CzechInvest, the country’s investment incentives coordinator, has received 41 new projects applications valued CZK 19bn since July 2012. That’s six times as much as in the first half of last year, when only seven applications for investment incentives were turned in. The steep increase was triggered by an amendment to the Investment Incentive Act, which came into force on July 12, 2012. Companies such as ŠKODA Auto, Saar Gummi Czech, Třinecké železárny and Jotun Powder Coatings (CZ) said the law was sorely needed because it extended the time frame for tax relief for manufacturing, business support services and technology centers from five to ten years.
“This shows that the amendment to the Investment Incentives Act was a step in the right direction and that the Czech Republic is competitive,” says Minister of Industry and Trade Martin Kuba. “The investment projects received last year represent CZK 20 bn and nearly 5,500 new jobs, most of which are in high unemployment regions…”
