel services: Permanent placement Temporary help Outplacement Executive search Career counseling Consultation Outsourcing Call center Better work, better life is a short phrase that sums up our entire approach. It s a clear statement of what s different about Adecco. Our Core Values: Population 5.4 mil. (Similar to Denmark, Finland, or Singapore) Bratislava The Largest Towns in Slovakia (population) Poland Literacy: 99%. Life Expectancy: 78 yrs. females; 70 yrs. males. (2001) Other 1.4% Ukrainians 0.2% Ruthenians 0.4% Czechs 0.8% Roma* 1.7% Hungarians 9.7% Slovaks 85.8% Other 0.6% Orthodox 0.9% Greek Catholic 4% Protestant 9% Košice No affiliation 13% Unknown 3.5% Roman Catholic 69% Ukraine *Unofficial estimates place the Roma population between 6%-10%. Politics & Raitings Government President Ivan Gašparovič ( ; ) Prime Minister Iveta Radičová ( ) Type: Parliamentary democracy. Independence: The Slovak Republic was established January 1, 1993 (former Czechoslovak Republic established 1918). Branches: Executive - President (head of state), Prime Minister (head of government), cabinet. Legislative - National Council of the Slovak Republic (150 seats). Judicial - Supreme Court, Constitutional Court. Countries Ratings (June 30, 2011) Political parties: 150 parliamentary seats: Smer-SD (62); SDKU-DS MOODY S&P FITCH (28); SaS (22); KDH (15); Most-Hid (14); SNS (9) SK A1 A+ A+ Next parliamentary elections: 2014 CZ A1 A A+ Suffrage: Universal at 18 years. PL A2 A - A - Administrative divisions: 8 administrative regions, 79 districts. HU BAA3 BBB - BBB - Source: Slovenská Sporiteľňa Economy, R&D and Knowledge centers Main Slovak Academic and Research Clusters Poland Higher end services Unempl: 4.6% Bratislava Unempl: 2.1% Unempl: 4.5% Unempl: 7.6% Unempl: 5.9% Unempl: 14.9% Poprad Lower end production Zvolen Unempl: 12.9% Košice Unempl: 14.2% Ukraine Labor Productivity Outstanding Labor Productivity: Slovakia was the first of thirty five OECD countries in growth in GDP per hour worked between 2000 and Slovakia was the third behind (1) Poland and (2) Ireland between 1995 and Source: OECD Page 2

3 Labor Productivity and Export / Import SLOVAKIA: The world leader in vehicles produced per capita 220% Real Output / Total Labor Cost (Gives output per invested dollar into Labor) Export/Import by countries in 2010 # Export % Import % 200% 180% 160% 140% 120% 100% Slovak Republic Slovakia offers the highest production output per 1 invested into labor Germany Italy Luxembourg Netherlands Switzerland United Kingdom Estonia OECD Average 1 Germany 19.3% Germany 15.3% % 10.4% 3 Poland 7.3% Russia 9.6% 4 France 6.9% South Korea 7.8% 5 6.7% China 5.9% 6 6.7% 4.2% 7 Italy 5.6% Poland 3.9% 8 Russia 3.9% France 3.5% 9 United Kingdom 3.6% Italy 3.2% 10 Holland 2.9% 2.4% Others 23.1% Others 33.8% Source: Slovenský štatistický úrad Labor Market Unemployment rate and number of unemployed people 9.3% = % = Bratislava 12.4% = % = ppl National Holidays: 15 days 11.3% = Poland 18.4% = % = Košice 18.2% = Ukraine lowest Labor Cost Structure (simplified) Employee highest Employer Social Security 9,40% 25,20% Healthcare Insurance 4,00% 10,00% The fees are derived from employees gross salaries Slovak labor is the most productive in the Eurozone. Labor costs are among the lowest, and skilled workers are readily available. Labor laws allow more flexibility for employers than those in the other Eurozone countries. Slovakia offers the 2 nd lowest labor cost in EUROZONE (2009) Estonia Slovakia Malta Portugal Slovenia Greece Spain United Kingdom Ireland Germany France Luxembourg Belgium