Ljubljana, 28 November (STA) - Late payments remain the biggest obstacle for foreign investors in Slovenia, according to a survey presented by the Agency for Entrepreneurship and Foreign Investments (JAPTI) on Wednesday. Moreover, late payments are the number one problem of Slovenian investors abroad as well.
Other obstacles stated by foreign investors in the survey, include high labour cost, problems when laying people off, high taxes, an ineffective judicial system and corruption, said Matija Rojec of the Social Sciences Faculty.
The list moreover includes rigid working hours, a lack of appropriately trained labour, ineffective competition protection, a small market and problems in taking out loans.
The data show that the obstacles worsened between 2009 and 2012, which was during the period of economic deterioration, said Rojec, while presenting the survey conducted in line with the standards of the World Economic Forum.
Among the aspects that have become the most problematic, according to investors, are the laying off of people, corruption and taking out of loans. The investors are also unhappy with Slovenia's receivership legislation.
Many of the problems faced by Slovenian companies investing abroad are similar to those stated by for investors in Slovenia, which is due to the fact that many Slovenian companies invest in the countries of SE Europe.
Apart from late payments, Slovenian investors abroad listed as problematic complicated administrative procedures, corruption, economic instability and inefficient judicial systems, according to Andreja Jaklič of the Faculty for Social Science.
She moreover said that it was hard to predict the one factor that will make an investor opt for a certain market. What is certain is that financial incentives cannot make up for a poor business environment.
Slovenia placed 56th on the WEF competitiveness ranking this year, a spot up from 2011. Switzerland ranked first among the 144 countries included in the survey.