BRATISLAVA, November 19, (WEBNOVINY) — Nearly half of added value in the Slovak economy is generated by companies with foreign capital, according to an analysis of UniCredit Bank Slovakia based on Eurostat’s data. The influx of foreign investments has considerably bolstered the transformation of central European countries from regulated into market economies. The portion of companies controlled by foreign entities on added value represents almost 47 percent in Hungary, 44 percent in Slovakia and 40 percent in the Czech Republic. For instance, the share of such firms on added value generated in Slovenia reached merely 20 percent, the bank writes in the material.
Investments are coming to Slovakia particularly from other EU countries. “Therefore, it is not surprising that more than three-quarters of added value generated by firms under foreign control was created by companies with EU capital,” explains the bank. Companies with participation of German investors had the strongest portion on generated added value (8 percent), followed by the Netherlands (7 percent), Italy (5 percent), Austria (4 percent), France and the Czech Republic (2 percent each).
Companies with foreign capital from the EU states constitute 34 percent of added value generated in Slovakia. Regarding regions beyond the EU27, the portion of the U.S. is 5 percent and South Korea has a 1 percent share. As a rule, companies with foreign capital report higher labor productivity than local companies. Companies with participation of foreign investors contribute 32 percent to overall employment in Slovakia and 44 percent to added value. Labor productivity in such firms is 65 percent higher.
SITA
