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Climate favourable to investments

     
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Sławomir Majman, the President of the Polish Agency of Information and Foreign Investments
Sławomir Majman, the President of the Polish Agency of Information and Foreign Investments

One would like to say – it can’t be any better. As much as 98% of investors, who have invested their capital in Poland, would invest here again. However, companies still see difficulties in conducting business in our country.

According to the 8th edition of the investment environment survey, conducted by PAIiIZ in cooperation with Grant Thornton and HSBC global bank, the average rating of Poland is 3.7 points (maximum of 5 points). Only 2 percent of investors assessed the investment climate in Poland as bad, and none of them found it to be very bad.

– This is the highest rating since 2007 – says Sławomir Majman, the President of the Polish Agency of Information and Foreign Investments.

In the years 2007-2010, the rate stood at slightly above 3 points, and “average” answers dominated. In the last two years, the rate stood at above 3.5 points, which means that the overall assessment of Poland has improved.

Our advantages

Investors appreciate the political and economical stability, the size of the internal market, the availability of raw materials and suppliers, as well as the skills and motivation of our employees.

– Keep in mind that political stability is not understood as the rules of a single party, but as the continuity of the political system – says the President of PAIiIZ.

– An HR representative from Michelin said that 20 years ago they brought workers from France in order to pass Western work culture and standards. Currently, its Polish workers who travel to France to convey best practises – says Iwona Chojnowska-Haponik, the Director of the Foreign Investment Department at PAIiIZ.
The study of the investment climate for foreign investors shows that the quality of Polish transport infrastructure improved the most. 8 years ago it was one of the worst assessed factors (average rating of 1.6 points), now it is close to the average. Investments in the modernization and development of infrastructure significantly increase the investment attractiveness and the competitiveness of the Polish economy. Good rates were also obtained by the quality of investment lands (3.59 points), which during the last 8 years improved by 0.5 points.

– Poland is now a more attractive place to locate foreign investments than it was a decade ago – says Przemysław Polaczek, managing partner at Grant Thornton.

Top scores were given by investors from Switzerland (4 points on average), Denmark, France, and the Netherlands (3.8 points). There were no investors who would give Poland an assessment lower than 3 points, and the vast majority of countries gave rates above 3.5 points.

– I think that the high rates from Switzerland and France are due to the fact that this year we have outpaced these countries in Doing Business ranking. Carrying out business is easier in Poland – claims Iwona Chojnowska-Haponik.

The bureaucracy is still stumbling

Traditionally, the Polish tax system and the application of the law were the worst. Among the lowest rated factors of investment attractiveness were the process of obtaining licences, the formalities relating to taxes, the consistency of the legislation, the stability and predictability of the law, and the effectiveness of economic courts.

– Investors complain not on the amount of taxes, but on the amount of associated documentation and the vague application of the law – says Iwona Chojnowska-Haponik.

In 2014, Polish institutions issued more than 30 thousand individual tax interpretations. What is more, an average large company during one year had to issue 78 different forms to the Tax Office.

– In each report, investors indicate the bureaucracy as the main issue in doing business We hope that the wave of new power will wash away some of these problems. Some companies are exposed to flooding, but I hope that none will sink – says Przemysław Polaczek.

Another important issue is the promotion of Poland as a location for investments.

– Much remains to be done in order to promote a positive image of Poland. While we are already well known in Europe, investors from the Middle and Far East know little about Poland. We have to deal with harmful stereotypes – explains Magdalena Ujda-Taczyńska, HSBC Bank Polski S.A. 

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