Skopje, 15 May 2024 (MIA) - German companies in North Macedonia assess the country’s climate as good or very good, but there is a trend of mild reduction of planned investments, one of the reasons for that is the shortage of qualified staff according to a survey of German investors and companies that are a part of the Macedonian-German Economic Association.

According to the survey, 37 percent of German investors and companies intend to reduce their planned investments, 33 percent will maintain the current level of investments, while 30 percent said they would increase their investments. Compared to previous years, a mild drop in investments can be seen.

“One of the most decisive factors is the growing shortage of qualified staff. As many as 70 percent of German companies in the country believe that the shortage of qualified staff is one of the biggest risks, this shortage is reflected on the current production and the reduction of planned investments. Fifty-seven percent believe that operation costs is one of the risk factors as well, while 47 percent say the economic and political situation have an impact as well,” the head of the Delegation of German Industry and Commerce in North Macedonia (AHK), Antje Wandelt, said at a press conference on Thursday.

However, she also noted that North Macedonia remains an attractive location for German investments, as demonstrated by the fact that 69 percent of surveyed investors said they would invest in the country again.

The German investors in the country are requesting a continuation of the dialogue with the relevant institutions; consultations before the adoption of legal amendments that could impact their work; boosting the efficiency of the administration and finalization of infrastructure projects.

“Although it is early for Christmas, we would like to deliver our Christmas wishes to the new Government, and these are: a continuation of the open dialogue; consultations with the economic bodies such as the chambers and the economic assocations before the adoption of legal amendments that could impact the work of the companies; increased efficiency in the field of administrative processes, such as the issuing of residence permits, work permits and greater transparency in their processes; as well as the continuation and finalization of the already launched infrastructure projects,” Wandelt said.

Regarding the recession in Germany and how it will be reflected on North Macedonia, according to Wandelt, North Macedonia could profit from it since German companies are moving their production capacities to other countries.

There are more than 200 German companies in North Macedonia, together they employ over 20.000 people.

Photo: MIA