From a country economically lagging far behind its western neighbours, Poland quickly transformed into a dynamically developing nation with a strong international position. The access to European funds contributed to its rapid development, the flourishing of cities, and the improvement of road, railway and aviation infrastructure. The opening of borders and the free movement of persons have significantly expanded horizons of young people eager to acquire knowledge, skills and experience. In addition, Polish hospitality and openness, as well as the beauty of the Polish landscape from the Baltic Sea to the Tatra Mountains, mean that you should choose Poland as your business location.
Educated Specialists and Dynamic Economy
Poland is inhabited by 37.8 million people, 60% of whom live in cities. The national unemployment rate is falling regularly and currently amounts to only 5.6 percent, the lowest since 1990. The education and qualifications of the Polish people are improving, which is why today’s labour market in Poland is an employee’s market. Almost half of Poles in the age group 30-34 have higher education. Each year, around 400,000 graduates leave Polish universities, the largest part of whom are students of programmes related to business, administration, law, technology and industry. Apart from being better educated than their parents, young Poles speak at least one foreign language, and, above all, they are ambitious and focused on development and success.
According to data from Statistics Poland, Polish economy increased by 4.5 percent in the second quarter of 2019 as compared to 2018, which is one of the best results in Europe. The domestic demand over the last year increased by 4.8 percent, private consumption increased by 4.4 percent, and investments in the second quarter of 2019 increased by 9.0 percent YOY. Such dynamics are also possible thanks to foreign companies which have been transferring their activities to Poland. For several years, Polish economy has remained one of the fastest growing economies in the European Union. What also works in favour of Poland is its capacious internal market, much larger than those of other Central and Eastern European countries. This is yet another factor thanks to which foreign investors see the country as their target market. Poland is also valued by investors and auditors for its economic stability.
Innovative Solutions for Business
In terms of investment attractiveness, Poland is an undisputed leader in Central and Eastern Europe. It is also at the forefront of the region’s nations in terms of innovation. Its strengths lie in its openness in the approach to innovation and the dynamic growth of its start-ups. More and more start-ups and micro-enterprises work in co-working spaces, which were originally dedicated primarily to freelancers. Meanwhile, the idea of coworking spaces is also gaining popularity among entrepreneurs and small-team companies which do not have sufficient resources or do not need a permanent office. It is an excellent cost-reducing solution, eliminating the necessity to engage in high-rent and long-term lease contracts. Sometimes entrepreneurs need an office for several months or once a month only, and co-working spaces address this problem. Moreover, co-working provides an opportunity to liaison with other people from various industries, which often translates into broad, comprehensive networking and exchange of services. Co-working networks in Poland are experiencing dynamic development. During the initial five years after the launch of the first such space in the country, their number increased by only 50 offices, while in recent years, the market in Poland has grown by approximately 30-40 percent annually, and by 100 percent last year, YOY. Currently, there are over 300 co-working spaces in Poland (over ¾ of them in Warsaw), and their total space is 220,000 sqm. In the capital alone, 91,000 sqm were leased to the co-working network as of the end of September 2018. Further co-working spaces are planned to be completed on all major markets in the country. According to forecasts, their number in Poland will grow by at least 20 percent per year, which is associated with a constant demand for office space.
Favourable Climate for Investors
Currently, 14 special economic zones operate in Poland. They are separate entities, usually located within the boundaries of a particular city, offering an opportunity to run businesses on preferential terms to entrepreneurs, such as tax exemptions. Investors can obtain government grants, R&D reliefs, as well as take part in Horizon 2020 programs available throughout the EU. Polish cities offer a number of their own facilities and incentives for investors who want to locate their businesses in them. In addition, as compared to other European markets, Poland is competitive in terms of labour costs and workforce availability.
These efforts are reflected in the rankings and awards granted to individual Polish cities for their attractiveness to investors and in the results of various surveys conducted by audit companies, according to which the investment climate in Poland is assessed high above average by foreign investors. In addition, the dynamically developing real estate market translates into hundreds of thousands of new square meters of high-class office space annually, increasingly modern and convenient industrial and logistics space, hotel and congress facility networks enabling the organization of events, and modern mixed-use facilities. Thanks to all these factors, Poland is the place where you want to run your business.