Austria is associated with the image of mountain resorts, cozy Viennese cafes, Tyrolean yodel, Mozart (the composer and chocolate named after him). In general, tourism and nothing else. But this is not entirely true, Austria is one of the most developed countries in the world, it ranks 6th in the comprehensive ranking of the level of the economy in the world. Austria's GDP is provided by thousands of enterprises, well equipped with technology, with an educated workforce.
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 country's advanced economy has a large service sector, a relatively strong industrial sector, and a small but technologically well-developed agriculture. In terms of GDP, Austria ranks 46th in the world. The country has a highly skilled labor force, 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 high figure for Europe. This low rate is maintained thanks to extensive training programs and incentivesearly retirement. The country can afford such significant expenses, Austria's GDP per capita is 42,000, which is 33rd 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 monetary policy of the EU in relation to sovereign debt, the influx of refugees and other reasons. Therefore, economic growth has declined over the past few years, Austria's GDP by years: 2.3% (2017), 1.5% (2016), 1% (2015).
What did nature give?
Everyone knows about the amazingly beautiful mountain landscapes of Austria, which the country is successfully monetizing. But surprisingly, in the center of Europe, a small country still extracts minerals. Austria has deposits of iron ore, magnesite, black and brown coal, and even oil and natural gas.
Deposits of clay, kaolin, table s alt, tungsten, copper and lead-zinc ores, gypsum, antimony ore and other minerals are being developed. Austria exports graphite, talc, magnesite, table s alt and some semi-finished industrial mineral products. Forests are another natural we alth of the country - 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 little bit of everything
The strength of the Austrian economy is that it does not haveone dominant industry. Enterprises of various industries, mostly small and medium-sized, produce competitive products. Of the 7,000 Austrian companies, only 2% have more than 500 employees. The structure of Austria's GDP is traditional for a developed economy: services - 70.5%, industry - 28.2%, agriculture - 1.3%. Main industries: mechanical engineering, metallurgy, food, light and woodworking. There are many factories in Austria that produce components and spare parts for German cars, including various engines. The high-tech sector is represented by enterprises producing integrated circuits and electronic equipment. 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 directly or indirectly used for animal husbandry, meadows and land - for growing fodder. Modern technologies, extensive mechanization allow us to provide up to 90% of our food needs.
Not a day without tourism
The country's most famous revenue industry contributes significantly to Austria's GDP. Tourism serves as the main source of covering the country's trade deficit. The industry sells 70% more than it spends. The country's tourism market ranks 11th in the world, and first in terms of income per tourist. Stable political situation, developed infrastructure, rich recreational opportunitiesattract tourists from all over the world. Austria provides holidays for every taste and budget all year round. In winter - these are ski resorts, in summer - excursions to cities with a rich history and architectural monuments. The industry employs 330,000 people - this is one in five able-bodied citizens. Revenues account for 5.8% of Austria's GDP - about $18 billion.
Foreign economic relations
In terms of exports, Austria ranks 31st in the world - $141 billion. The top export destinations are Germany ($38.8 billion), the US ($11 billion) and Italy ($9.1 billion). The main countries where Austria buys goods are Germany ($56.6 billion), Italy ($9.2 billion), Switzerland ($8.36 billion), China remained in fourth place. Most of the foreign trade falls on the European Union (60.2% of exports and 65.8% of imports). The volume of foreign trade is almost 83% of Austria's GDP. Main exports: medicines, equipment, spare parts, iron and steel, paper and cardboard, textiles. Main imports: spare parts, equipment, vehicles, oil and natural gas.
