German investors willing to invest in Serbia

Belgrade, April 23. 2010 (Serbia Today) - German investors positively assessed the growth of the operations in Serbia and 87 percent would again invest in the Serbian market, announced today the German business association in Serbia. All the companies that participated in the survey of German business associations on business conditions in Serbia, expect sales growth in 2010 and 39 percent plan major investments, told representatives of the Association at a press conference. Director of the Delegation of German investors in Serbia, Michael Schmidt said that the direct investment of German companies in Serbia during the economy crisis of 2009 were about 50 million Euros, and this year there is a possibility of expansion of existing investments in the Serbian market. "In times of crisis it is very important to create jobs," he said. Schmidt said that to attract new investments it is necessary for the Serbian government to be more effective, especially in the reduction of bureaucracy, building public infrastructure, public procurement, subsidies, and improving legal certainty. About two-thirds of the surveyed companies, according to Schmidt, said that the Serbian government measures to ease the crisis were average or ineffective. Chairman of the Board of the German Economic Association in Serbia Ernst Bode said the economists estimated that the economic position of Serbia is not fantastic, but that the position of the companies are better than last year. About 30 percent of companies surveyed rated its operations in Serbia as good, while 62 percent said that it is satisfactory, he said, adding that 48 percent of companies expect sales growth in 2010, a 42 percent expect the increase in profit. The German Ambassador in Serbia Wolfram Maas, said that the total German investment in Serbia is around 1.5 billion Eros, and Germany is among most important trade partners of Serbia. There are potential for expanding trade and economic cooperation between Germany and Serbia, said the ambassador.