KIA blames Slovak government for poor investment management

THE KOREAN carmaker KIA has taken a tough line on the Slovak government's handling of its car factory investment near north-western Slovakia's Žilina. In an official stand, the carmaker openly criticized the state for not providing subsidies to its 10 supplier firms.

THE KOREAN carmaker KIA has taken a tough line on the Slovak government's handling of its car factory investment near north-western Slovakia's Žilina. In an official stand, the carmaker openly criticized the state for not providing subsidies to its 10 supplier firms.

KIA also said that the state had failed to meet several obligations, including road construction and the purchase of land needed for the factory, which has been delayed over 17 months, the daily SME wrote.

KIA officials claim that the company's expenses have risen sharply because of the Slovak government's poor management of its investment.

Former Economy Minister Pavol Rusko promised state aid worth Sk663 million (€17.46 million) to KIA's suppliers. However, the Slovak cabinet later rejected Rusko's offer, shortly before dismissing the minister over corruption suspicions, arguing that the suppliers wanted to invest in regions that are not eligible for state stimuli.

The carmaker is considering taking the case to court if its suppliers do not receive state incentives.


- BB

Get daily Slovak news directly to your inbox

Top stories

News digest: High-profile arrests and discussion on reopening schools continues

PM Matovič proposes pilot testing for schools. Slovakia will have the very first Slovak ambassador to the EU.

PM Igor Matovič has stepped into the debate about opening the schools for older children.

Another former police president reportedly charged in a corruption case

NAKA charged eight former high-ranking police, SIS and Financial Administration officials.

Milan Lučanský

Matovič could have made comments about the US rather than Mongolia

I am proud of what has been achieved in Slovakia, says Billy Altansukh.

Older children will not return to schools before Christmas

PM Igor Matovič still wants some pupils to return, he proposed a pilot testing plan.

The school in Trebišov.