Austrian Business Agency (ABA), the national investment promotion company, announced record results for the fourth straight year.

In 2000, ABA co-operated with regional investment promotion agencies in the country to provide professional consulting and support services to 132 foreign companies locating their business operations in Austria, compared to 118 in 1999.

Cumulative investments of ABA-supported projects reached a level of ATS 7.621 billion (EUR 554 million) double the amount of ATS 3.814 billion (EUR 277 million) in 1999. The number of jobs created by these companies totalled 5,420 in the year 2000, a significant increase compared to 3,047 jobs created the year before.

“Last year’s record results once again demonstrate the ongoing upward trend in foreign investment and Austria’s bottom-line competitive advantages,” says René Siegl, ABA Managing Director. “The dynamic pace of reforms in recent years – including the liberalisation of the telecom, gas and electricity sectors or flexible working time models – has gained widespread international recognition and is expected to accelerate in the future.”

Austria offers foreign investors all the benefits linked to EU membership, its position as the pre-eminent business gateway to Central and Eastern Europe, a geographic location in the heart of Europe, a thriving high-tech economy, economic and social stability, EU membership, a highly-qualified and motivated work force as well as low tax and inflation rates.

Of all the projects supported by ABA in the year 2000, Germany continues to lead the countries investing in Austria. It accounted for 44 or a third of all investment projects. Switzerland ranks second with 20 companies, followed by the USA with 17, Great Britain with 7 and Italy with 6 companies. France and Slovakia each accounted for 4 investment projects, with 3 each from the Netherlands, Poland and Taiwan, 2 from Canada, Denmark, Israel, Japan, Spain and Sweden. The remaining projects are from various Central and Eastern European countries, China, Korea and Belgium. In 2000, Central and Eastern European companies accounted for 13 ABA investment projects in Austria or close to 10% of the overall total.

Vienna remains the top business location, the choice of 72 of the 132 companies investing in Austria, whereas 16 selected the province of Upper Austria, 12 chose Lower Austria, 9 decided for Salzburg, 8 for Carinthia, 4 in Vorarlberg, 2 each in Burgenland and Tyrol and one in Styria. 6 of the foreign companies maintain operations in several provinces.

Of the 132 projects, 82 are service companies, 40 are in the sales/distribution field and 8 are production facilities. A total of 19 foreign companies have set up their European or Central/Eastern European headquarters in Austria, whereas 6 have located their research and development operations in Austria.