Denmark Source: EUROSTAT 2011; Selected countries only Logistics & ICT Infrastructure Easily accessible from Western Europe - only 70km from Vienna, Prague 260km Bratislava Vienna 70km Budapest 230km Zvolen Poprad Košice Existing highway Highway in construction Planned highway Expressway Planned expressway Main railway Airport Mobile service operators: Orange, T-Mobile and O2 Mobile Network coverage: GSM: 90+% of the country Orange: 99.6% of population T-Mobile:99% of population Mobile Data Connection: Orange: 14.4 Mbps download / 1.46 upload FTTH (Fiber To The home) 100Mbps download / 100Mbps upload: available in 17 towns to 308,000 households. T-Mobile: 21.8 Mbps download / 1.46 upload Internet optik: 80Mbps download / 4Mbps upload available in 22 towns to 338,000 households. Various options of high-speed Internet are available through landlines and satellite operators. Page 3

4 Top Slovak Companies # Rank in TOP 200 # The Largest Nonfinancial Companies (Town of establishment) Total sales (EUR 1,000) Change (%) Volue added/ total sales (%) After - tax profit (EUR 000) Average number of employees / Volkswagen Slovakia, a.s. (Bratislava) Automotive 2 Slovnaft, a.s. (Bratislava) Chemical 3 Samsung Electronics Slovakia, s.r.o. (Galanta) Electrical Eq 4 Kia Motors, s.r.o. () Automotive 5 Slovenský plynárenský priemysel, a.s. (Bratislava) Energy 6 U.S. Steel Kosice, s.r.o. (Košice) Metallurgy 7 Slovenské elektrárne, a.s. (Bratislava) Energy 8 PCA Slovakia, s.r.o. () Automotive 9 Foxconn Slovakia, s.r.o. () n/a n/a n/a Electrical Eq 10 Tesco Stores SR, a.s. (Bratislava) n/a n/a n/a Retail Source: Trend, Top 200, July 2011 The Largest Employers in Slovakia (Town of establishment) Average number of employees Change (%) Increase (decrease) in number of employee Personal costs (EUR 1,000) Profit per employee (EUR) Sales per employee (EUR) / Železnice SR (Bratislava) Slovenská pošta, a.s. (Banska Bystrica) U.S Steel Košice, s.r.o. (Košice) Železničná spoločnosť Cargo Slovakia, a.s. (Bratislava) Tesco Stores SR, a.s. (Bratislava) n/a n/a n/a Volkswagen Slovakia, a.s. (Bratislava) Slovenské elektrárne, a.s. (Bratislava) Železničná spoločnosť Slovensko, a.s. (Bratislava) Slovak Telekom, a.s.(bratislava) Kaufland Slovenská republika, v.o.s. (Bratislava) n/a n/a n/a n/a Source: Trend, Top 200, July 2011 Sector Member of Erste Group Are the plans of your bank heading in the same direction as those of your business? We believe in the growth of your business. As member of Erste Group we are the leading financial provider in CEE. We have rich experience in every area of corporate finance. We are confident that your business can also significantly contribute to the growth of this region. The strength of Erste Group and our knowledge of corporate business is a potential for our mutual benefit. We are ready to provide you with more information at or at our website Page 4

5 Economic Forecast Taxes, State Aid, Subsidies, and Support Page 5 Item in Real GDP in current prices bil.eur Real GDP growth % Household consumption real growth % Household consumption nominal growth % Average monthly salary growth % Average monthly salary real growth % Employment: average growth % Unemployment rate (%) % CPI Growth (Consumer Price Index - Inflation) % Harmonized Index Of Consumer Prices (HICP) % Production Prices Index (PPI) % Account Balance (as a % of GDP) % Consumption of Public Administration (real growth) % Creation of Gross fixed capital (real growth) % Export /products and services/ (real growth) % Import /products and services/ (real growth) % International Trade