THE EAST of Slovakia is continuing to attract foreign investors. A Spanish company now says it wants to employ 400 people in the IPZ Záborské industrial park in Prešov, the Hospodárske Noviny financial daily reported in late June.
“We are negotiating with [a] Spanish investor,” Pavel Hagyari, mayor of Prešov, told the daily.
The company was later identified as Fundería Condals, which produces metal castings for the automotive industry. According to Hagyari, the Spanish firm plans to invest €10 million in Prešov.
Neither the Slovak Investment and Trade Development Agency (SARIO) nor the Slovak Ministry of Economy have yet received any official application for investment aid from the Spanish company, but the daily reports that an application is expected. Based on current legislation the firm could get aid of up to 50 percent of its costs, as it would be investing in a region with a high unemployment rate, currently 17 percent.
The daily speculated that it might be potential cooperation with American firm Honeywell or the cheap local labour force that lies behind the Spanish company’s decision to invest in Prešov. Wages in the region are the lowest in Slovakia, at just over €600 per month.
According to the daily, if negotiations are successful, the investor might start building production premises later this year.
13. Aug 2012 at 0:00 | Compiled by Spectator staff