Survey
* Your assessment is very important for improving the workof artificial intelligence, which forms the content of this project
* Your assessment is very important for improving the workof artificial intelligence, which forms the content of this project
Trade and Investment Promotion Section Embassy of the Republic of Poland in Dublin October 15th, 2012 Dublin Chamber of Commerce Poland’s Economic Performance Investment Climate in Poland Polish-Irish Economic Cooperation Poland – Key Facts Area: 312 thousand km2 6th in European Union, 68th in the world Population: 38.3 mln 6th in European Union, 34th in the world Currency: Polish Zloty (EUR 1 ≈ PLN 4.10) (USD 1 ≈ PLN 3.16) GDP total: EUR 370.5 bln (USD 488.0 bln) GDP per capita PPP: EUR 16 000 (USD 21 000) (purchasing power parity) GDP growth: 4.3% Membership: OECD, WTO, NATO, EU, Schengen Zone Competitive Advantages Location & economic fundamentals strategic location in continental Europe part of trans-European transportation corridor third fastest growing EU country in 2010 38 million consumers 1000 km radius 250 mln people Labor force young, well-educated work force ca 11% of university students in the EU 455 universities & high education schools language proficiency increasing labour productivity Investment incentives tax exemptions in 14 Special Economic Zones grants co-financed from the EU (EUR 90 bn) 2000 km radius 550 mn people Sustainable and balanced economic growth Poland joins the EU Leader of GDP growth in EU EU Presidency Schengen Entry into the NATO WTO OECD Data: Poland’s CSO Poland’s GDP in mln PLN Poland’s GDP growth (% change, yoy) 8.0 Data: Poland’s CSO 7.0 7.1 7.0 6.0 6.8 6.2 6.2 5.0 5.1 5.3 5.0 4.5 4.0 4.3 4.3 3.9 3.7 3.8 3.6 3.0 2.0 5.1 2.6 1.0 1.2 1.7 1.4 0.0 1992 1993 1994 1995 1996 1997 1998 1999 In 2011 GDP growth amounted to 4.3%. In the 1st half of 2012 GDP growth amounted to 2.9%. 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 The biggest growth contribution was made by domestic demand, investment and exports. 30,0 Consumer Price Index in Poland annual average XII/XII 27,8 19,9 25,0 14,9 11,8 7,3 10,1 5,5 21,6 20,0 1,9 0,8 3,5 1,0 2,1 2,5 4,2 3,5 2,6 4,3 18,5 15,0 13,2 10,0 8,6 9,8 8,5 6,3 4,4 5,0 0,8 1,7 4,0 0,7 3,3 3,5 4,6 3,1 1,4 0,0 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 In the period of January-August 2012 the annual average consumer price index increased by 4.0% At the same time the average employment (yoy) increased by 0,5% Jul-11 Apr-11 Jan-11 Oct- 10 Jul-10 Apr-10 Jan-10 Oct- 09 Jul-09 Apr-09 Jan-09 Oct-08 Jul-08 Apr-08 Jan-08 Oct-07 Jul-07 Apr-07 Jan-07 Oct-06 Jul-06 Apr-06 Jan-06 Oct-05 Jul-05 Apr-05 Jan-05 Oct-04 Jul-04 Apr-04 Jan-04 % Labour market – unemployment rate in Poland 22 20 18 16 14 12 10 8 The unemployment rate at the end of August 2012 amounted to 12.4%; Unemployment rate 08/2012 12.4% Warmińsko-Mazurskie 19.2% 20 Podlaskie 13.8% Mazowieckie 10.0% Łódzkie 13.1% Dolnośląskie 12,5% Opolskie 13.2% 15% > Lubelskie 13,0% Świętokrzyskie 14.8% Śląskie 10.2% Małopolskie 10.5% 11-15 10% < as of 30 of June 2012 Source: Central Statistical Office, 2012 Podkarpackie 15.0% 20 12 20 11 20 10 20 09 20 08 20 07 20 06 Wielkopolskie 9.1% 0 20 02 Lubuskie 15.1% 10 20 05 Kujawsko-Pomorskie 16.7% 20 04 Zachodnio-Pomorskie 16.7% 20 03 Pomorskie 12.1% Students and graduates 20 mln people aged 35 and less 455 higher education institutions almost 2 mln students • 18 universities more than 430 thous. graduates every year • 22 technical universities more than 90% of students know foreign languages • 95 academies of economics growing number of science students Young engineers in Poland* City Main academic centers TRI-CITY OLSZTYN SZCZECIN BIALYSTOK BYDGOSZCZ/TORUN WARSZAWA POZNAN ZIELONA GORA 360> LODZ LUBLIN WROCLAW OPOLE No. of students (thousands) KIELCE 201 > KRAKOW KATOWICE RZESZOW 151 – 200 101 – 150 51 – 100 50 < Source: Central Statistical Office Students Graduates Warszawa 31 580 4 776 Wroclaw 25 870 4 205 Katowice 5 077 1 073 Krakow 31 194 4 905 Poznan 17 652 3 589 Tricity 14 693 2 667 Kielce 5 630 1 278 Lodz 18 920 3 556 Lublin 9 331 1 879 Rzeszow 8 135 1 639 *Disciplines: ICT; Mathematics and statistics; Engineering and technical; Physics. Source: CSO, data as of 2010 Tax rates • Corporate Income Tax (CIT) rate 19% • Personal Income Tax (PIT) rate 18% and 32% • Value added tax (VAT) basic rate: 23% reduced rates: 8%, 5% export rate: 0% • Social Security Tax paid by employer between 19.48% and 22.14% Polish exports EUR bln 160 140 Data: Poland’s CSO 140 130 120 120 100 110 80 100 60 90 40 80 20 70 0 34.3 40.3 43.3 47.4 59.6 71.4 87.9 101.8 116.2 98.2 120.4 136.7 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 60 exports in value In 2011 Poland exports was by 14% higher than a year before In the commodity structure of Polish exports the main groups of