September, 2014
Round table meeting “Possibilities, risks and obstacles to investment activity in Ivano-Frankivsk Oblast”
On September 26, 2014, in Ivano-Frankivsk, a round table meeting «Possibilities, risks and obstacles to investment activity in Ivano-Frankivsk Oblast» was held on the results of the sociological research on the study of the opinion of small and medium-sized enterprises directors concerning the determination of possibilities, risks and obstacles to investment activity in Ivano-Frankivsk Oblast. The meeting was held in the framework of the project “Promotion of investment opportunities and cooperation between small and medium-sized enterprises through development of cross-border ties in the Carpathian region” which is realized by the Association of Economic Development of Ivano-Frankivsk in partnership with the Development Centre for Small and Medium Sized Enterprises Maramures (Romania) and Department for International Cooperation, European integration and Tourist Infrastructure of Ivano-Frankivsk Regional State Administration in the framework of the Hungary-Slovakia-Romania-Ukraine ENPI Cross-border Cooperation Programme 2007-2013.
During the round table meeting, Maria Kovaliv – vice-chairman of the Board of the Association of Economic Development of Ivano-Frankivsk, project manager, familiarized the meeting participants with the implementation of the project “Promotion of investment opportunities and cooperation between small and medium-sized enterprises through development of cross-border ties in the Carpathian region”, as well as with the results of the sociological research. The aim of the research is to study the investment activity of enterprises in Ivano-Frankivsk Oblast, main tendencies of business development and determination of possibilities, risks and obstacles to business activity for further preparation of recommendations concerning their elimination.
100 small and medium-sized enterprises which operate on the territory of Ivano-Frankivsk Oblast took part in the survey. The following issues were studied in the framework of the survey: investment activity of enterprises, the region’s competitive advantages, assessment of region’s attractiveness for investment activity, and obstacles, risks and possibilities for investment activity in Ivano-Frankivsk Oblast.
Among the greatest obstacles to business activity the respondents pointed out the lack of financial resources, high level of corruption in the main spheres of state administration, underdeveloped infrastructure.
According to the survey, the most important way of activation of investment activity in the region, on the scale from 1 (the least important) to 5 (the most important), is the creation of a favorable investment climate which is evaluated with 4.35 points. The region’s investment strategy is evaluated with 3.2 points, the development of investment projects – 3.19 points, the improvement of government bodies operation – 3 points, the development of distinct mechanism of cooperation with potential investors – 2.85 points, the improvement of infrastructure – 2.67 points, industrial potential usage – 2.52 points, informing the investors on the development and successful implementation of investment projects – 2.45 points, improvement of the labor force quality – 2.2 points, improvement of ecological situation and recreational potential – 1.8 points.
The most important measure which should be undertaken for the promotion of entrepreneurial activity in the region, on the scale from 1 (the least important) to 5 (the most important), is the stimulation of small business development. It is evaluated with 3.72 points. The simplification of administrative procedures is evaluated with 3.17 points. The improvement of financial support to small and medium-sized business is evaluated with 2.98 points, involvement of enterprises in decision-making – 2.81 points, support for entering new markets – 2.8 points, performing mediation functions in conflict management – 2.55 points. Participation of enterprises in business associations is evaluated with 2.53 points and improvement of quality of administrative centers performance is evaluated with 2.37 points.
The round table participants discussed the results of the research and noted their importance for the process of formation of a favorable investment climate in the region.
Representatives of small and medium-sized enterprises, representatives of local self-government bodies, business-centers, and the region’s public organizations took part in the discussion of the research results.
Members of the round table noted the importance of the conducted sociological research and implementation of the project measures for the improvement of investment activity in the region.
