Yesterday, European Commission Vice-President for the Energy Union Maroš Šefčovič chaired...
Poland, officially known as the Republic of Poland is a country situated in the heart of Europe and is surrounded by countries such as Germany, Czech Republic and Slovakia. This strategic location has created a range of opportunities for the country as more and more investment is being drawn in the country from almost all the parts of the world. It is also one of the fastest growing economies in the entire Europe. It is growing at twice the rate as compared to other countries in the entire Western Europe.
Poland has been blessed by both renewable as well as non-renewable sources of energy. It also has huge sources of minerals and is also one of the largest producers of metals such as lead, copper, zinc and construction minerals. Just like its massive natural resources, Poland also has a state of the art infrastructure which really works in the advantage of the country. Poland has a good network of road and rails. It is the main link which joins the Eastern and Western European countries. A massive multi-lane limited access highway is being built all over Poland to increase the efficiency of the entire transport system in the country.
Apart from the abundant natural resources and an excellent infrastructure, it also boasts a highly qualified labor, political stability a good technological and telecommunications network. All these features really make it one of the most desired destinations for investment.
Poland is one of the fastest growing economies in the entire Europe. It was the only nation in the European Union to resist the 2009 recession. One important fact to note about Poland is it has never experienced a recession nor has its economy contracted since the late 2000s.
Poland was the only country in the European Union who did not succumb to the global financial turmoil and it is now going even stronger than ever. The World Bank has predicted that the Gross Domestic Product (GDP) of Poland is expected to grow at a rate of 4.1% in the year 2011. Thus, Poland is going to see a positive trend in its economy in the coming years
The market size of Poland is one of the biggest in the entire Europe. The 38-million consumer market really makes it easy for any investor to boost their business prospects in Poland. In fact, the entire size of the domestic market is considered to be the greatest advantage of Poland. The country’s strategic location also provides an easy access to other European countries and creates a market involving of 500 million consumers.
As per the European Bank for Reconstruction and Development (EBRD), the Polish economy is expected to grow at a rate of 3.3 percent in 2010. The International Monetary Fund (IMF) has also forecast that the Polish economy is going to grow at a rate of 3.5 per cent in 2011. As per the National Bank of Poland, the foreign direct investment (FDI) in Poland in the year 2010 reached EUR 5 billion which was as many as 75% more than the corresponding period of 2009. The growth of this FDI was mostly due to the fact that the Polish investment agency was able to complete 29 new investments worth EUR 377 million.
The most prominent sectors worth investing in Poland, and which are showing signs of development, mainly include Healthcare and Life science research, Data search and analysis and Engineering and Design. It is in fact the hot spot for innovation. Other sectors worth investing in Poland include automotive, domestic appliances, Aviation, Electronics, Information Technology, Metals industry, Mechanical Industry and Renewable Energy.
The Polish economy is one of the best economies to invest in for the foreign investors. This has mostly happened due to the investment friendly policies of the Polish government. The Polish legislations do not draw a line or discriminate between domestic and international investors and also allow the foreign investors to carry out their businesses in an effective manner. Foreign investors in Poland can transfer their profit operations even outside Poland with ease. The entire Polish market is open to foreign investors.
The Polish government offers exciting incentives to investors depending on the type of investments. The Polish government provides attractive incentives to investors who invest in areas of unemployment. Currently, the aid rate which the Polish government provides investors to investing in areas where there are high levels of unemployment is 50%. For SME’s the Polish government provides an aid rate of 65%. The Polish government also offers incentives to investors in its R&D sector and these incentives can go up to even 100% subsidies.
The Polish government understands the importance of foreign investment and the subsequent development it brings and hence the Polish government has established an agency known as the PAIZ or the ‘Foreign investment agency’ which provides all the necessary information to foreign investors to set and flourish their business in Poland.
An investor friendly government, a state of the art infrastructure, a sustainable growth of economy and a regional leader- all these features really prove why Poland is one of the most attractive destinations to invest in the European Union. Its strategic location will really work in the favor of investors who want to expand their business all over Europe.
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