Business Climate Survey

Macedonia 2014 Austria’s Business Voice in Macedonia

Mr. Gerhard Schlattl, The Commercial Attaché

Austrian Embassy, Commercial Section Skopje

Head of ADVANTAGE AUSTRIA in Macedonia

Austria – No. 3 Investor in Macedonia

• According to the latest official statistics of the Macedonian National Bank the total

amount of Austrian direct investment in Macedonia amounts to 437,05 Mio. EUR

(by 2 quarter 2014). Austria is thus one of the biggest investors in Macedonia.

Vkupnata vrednost na direktnite investicii od Avstrija vo Makedonija (zaklucno 2

kvartal 2014) iznesuva 437,05 Mio. EUR. Avstrija e eden od najgolemite investitori

vo Makedonija.

• Austria is ranked No. 3 after Netherlands and Greece followed by Slovenia and

Hungary.

Avstrija e rangirana na treto mesto posle Holandija i Grcija, sledat Slovenija i

Ungarija.

• More than 45 Austrian companies with Austrian capital are established in

Macedonia.

Poveke od 45 avstriski kompanii so avstriski kapital se osnovani vo Makedonija

Survey 2014 - Details

• Period of Survey | Period na sproveduvanje na anketata

June – July 2014

• Research Method| Metoda na istrazuvanje

quantitative web survey | kvantitativna web anketa

• Target Group| Celna grupa

Managing Directors of Austrian companies in Macedonia| Upravni direktori na

avstriskite firmi vo Makedonija

• Number of participants| Broj na ucesnici

n = 39 (28% response rate)| n=39 (28% stapka na odgovor)

Core Findings of the Survey 1/2

• Austrian companies in Macedonia are predominantly active in the services sector.

Avstriskite kompanii vo Makedonija se pretezno aktivni vo sektorot na uslugi.

• By comparison to the survey in 2013 the Austrian companies are on average

slightly more optimistic about the general economic situation in Macedonia. For

2015 more the 40% of the companies expect a better economic situation.

Vo sporedba so 2013 godina avstriskite kompanii se za nijansa pooptimisticni vo

odnos na opstata ekonomska sostojba va Makedonija. Poveke od 40 % od

kompaniite ocekuvaat podobra ekonomska sostojba vo 2015 godina.

• For 2015 60% of the companies expect an increase in turnover, more than 40%

plan to hire new employees and increase investments.

Za 2015 godina 60 % od kompaniite ocekuvaat rast na prometot, poveke od 40 %

planiraat novi vrabotuvanja i zgolemuvanje na investiciite.

Core Findings of the Survey 2/2

• Austrian companies assess the attractiveness of Macedonia as a destination of

foreign direct investment predominantly as satisfactory. | Avstriskite kompanii ja

ocenuvaat atraktivnosta na Makedonija kako destinacija za stranski direktni

investicii pretezno kako zadovolitelna.

• Regarding the framework conditions, the largest differences between expectations

and reality are in fields like payment moral, fight against corruption and progress

towards EU accession. | Vo odnos na opstite ramkovni uslovi najgolemite razliki

pomegju ocekuvanjata i realnosta postojat vo oblastite na platezniot moral,

borbata protiv korupcijata i napredokot vo EU integraciite.

• The three top priorities of Austrian companies regarding the Macedonian

Government are improvement of infrastructure, reduction of bureaucracy and fight

against corruption .| Trite vrvni prioriteti na avstriskite kompanii vo odnos na

makedonskata Vlada se podobruvanje na infrastrukturata , namaluvanje na

birokratijata i borbata protiv korupcija.

1. How man people does your company employ?

Kolku vraboteni ima Vasata kompanija?

46%

26%

28%

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

1 - 20 21-100 +100

2. In which sector is your company active?

So koj sektor se zanimava Vasata kompanija?

29%

13%

5%

16%

37%

0 0,05 0,1 0,15 0,2 0,25 0,3 0,35 0,4

Other/Drugi

Energy, Water Management, Waste Management/ energija, menagmentza vodostopanstvo, menagment za otpad

Construction/Gradeznistvo

Trade/trgovija

Services /uslugi

3. How would you assess the current general economic

situation in the Republic of Macedonia?

Kako ja ocenuvate momentalnata ekonomska sostojba vo

Makedonija?

3%

23%

39%

36%

0%

0% 5% 10% 15% 20% 25% 30% 35% 40% 45%

very good/mnogu dobra

good/dobra

satisfactory/zadovolitelna

flawed/poor,nezadovolitelna

bad/losa

4. How do you expect will the general economic situation

look like in the Republic of Macedonia in 2015

by comparison to 2014?

Kako ja predviduvate ekonomskata sostojba vo Makedonija vo

2015 vo sporedba so 2014?

3%

40%

55%

3%

0%

0% 10% 20% 30% 40% 50% 60%

much better than in 2014/mnogu podobra od 2014

better than in 2014/podobra od 2014

similar like in 2014/slicna kako 2014

a bit worse than in 2014 /malku polosa od 2014

much worse than in 2014/mnogu polosa od 2014

5. How will the specific sector of your company develop in

2015 by comparison to 2014?

Kako Vasiot sektor ke se razviva vo 2015 vo odnos na 2014?

