About 45% of Austrian companies satisfied with their operations in Serbia - Missed payment deadlines and corruption still problems

A survey that the Trade Department of the Austrian Embassy in Belgrade has recently conducted for the fourth consecutive year confirms that Serbia is on a good path, but there are still some things that need to be improved.

Availability and quality of domestic manpower and suppliers have got a high rating from Austrian companies operating in Serbia, while payment morality (missing the payment deadlines) and fight against corruption got the lowest marks.

The results of this survey are based on the feedback from 102 enterprises, that is, 17.56% of the total number of companies included in the survey, the credibility of which is confirmed by the fact that these firms employ 10,000 people in Serbia.
Survey results have been unveiled by Erika Teoman-Brenner, a commercial counsellor at the Embassy of Austria, her deputy Fabian Gems, and Marlene Gruber, a young associate at the Trade Department.

About 54% of the surveyed companies say that the current economic situation in Serbia is still complex, which is a sort of improvement when compared to the previous year when 72.1% of those surveyed shared the same opinion.

Asked about economic outlook for 2016, 42.2% of survey participants believe that not much will change in the following year, while 41.4% are optimistic regarding the future and expect an upward trend in 2016.

More than a third of the surveyed companies are satisfied with their operations and even from the viewpoint of their own industry, they look into 2016 with moderate optimism.

Economic conditions in Serbia

When it comes to economic conditions in Serbia, 40% of survey participants believe there is still a big need for improvement, while 43% have expressed satisfaction. In order to better the situation, surveyees say it is of essential importance to fight the corruption, improve the payment morality, and have a stable local currency and a functional tax system.

- However, although these factors are deemed particularly important, those surveyed were the least satisfied with them, asking for initiated reforms to be deepened. Only the stability of currency, which is considered a very important factor, has got very positive marks - it was said at the presentation of results of this survey.
Traditionally, Austrian companies are satisfied with the quality and availability of manpower and local suppliers in Serbia.

Aside from the expectation of higher degree of legal certainty and corruption control, 14% of surveyees hope for faster EU integration, and the list of their greatest wishes also includes reduced bureaucracy and transparent tax regulations, which coincides with their desired business conditions.

2015 results compared to those achieved in 2014

Although the general economic situation in Serbia is still considered difficult, this year's surveyees have assessed that the economy in our country, although still at a low level, shows signs of mild recovery in 2015.

In 2014, 25% of survey participants were satisfied with the economic situation in Serbia, while 45% of this year's surveyees shared that opinion. Their satisfaction with their own companies has also improved. Namely, 12% of the companies surveyed last year had a negative attitude about the situation of their business in Serbia, while this year that percentage dropped to 7%.

Many companies have noticeably increased their turnover, number of employees and investments since the last year. Over 70% of them boosted their turnover in 2015, while a third of these companies increase the number of employees and investments (employees: 36%, investments: 31%).

As it was stressed at the presentation of survey results, Austria remains the biggest investor in Serbia. Also, the year 2015 saw a growth of trade between the two countries with Serbia increasing exports to Austria by 12% and Austria its exports to Serbia by 11%.

It was also announced that the results of surveys including all countries in the region would be presented the next year to show Serbia's competitiveness relative to its neighbors.

Ambasada Republike Austrije

Trgovinsko odeljenje Ambasade Austrije

Trade Department of the Austrian Embassy in Belgrade

Austrian investment in Serbia

business conditions in Serbia

survey on business conditions in Serbia

payment morality

manpower in Serbia

issuing permits

Erika Teoman Brenner

Fabian Gems

Marlene Gruber

Austrian firms in Serbia