Austria is associated with the image of mountain resorts, cozy Viennese cafes, Tyrolean iodl, Mozart (composer and chocolate named after him). In general, tourism and nothing more. But this is not entirely true, Austria is one of the most developed countries in the world, in the comprehensive ranking according to the level of economy in the world it takes 6th place. Austria's GDP is provided by thousands of technologically well-equipped enterprises with well-educated workforce.
General overview of the economy
The Republic of Austria is located almost in the center of Europe; the country's economy is integrated into the European Union with particularly close ties with Germany. The developed economy of the country has a large services sector, a relatively strong industrial sector and a small, but technologically advanced agriculture. In terms of GDP, Austria is 46th in the world. The country has a highly skilled workforce, which is "diluted" with a large number of refugees and labor migrants from the EU. The unemployment rate is 5.8%, which is not a very large indicator for Europe. This low rate has been maintained thanks to extensive training programs and incentives for early retirement. The country can afford such significant expenses, Austria's GDP per capita is 42 thousand, this is the 33rd place in the world.
The country's good financial position is under strong pressure from external factors. In particular, this concerns the political and economic uncertainty associated with the EU monetary policy regarding sovereign debts, the influx of refugees and other reasons. Therefore, economic growth over the past few years has decreased, Austria's GDP by years: 2.3% (2017), 1.5% (2016), 1% (2015).
What did nature give?
Everyone knows about the amazingly beautiful mountain scenery of Austria, which the country successfully monetizes. But it is surprising that in the center of Europe, a small country still extracts minerals. In Austria there are deposits of iron ore, magnesite, coal and brown coal, and even oil and natural gas.
Deposits of clay, kaolin, table salt, tungsten, copper and lead-zinc ores, gypsum, antimony ore and other minerals are being developed. Austria exports graphite, talc, magnesite, table salt and some industrial mineral semi-finished products. Another natural wealth of the country is forests - they occupy 2/5 of the country, supplying raw materials for the woodworking industry. So, although relatively small, the extractive industries still contribute to Austria’s GDP.
A bit of everything
The strength of the Austrian economy is that it does not have one dominant area of activity. Enterprises of various industries, mainly small and medium ones, produce competitive products. Of the 7, 000 Austrian companies, only 2% have more than 500 employees. Austria's GDP structure is traditional for a developed economy: services - 70.5%, industry - 28.2%, agriculture - 1.3%. Main industries: mechanical engineering, metallurgy, food, light and woodworking. In Austria there are many factories producing components and spare parts for German cars, including various engines. The high-tech sector is represented by integrated circuit and electronic equipment enterprises. An important exported industry is pharmaceuticals and medical equipment manufacturing. Almost 42% of the country's territory is used for agricultural production. A third of the country's territory is used directly or indirectly for livestock, meadows and land - for growing feed. Modern technologies, extensive mechanization can provide up to 90% of their food needs.
Not a day without tourism
The country's most famous income industry makes a significant contribution to Austria's GDP. Tourism is the main source of coverage for the country's trade deficit. The industry sells 70% more than it spends. The tourism market of the country ranks 11th in the world, and the first in terms of income from one tourist. A stable political situation, well-developed infrastructure, rich recreational opportunities attract tourists from all over the world. Austria all year round provides relaxation for every taste and budget. In winter, these are ski resorts, in summer, city tours with a rich history and architectural monuments. 330, 000 people work in the industry - this is one in five able-bodied citizens. Revenues account for 5.8% of Austria's GDP - about $ 18 billion.
