Why choose slovenia?
If you are searching for a new investment, a reliable business partner or if you are planning to set up or relocate an export business, choosing Slovenia could be the best decision you have ever made. Slovenia is strategically located in the heart of Europe, it has high skilled workforce, R&D capabilities and high level of stability.
Benefit from Slovenia’s GREEN qualities, tap into its CREATIVE talent and discover its SMART solutions to grow your business.
Green way
of doing
business
Creative and
innovative
society
Smart solutions
for global
competitiveness
Excellent geostrategic position with easy access to markets
Quality infrastructure
Highly skilled multilangual workforce
Highly skilled multilingual workforce
Fast & simple
High quality of life
Long business and personal links in the regional market
Innovation-driven economy
Part of EU single market
Key sectors & niche solutions
Competitive
Stable
Safe
There are numerous reasons why it is smart to invest and do business with Slovenia. Not only it has been recognized as one of the world’s most sustainable countries, but also high quality of life makes Slovenia a perfect country to live and work in.
Slovenia is one of the fastest growing economies in Central and Eastern European countries and extremely export oriented. It is among most developed countries in the world. What our partners value when doing business with Slovenia? Definitely business and investor friendly economic environment with efficient solutions. Investors see Slovenia as a leading country in macroeconomic stability and one of the safest places in the world with the world‘s second most reliable and secure energy supply system. Slovenia is an open economy for foreign investors, ranking one of the least restrictive countries among OECD members.
Slovenian business partners choose Slovenia also for its high degree of industrialisation, proximity to major production hubs and reaching global supply chains. Our excellent geographical position in the heart of Europe and at the crossroads of TEN-T corridors, quality infrastructure with well-developed transport and telecommunication network, fast development of information society have attracted many international companies to become our partners and suppliers. Slovenia means easy access to 700 million people in the regional markets.
We are already taking key steps aiming to build a Green, Creative and Smart economy and we strive for a systemic and efficient approach in everything we do. Slovenia is rich in natural resources (wood, soil, water) and has great potential for transition to green economy.
A corporate culture of transparency and accountability, observance of international technical standards, personal integrity and company loyalty make a foreign manager’s job easy ever since the first big international companies established their operations in Slovenia. We are an important research, development and innovation player in the region.
The key strength of the Slovenian innovation systems are human resources and international cooperation of researchers and innovators.
Slovenia’s talented workforce delivers creative and sustainable solutions. Investor confidence thrives on legal and institutional reforms designed to facilitate investment. Starting a company is straightforward and easy through single-access points to register a limited liability company, obtain a construction permit and carry out any other administrative procedures.
We have been working tirelessly to ensure Slovenia’s business and investment environment remains competitive. We have been supporting domestic and foreign direct investments through various incentives for R&D, employment and financial subsidies.
And we are committed to improve it even further with proactive reforms that will enable greater competitiveness of the Slovenian economy and create conditions for the restructuring of traditional industry into an industry of knowledge and innovation. We count on the industry to lead the transition and recovery, as the engine of the innovation and economic growth. We will support it with sustainable, targeted and investment-oriented measures. These will help the industry and enterprises to restructure their processes, boost productivity and become more resilient.
The resilience and recovery of Slovenia will be achieved through the digital transformation of certain sectors of the economy and society, reduced administrative burdens and greater openness and flexibility of the Slovenian economy, and by strengthening the innovation potential of all relevant stakeholders.
Moreover, we intend to boost investment also in infrastructure and social sectors which will significantly contribute to sustainable economic growth in the coming years.
I firmly believe that our vision of Green.Creative.Smart. Slovenia is on the right path for attracting investments also in the future since it encompasses the key future trends that every investor would benefit from.
Slovenia is a location offering to establish development, research, marketing and other activities for your entire business operation.
Our government will continue to support such investments that bring higher added value per employee, work towards green and digital sustainability, and reduce the environmental impact.
Therefore, if you are searching for a new investment, a reliable business partner or if you are planning to set up or relocate an export business, choosing Slovenia could be the best decision you have ever made. We are warmly inviting you to consider Slovenia for your next investment project.
green
Green & Sustainable: 1st country in the world to be declared a Global Green Destination.
High quality of life: exceptional satisfaction related to personal safety and welfare;
· 5th safest country in the world (Global Piece Index 2021)
Environmentally friendly country: the socially responsible Slovenian economy is among the best in the world when it comes to environmental health and ecosystem vitality (Environmental Performance Index 2020).
· 2nd in Europe in regard to recycled municipal waste (Eurostat 2019.
· 9th least polluted country in the world (Numbeo’s Quality of Life Index 2021).
Renewable natural resources (wood, water), preserved environment.
· 3rd most forested country,
· 4th richest country in renewable freshwater resources per capita in Europe (Eurostat 2021).
· 1st country that enshrined the right to drink water in the constitution.
· Initiator of World Bee Day.
Circular economy front runner in the region: at the forefront of countries transitioning to circular economy which focuses on sustainability, green technologies, corporate social responsibility (Roadmap towards the circular economy in Slovenia 2018)
Sustainable resource management: increasing the proportion of renewable energy and enabling the production of green goods and services.
Great potential for eco-innovation and growth of investment in sustainable development. 4th among EU Member States in eco-innovation inputs (Eco-Innovation Scoreboard 2021).
Increased global consumption and trust in Slovenian products and services (Statistical Office of the Republic of Slovenia, 2010 – 2019).
Energy efficient production of Slovenian goods (more than three quarters) (Eurobarometer 2017).
Response to climate change: 75% of respondents in the Eurobarometer survey adopted measures to fight climate change (Eurobarometer 2021).
One of the best in the world achieving the Sustainable Development Goals
(Sustainable Development Report 2021)
RESPONSIBLE FOR FUTURE GENERATIONS
By being GREEN, Slovenia develops technical innovations that prioritise taking responsibility for future generations. It is focused on sustainability, green technologies, corporate social responsibility, committed to reducing the carbon footprint and caring for the natural and social environment. That’s why, despite its size, Slovenia is among leading EU countries in the field of eco-innovations doubling its investment in sustainable development over less than a decade. What’s more, Slovenia’s socially responsible economy ranks among best in the world in terms of environmental health and ecosystem vitality.
Slovenia’s vision is clear: it will further focus on an environmentally friendly economy and sustainable development, and thus enhance economic growth, generate a better living environment for its inhabitants and co-create trends on the global level with green niche solutions. It will become an advanced low-carbon society based on a circular economic model.
www.slovenia.info | Photo: Jošt Gantar
EXCELLENT GEOSTRATEGIC
LOCATION & QUALITY INFRASTRUCTURE
Slovenia’s location at the crossroads of TEN-T corridors (Mediterranean and Baltic Adriatic and Alpine West Balkan) is the ideal entry point for an instant access to EU markets, CEE Europe and the South East European countries with more than 700 million customers. Slovenia boasts excellent infrastructure for inland transport of goods.
With a superb network of various types of transportation, digitally optimized planning, online management, and smart technology solutions, Slovenia ranks high in logistics know-how.
Port of Koper is a gateway to Europe and a fast-growing cargo port at the Adriatic Sea. It provides up to 7 days (more than 2,000 nautical miles) shorter route for shipments arriving from Asia than Europe’s northern ports, and consequently reduction in CO2 emissions. Freight from the Port of Koper to any of the hinterland markets (Austria, Bavaria in Germany, North Italy, Czech Republic, Slovakia, Hungary and also to the Western Balkan) can be delivered in less than 1 day by road and less than 2 days by train.
Slovenia boasts excellent infrastructure for inland transport of goods. Apart from Port of Koper, Slovenia has three international airports which provide easy access to every corner of Slovenia. The Ljubljana Jože Pučnik Airport, 25 km from the capital Ljubljana, is the main Slovenian airport for passengers and cargo. The key advantage of Slovenia’s airports is quicker procedures to unloading cargo.
In addition to well-developed physical infrastructure, a well-developed ICT industry is a key enabler for building a country’s competitiveness, attracting foreign investment, and developing information society. Slovenia’s ICT infrastructure is among the most developed in the region with a 5G network and wide high speed broadband coverage. The latest edition to Slovenia’s high-performance computing (HPC) network is Maribor’s supercomputer, which is among the 50 most powerful in the world (6.9 petaflops). Serving both industry and public sector, the supercomputer is enabling developments in areas like machine learning, artificial intelligence, and high-performance data analytics.
Photo: Port of Koper
creative
Society based on knowledge and technologies.
High skilled, talented and well-educated workforce
Attractive country for skilled workers (Global Talent Competitiveness Index 2021).
Innovative: 22nd among 200 evaluated economies; 18th place on R&D intensity subranking puts Slovenia ahead of nations like Singapore, UK, or Italy.
(Bloomberg Innovation Index 2021),
Creative and innovative products by numerous renowned Slovenian researchers, innovators and designers; high quality of industrial design and precious cultural heritage.
Innovative companies: 50% of Slovenian companies developed or introduced new products, processes or services between 2016 and 2018 (Statistical Office of the Republic of Slovenia, 2020).
Slovenia spends on R&D 2.2 % of its GDP, more than any other country in the region and it’s 10th in the EU (Eurostat, 2020).
100% tax relief for investments pertaining to R &D.
Investment of Slovenian companies in R&D rank above the EU average, resulting in technologically advanced products and solutions (European Innovation Scoreboard 2019).
4,200 researchers per 1 million people (IMD 2021)
One of the leading Central European countries with regard to patent application, over 47 patent applications per million population (Eurostat & European Patent Office 2020).
Research organisations with strong international cooperation.
CREATIVE AND INNOVATIVE APPLIED SOLUTIONS WITH HIGHER ADDED VALUE
By being CREATIVE, Slovenia recognizes and promotes human talent and the creativity of professionals who create added value in companies. Slovenia is a country of innovative people who set new trends in growing our companies. It is not surprising then that Slovenia is a leading Central European country in patent registration and one of the most innovation capable country in the world. R&D investments by Slovenia’s companies rank above the EU average, relecting their ability to create technologically advanced products and solutions best suited to the needs of the future.
Slovenia’s vision is clear: it will enhance R&D activities in order to innovate and develop new high-tech products and services and applied solutions that result from development cooperation between Slovenian research organisations and companies with the potential to become leaders in the global niche markets.
HIGHLY SKILLED AND MULTILINGUAL WORKFORCE
The quality of Slovenia’s workforce ensures that creativity is the backbone of its growing economy. Slovenia’s focus is on education, training and industry driven research to support its offering to the high technology and other high value added sectors such as information and communication technology, pharmaceuticals and life sciences. Our workforce has a far reaching reputation for having a flair for technology and innovation due to a successful combination of a long industrial tradition and quality formal schooling. There is certainly no lack of ideas and visions among Slovenian companies. They prove this every year through innovations, covering an extremely broad area of expertise.
26th among 134 countries in the Global Talent Competitiveness Index 2021, 27th in the IMD 2021 World Talent Ranking.
56% of the active working population aged 25 to 64 have completed at least a secondary education, 31% have a university education (Statistical Office of the Republic of Slovenia, 2020).
The highest share of people with a PhD in the 25–64 age group (3.8 %) among OECD countries.
3rdin European Skills index 2020.
12th among 64 countries in Language skills meet the needs of enterprises
(IMD World Talent Ranking 2021).
84 % of the working population between 25 and 64 years of age speaks at least one foreign language; 63 % speaks at least 2 foreign languages (Eurostat, 2017). English, German and Italian are widely used and French language courses are very popular.
Attractive country for skilled workers
(Global Talent Competitiveness Index 2021).
8th in Maths performance (OECD, PISA 2018).
27 % of graduates in ICT, Engineering, Math & Natural Sciences (IMD 2021, data 2018).
Competitive digital skills
(IMD World Competitiveness 2021).
smart
Digital technologies: pioneers in blockchain technology, data mining, artificial intelligence and big data analysis.
Major blockchain development hub:
· 2nd country in the world with a national test blockchain infrastructure (SI-Chain);
· 1st cryptocurrency exchange with an official license to operate within the EU was formed by Slovenians.
High-tech and innovative economy: tradition and knowledge in the industry.
Digital economy:
· 13th in the EU in the field of digital economy and society;
· 8th in the EU for incorporating digital technologies in companies (DESI 2021).
Competitive digital skills
(IMD World Competitiveness 2021).
Robotisation: smart products delivered daily by the Slovenian digital and robot-intensive economy (OECD Science, Technology and Industry Scoreboard & Digital Economy and Society Index 2019).
157 robot units per 10,000 employees, well above the world average of 113 ranking 20th (World Robotics, 2020).
Cyber security is being adequately addressed by corporations
(IMD World Competitiveness 2021).
Trisat – 1st Slovenian satellite in space: in 2020 Slovenia joined other 49 countries who have their own satelites in space also with our know-how.
Stimulating Business & Investment Environment
Highest number of Hidden Champions per million population in Central, Eastern and South-Eastern Europe (CEEMAN-IEDC Bled, 2019).
SMART SOLUTIONS FOR GLOBAL COMPETITIVENESS
Slovenian economy is SMART, with numerous efficient, high-tech globally recognised solutions, services and products that help companies gain a competitive edge in the world market. That is why every single car in the world has at least one component made in Slovenia. And also why Slovenia is the leading country in cross-border trade worldwide. That is one of the reason why Slovenia is ranked 5th by OECD for smart products delivered daily by the Slovenian digital and robot intensive economy.
Slovenia’s vision is clear: by strenghtening its innovative approaches and by investing in the development and digital transformation of sociaety and the economy, Slovenia will generate conditions for the strategically competitive advantage of the Slovenian economy, thereby co-creating trends with breakthrough solutions.
Photo: Tushek
STIMULATING BUSINESS & INVESTMENT ENVIRONMENT
Slovenia ranks as one of the least restrictive OECD-member countries for FDI, doubling its FDI stock in the last 10 years. It has a well-developed system of investment tax relief as well as R&D tax incentives and a highly skilled workforce. In the past few years it has been one of EU’s fastest growing economies, mostly due to the continuously steady increase in exports.
OFFICIAL NAME: Republic of Slovenia
CAPITAL CITY: Ljubljana
GOVERNMENT: Parliamentary Republic
LOCAL GOVERNMENT: 212 municipalities, of which 11 have urban status; 12 statistical regions, which are grouped into two cohesion regions – Western and Eastern Slovenia
AREA: 20,273 km2
POPULATION: 2,108,977 (2021)
AVERAGE LIFE EXPECTANCY: 78,1 (2019)
LOCATION: bordered by Austria, Italy, Hungary and Croatia; excellent connections with all European markets
CURRENCY: Euro
MEMBERSHIP: EU-28 (2004), euro-area (2007), OECD (2010), NATO (2004)
TIME ZONE: CET (GMT+1), and CEST (GMT+2) in summer
Official languages: Slovene, together with Italian and Hungarian, respectively in the areas with Italian and Hungarian minorities.
Source: Statistical Office of the Republic of Slovenia (SURS)
MACROECONOMIC INDICATOR
ESTABLISHING A COMPANY
STARTING A BUSINESS IS FAST AND SIMPLE
- Only 2 procedures required to register a company at zero cost
- Maximum 8 days for registration of a Limited liability company
(minimum funding of EUR 7,500 with no other costs involved)
For a business to operate in Slovenia permanently, the owner is required to register the company as a business entity. Economic activity may be performed by an individual or business in a variety of legal and organisational forms. Registration can be done online or at any of 12 Slovenian Business Point (SPOT) one-stop shops across Slovenia and is free of charge. When the company is registered online or through SPOT points, it is then automatically entered into the Court Register and in the Slovenian Business Register AJPES (The Agency of the Republic of Slovenia for Public Legal Records and Related Services). The information is also forwarded to the Tax Administration, as is the application for compulsory health insurance at the Health Insurance Institute of Slovenia.
Establishing a company
Financial Administration of the Republic of Slovenia
TAX ADMINISTRATION
FAVOURABLE TAX SYSTEM AND INVESTMENT TAX RELIEF
- Capital gains tax: 0 – 25,7 % (depending on holding period)
- VAT (Value Added Tax): 22 % standard rate / 9.5 % reduced rate
- Property Tax: 0%
Tax relief:
- 100% of the amount invested in R&D
- up to 40% of the amount invested in equipment and intangible long-term assets
Tax law in Slovenia allows tax relief on investments in elements of business research and development, on employment of the disabled, tax relief on student apprenticeships, on voluntary supplementary pension insurance and donations.
Taxes and accounting
Financial Administration of the Republic of Slovenia.
INVESTMENT INCENTIVES & STATE AID
Various financial and non-financial (indirect) incentives are available. They may be granted in the form of grants, loans, guarantees or subsidised interest rates, or as the purchase of property of the local community at a below-market price.
INVESTMENT GRANTS
from 10% up to 50 % of the eligible costs (see more for Regional map)
A. Grants for projects in the value of at least 0.5 mio/ 1 mio – 12 mio EUR
B. Grants for projects in the value of more than 12 / 3 / 2 mio EUR
A: Upon the public tender the following investments are supported:
1. the value of which (excluding value added tax and other taxes and duties) will be:
- in manufacturing: from 1 mio EUR to 12 mio EUR (at least 50% of the
investment in machinery and equipment), - in service activities: from 0,5 mio EUR to 3 mio EUR (at least 50% of the investment in machinery and equipment),
- in research and development: from 0,5 mio EUR to 2 mio EUR (at least 50 % of the investment in machinery and equipment).
2. if the recipient of the incentive maintains at least the average number of employees of the last 12 months preceding the month of submission of the application during the period of maintenance of the investment.
3. the value added per employee in the enterprise two years after the completion of the investment must be higher than the value added per employee in the enterprise in the financial year preceding the year of application.
B: Investments that make a significant contribution to the development of the Slovenian economy under the Investment Promotion Act (direct application)
An investment in manufacturing, services or research and development activities is considered to make a significant contribution to the development of the Slovenian economy if it fulfils at least the following conditions:
1. the minimum value of the investment (excluding value added tax and other taxes and duties) and the minimum number of new jobs created:
- in manufacturing: the value of the investment is at least 12 mio EUR (at least 50% of the investment in machinery and equipment) and 25 newly created and filled jobs (of which at least 5 highly qualified),
- in service activities: the value of the investment is at least 3 mio EUR (at least 50% of the investment in machinery and equipment) and 20 newly created and filled jobs (of which at least 5 highly qualified),
- in research and development: the value of the investment is at least 2 mio EUR (at least 50% of the investment in machinery and equipment) and 10 newly created and filled jobs (of which at least 5 highly qualified).
2. the value added per employee in the company two years after completion of the investment must be higher than the average value added per employee in the industry in the Republic of Slovenia in which the company is classified and higher than the value added per employee in the company in the financial year preceding the year of application.
The corporate tax rate of 19 % is among the lowest amongst the EU member states, with the effective tax rate after all tax deductions being much lower.
Corporate income tax base can be reduced on:
1. The amount invested in R&D (100%) can be claimed for tax reduction up to 63% of the pre-tax profit in the first year, the remaining difference can be claimed over the next 5 years.
2. The amount invested in equipment and intangible long-term assets (40%) can be claimed for tax reduction up to 63% of the pre-tax profit in the first year, the remaining difference can be claimed over the next 5 years.
3. 19% tax relief on employment of certain group of workers. Unemployed persons under 26 or over 55 who have been registered at the Employment Service for at least half a year can benefit from a tax reduction of 45% of their salary, up to a maximum of the taxable amount.
REGIONAL MAP 2022-2027
Investment incentives for SME are available throughout Slovenia:
- 10% of the value of eligible costs for a medium-sized enterprise and
- 20% of the value of eligible costs for a small enterprise.
SLOVENIA ON THE GLOBAL MAP
Slovenia’s key foreign trading partners in 2020
*Top 20 countries as per the value of exports.
*Top 15 countries as per top ultimate investing countries of foreign direct investment in Slovenia.
*Top eight countries as per Slovenian direct investments (OFDI) abroad.
THE MOST IMPORTANT COUNTRIES IN TERMS OF EXPORT VALUE
Export
2016 – 2020
EXPORTS IN GDP
NUMBER OF
EXPORT COMPANIES
SME EXPORTS IN
TOTAL EXPORTS
DOMESTIC VALUE ADDED
SHARE OF GROSS EXPORTS
EXPORTS TO
NON-EU MARKETS
THE MOST IMPORTANT COUNTRIES IN TERMS OF EXPORT VALUE
2016 – 2021
Source: SURS, Bank of Slovenia, TiVA OECD; in millions of EUR
TOP ULTIMATE* INVESTING COUNTRIES OF FOREIGN DIRECT INVESTMENT IN SLOVENIA
FDI
2016 – 2020
FDI IN GDP
FDI 2016 – 2020
Source: SURS, Bank of Slovenia; in millions of EUR
* Ultimate investing country is the country where ultimate investor which has control over investment in Slovenia is located. It may be different than the country of direct investor in cases of multinational corporations.
SLOVENIAN DIRECT INVESTMENT ABROAD
OFDI
2016 – 2020
OFDI
IN GDP
OFDI 2016 – 2020
Source: SURS, Bank of Slovenia; in millions of EUR