5%

54%

26%

13%

3%

0% 10% 20% 30% 40% 50% 60%

improve substantially/znacajno ke se podobri

improve a bit /malku ke se podobri

stay stable/ke ostane nepromeneta

worsen a bit /malku ke se vlosi

worsen substantially/mnogu ke se vlosi

6. How do you assess the current economic situation of

your company in the Republic of Macedonia?

Kako ja ocenuvate momentalnata ekonomska sostojba na

Vasata kompanija vo Makedonija?

3%

32%

50%

16%

0%

0% 10% 20% 30% 40% 50% 60%

very good/mnogu dobra

good/dobra

satisfactory/zadovolitelna

flawed/poor,nezadovolitelna

bad/losa

7. How will the following factors develop

in your company in 2015?

Kako vo 2015 ke se razvivaat dolunavedenite stavki vo Vasata

kompanija?

10%

28%

62%

11%

47%

42%

11%

45% 45%

0%

10%

20%

30%

40%

50%

60%

70%

decreased/pad no change/nepromeneto increased/rast

Turnover/promet

Number of Employees/broj na vraboteni

Investments/investicii

8. How would you assess the development of the Republic of

Macedonia in terms of attractiveness for foreign investors?

Kako go ocenuvate dosegasniot razvoj na Makedonija vo

odnos na privlekuvanje na stranski investitori?

13%

26%

51%

10%

0%

0% 10% 20% 30% 40% 50% 60%

very good/mnogu dobra

good/dobra

satisfactory/zadovolitelna

flawed/poor,nezadovolitelna

bad/losa

9. How IMPORTANT are the following framework conditions

and location factors on the Macedonian market?

Kolku se vazni slednive uslovi t.e. stopanski faktori na

makedonskiot pazar?

(5 = very important, 1 = not important)

3,8

3,9

3,9

4,0

4,0

4,0

4,1

4,1

4,3

4,3

4,4

4,5

4,5

3,4 3,6 3,8 4 4,2 4,4 4,6

Public Subsidies and Investment Incentives/Drzaven sistem na subvencii

Environmental Conditions/ekoloska situacija

Flexible Labor Law/Flexibilen zakon za rabota

Approval Processes/procedura za dobivanje dozvola

Availability of local suppliers/ Dostapnost na lokalni dobavuvaci

Quality of local suppliers/ kvalitet na lokalni dobavuvaci

Perspective on EU Accession/EU - integracija

Customs and Administration/Carinski sistem i uprava

Availability of Human resources, Employees /Dostapnost na covecki…

Infrastructure/infrastruktura

Quality of Human Resources, Employees/kvalitet na rabotnata snaga

Good Payment Behavior/platezen moral

Fight against Corruption/Borba protiv korupcija

10. How SATISFIED are you currently with the following

framework conditions and location factors on the

Macedonian market? Kolku ste zadovolni od slednive uslovi t.e.

stopanski faktori na makedonskiot pazar?

(5 = very satisfied, 1 = not satisfied)

2,5

2,7

2,7

2,9

3,0

3,1

3,2

3,2

3,2

3,3

3,3

3,3

3,5

0 0,5 1 1,5 2 2,5 3 3,5 4

Good Payment Behavior/platezen moral

Perspective on EU Accession/EU - integracija

Fight against Corruption/Borba protiv korupcija

Environmental Conditions/ekoloska situacija

Infrastructure/infrastruktura

Public Subsidies and Investment Incentives/Drzaven sistem na subvencii

Flexible Labor Law/Flexibilen zakon za rabota

Availability of local suppliers/ raspolozlivost na lokalni dobavuvaci

Availability of Human resources, Employees /Raspolozlivost na covecki…

Customs and Administration/Carinski sistem i uprava

Approval Processes/procedura za dobivanje dozvola

Quality of local suppliers/ kvalitet na lokalni dobavuvaci

Quality of Human Resources, Employees/kvalitet na rabotnata snaga

Framework Conditions: Importance vs. Satisfaction

Ramkovni uslovi: Vaznost nasproti zadovolstvo

(5 = very satisfied/important, 1 = not satisfied/important)

4,5 4,5

4,1

4,3 4,3

3,9

4,4

4,1 4,0 3,9

3,8

4,0 4,0

2,5 2,7 2,7

3,0

3,2

2,9

3,5

3,3 3,2 3,2 3,1

3,3 3,3

2

2,5

3

3,5

4

4,5

5

11. What are your expectations and wishes towards

the Macedonian government? Koi se ocekuvanjata I zelbi nasoceni kon Makedonskata vlada?

41

41

41

46,2

51,3

53,8

61,5

64,1

64,1

69,2

0 10 20 30 40 50 60 70 80

Modernisation of Labor Law/modernizacija na zakonot za rabota

Access to financial funds/pristap do finansiski fondovi

Stable currency/stabilna valuta

Political Stability/politicka stabilnost

More initiatives for the EU Accession/zabrzuvanje na EU integraciite

Transparent and simple Tax laws/poednostaveni i itransparentnidanocni propisi

Legal Security/pravna sigurnost

Reduction of Bureaucracy/namaluvanje na birokratijata

Fight against Corruption/borba protiv korupcijata

Improvement of infrastructure/podobruvanje na infrastrukturata

For questions please contact...

Trgovsko oddelenie pri Avstriska Ambasada Skopje Maksim Gorki br.1 1000 Skopje

T +389 2 310 92 32

F +389 2 313 19 68

skopje@advantageaustria.org

www.advantageaustria.org/mk