- Category: Economy
- Published: 09 July 2014
- Written by Czech News Agency
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Germany sees the Czech Republic as a good investment possibilities, according to survey
Prague, July 9 (ČTK) — The Czech Republic is the second most attractive country for German investors from the 15 countries in Central and Eastern Europe after Poland, according to a survey conducted by the Czech-German Chamber of Commerce (ČNOPK) and 15 other Germany's Chambers of Commerce in the region.
Until last year, when the Czech Republic ranked also second, the Czech Republic had been the best place for German companies' investment for seven years.
Poland's lead is not big, but it has increased moderately compared with last year.
The third place in the ranking of countries' attractiveness for German investors is occupied by Estonia, followed by Slovakia, Slovenia, Latvia, Lithuania, Croatia, Hungary and Russia.
Eighty-eight percent of German investors would choose the Czech Republic as a place for their investment again, which is the highest share in the survey's history, said ČNOPK's director of communications Hannes Lachmann.
Respondents of the survey in the Czech Republic expressed increasing dissatisfaction with the development of labor costs, which correspond to only one-third of the costs in Germany, but are three times higher than in Bulgaria, for example.
The Czech Republic was also among countries assessed for the worst in employees' efficiency, motivation and qualifications.
CNOPK also recorded a growth in discontent with the supply of qualified labour force, which is the third worst in the region.
In addition, investors are less satisfied with the system of specialized training.
The Czech public administration received a slightly better evaluation compared with the previous survey, but it is still the fifth worst in the region.
Economic stability in the Czech Republic, which German investors evaluated as good in the previous survey, was given good evaluation again, but the assessment of legal certainty worsened from the 15th to the 9th place.
The number of respondents dissatisfied with the transparency of public procurement moderately decreased. Still, the Czech Republic ranks among the worst countries in regards to transparency of public tenders.
Crime and corruption in the Czech Republic is a field which has been evaluated as negative by investors in the long term.
In contrast, the quality and accessibility of local suppliers as well as payment discipline is very good, according to German investors.
Conditions for research and development have slightly improved.
The evaluation of the Czech infrastructure, which has been a well-assessed investment factor in the long term, also improved further.
But Lachmann said evaluation of infrastructure in other countries improved even more.
Ranking of Central and Eastern European countries' attractiveness for German investors: