 Conclusion |
While the various Czech governments made their mistakes,
especially in delaying privatization of some major
companies and only slowly improving Czech legislation,
the satisfaction of foreign investors, steady stream
of new FDI as well as rather stable macroeconomic
situation makes the Czech Republic a safe place
to invest. The key event to watch for the investors
will be the upcoming reform of public finances to
make sure the Czech Republic is able to meet the
Maastricht criteria and join the euro zone as soon
as possible, after its entry into the European Union
in May 2004.
Even though no official schedule has been published,
most experts suggest the Czech Republic should adopt
the Euro not sooner than 2007, after the entry process
is completed and the economy absorbs the changes
the EU membership will bring.
|
"Our effort is
oriented towards the fulfillment of the conditions
to be able to enter the euro-zone around 2008-2009"
says Mr.
Sobotka, Minister of Finance.
The educated labour force remains the top attraction,
supported by the ideal central location and the
imminent entry into the European Union. The EU membership
will make it easier for the investors to export
their goods back to the EU market, turning the Czech
Republic into a manufacturing base for many European
companies. Many of them have already set up their
operations to claim their stake and hire the best
people, preparing to expand once the national borders
are abolished. If you are planning to expand into
the new EU markets, you better catch up, it is time
to go now. |
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