Balance bil. EUR Exchange rate (Eur/USD) EUR/USD Euribor (3 month average) % Yield of Slovak 10 year bonds % Net Inflation (average) % Deflators Growth - GDP % Household Consumption % Public Administration Consumption % Creation of Gross Fixed Capital % Export of Goods and Services % Imports of Goods and Services % Public finances, account balance as % of GDP % without the effects of 2 nd social security pillar % Foreign Direct investment (net inflow to Slovakia - capital and reinvested profit) mil. USD Crude oil (average price) USD/bl GDP in Eurozone (real growth) % GDP in the Czech republic (real growth) % HICP (Harmonized Index of Consumer Prices) - Eurozone average % CPI (Inflation) end of year % Foreign Direct investment (net inflow to Slovakia / GDP) % Source: Ministry of Finance, Slovakia, June 2011 The tax system is compliant with the tax systems of the EU 19% flat tax rate (Corporate, Individual and Value Added Tax VAT [VAT has been temporarily increased to 20% and is expected to be lowered back to 19% by 2013]. An exception - VAT of 10% is levied on books and products and services related to public health. Exempted from taxation are dividends as capital gains of shareholders in Slovak companies. Foreign persons can be subject to Slovak taxation if they spend more than 183 days of the specific year in Slovakia. Excise tax: imposed on certain types of goods: mineral oils, liqueurs, beer, wine, tobacco products, electricity, coal and natural gas. There are 3 Real Property taxes: 1) land tax and 2) tax on apartments and non-residential premises within apartment buildings 3) tax on buildings. Tax on land is levied at 0.25% of the tax base which would be assessed by the municipality. Rates vary depending on the type of land and its location. Real estate Tax: Transfer tax was abolished in 2005; Capital gains are taxable as regular income tax: 19%. Real Property Tax: Tax on buildings - depending on the municipality, it is usually between Eur 0.03 to Eur 0.33 per sq. m. of the floor area. VAT registration is obligatory for entities with revenues exceeding EUR within 12 consecutive months. There are special taxes imposed on certain assets (i.e. vehicle-road tax). Real 2009 Real 2010 The Largest State Aid Projects Forecast # Company/Project State Aid (Eur) Year 1 KIA Motors, s. r. o. (Project 1) 135,225, PCA Slovakia, s.r.o 120,543, Mobis Slovakia, s. r. o. 35,581, AU Optronics Slovakia 34,900, KIA Motors, s. r. o. (Project 2) 34,134, SONY SLOVAKIA, spol. s r.o. 31,381, Samsung Electronics Slovakia s.r.o. 29,438, Universal Media Corporation /Slovakia/ s.r.o. 21,038, KIA Motors, s. r. o. (Project 3) 15,070, Johnson Controls Lučenec, s. r. o. 13,333, Stimulus laws: - Act no. 561/ Act no. 56/ Act no. 231/ Act no. 5/ Act no. 595/ Regional National Map ( ) State aid in regions: Bratislava: 0% Western Slovakia: 40% Middle Slovakia: 50% Eastern Slovakia: 50%

6 Grafton is working for you Grafton Recruitment has been serving up staffing solutions to major clients for years. Recruitment solutions Assessment center Development center Psychodiagnostics Outplacement Personnel leasing Payroll outsourcing More than 500 job opportunities on Offi ces in Slovakia: BRATISLAVA - NITRA - KOŠICE The Grafton Employment Group provides Contingent and Executive Recruitment, Recruitment Outsourcing and HR Consultancy services across a Network of 70 wholly-owned offi ces in 16 countries Known locally, worldwide in Chile,, Denmark, France, Germany, Greece,, Ireland, Lithuania, Poland, Romania, Russia, Slovakia, Turkey, UAE and the UK ISO 9001:2008 Certifi ed Company