products were: • products of the electromechanical industry (20.4%) • products of chemical industry (6.9%) • metallurgical products (5.9%) • agricultural and food products (5.6%) Polish imports 180 160 Data: Poland’s CSO 140 EUR bln 120 100 80 60 40 20 0 53.0 56.1 58.2 60.2 71.3 81.2 100.8 120.4 142.5 107.5 134.2 152.6 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 imports in value In 2011 Poland imports increased by 14% comparing to the previous year. In the commodity structure of Poland imports the main groups of products were: • Products of the electromechanical industry (17.5%); • products of chemical industry (8.8%); • mineral products (6.9%). Foreign Direct Investment Inflow of FDI’s in 2011 amounted to nearly EUR 10 bln Companies from Germany, the Netherlands and Luxembourg are the biggest foreign investors in Poland Forms of regional aid in Poland TAX EXEMPTIONS CIT exemption in Special Economic Zone Real estate tax exemption CASH GRANTS Government grants Cash grants available through EU funds (EUR 67 billion) All above presented instruments can be combined together (with some exceptions) however the total amount of regional aid cannot exceed the maximum aid ceiling Special Economic Zones Definition • a special economic zone (SEZ) is a designated area in which manufacturing or distribution activities can be conducted on preferential terms • 14 SEZ in Poland, with several subzones The purpose • support regional development Total area • up to 20 000 hectares Time of operation • 31st December 2020 Permits to conduct activities in SEZ • issued by the authorities of each SEZ • • • Benefits from obtaining a permit to conduct activities in SEZ : eligibility for income tax exemption plot of land prepared for an investment project free assistance in dealing with formalities relating to the investment project Exemption from real estate tax a form of regional state aid available in communes which adopted resolutions concerning the possibility of exemption from real estate tax maximum tax limits in 2012 are: 21.94 PLN/sq.m. for buildings, 0.84 PLN/sq.m. for land and 2% of construction value. In each commune tax rates are set by local authorities the exemption usually depends on the amount of new workplaces created Example: Grudziądz, Kujawsko - Pomorskie province Investment in the Pomorska SEZ by entrepreneur other than small or mediumsized Jobs created Full exemption Investment of at least EUR 100 000 50 3 years 70 5 years 90 7 years For every EUR 500 000 – additional 6 month of exemption no more than 1 year Government grants Programme of support of investments of considerable importance for Polish economy Production Modern services automotive ICT electronics SSC aviation BPO biotechnology „big investment” in other sectors R&D activity Purpose of support development of innovativeness and competitiveness of Polish economy Result of support 50 programmes of total amount 13,5 bn PLN (since 2004r.) 33,7 thous. of new jobs Source: PAIiIZ, Ministry of Economy Poland’s economy - forecasts 2012 2013 GDP growth 2.5% 2.2% Inflation 2.8% 2.7% Public deficit 3.5% 3.0% Public debt 55% 53.7% Economic cooperation between Poland and Ireland Polish exports to Ireland 600 500 EUR mn 400 300 200 100 0 97.0 117.0 132.0 132.0 176.0 233.0 289.0 379.0 532.0 371.0 449.7 397.4 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 20 in value exports Main commodities in Polish exports to Ireland in 2011 Products of the electromechanical industry 33.3% Agricultural and food products 22.9% Mineral products 14.3% Products of chemical industry 9.5% Metallurgical products 4.7% Paper and wooden products 4.6% Miscellaneous 4.6% 21 Polish imports from Ireland 1200 100 95 1000 90 85 EUR mn 800 80 600 75 70 400 65 60 200 55 0 308.0 326.0 341.0 323.0 372.0 450.0 570.0 664.0 956.0 712.0 840.2 777.3 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 22 imports in value 50 Main commodities in Polish imports from Ireland in 2011 Products of chemical industry 44.5% Products of the electromechanical industry 39.1% Agricultural and food products 11.1% 23 Polska Power! The brand of the Polish Economy Perspective fields of cooperation Furniture industry Amber and jewelery IT Boating industry (yachts) Pharmaceutical and biotechnological industry Perspective fields of cooperation cont… Medical equipment Doors and windows Construction sector Protection and preservation of historical monuments Cosmetics industry Perspective fields of cooperation cont… Mining equipment Clothing, accessories and leather goods industry Medical services Defence industry Food and drinks Why Poland? Summary Strategic location Economic and political stability Availability of skilled human resources Effective incentives system including EU-Funds Trade and Investment Promotion Section Embassy of Poland www.dublin.trade.gov.pl [email protected]