Rural Economic Development – Incentives attracting Enterprises

AER Conference

Exeter 20th Oktober 2005

Johannes Maier

Figures:

• 9 536 squ/km

• 559.404 inhabitants

• GDP (PP): 105,6 of EU25-level (2002)

• Greatest town: Klagenfurt (94.000 inh.)

• 6,5% of population still working in agriculture (some Nuts III: 10,5%), 59% forest

• 12% organic farming, • 95% are handicaped areas (mountainous) small and

long valleys, surrounded by peaks up to 2.500 m (typical for south and western Austria)

• question of transport infrastructure

Mountains ...

Rural area at the whole ...

Villach Klagenfurt

• About 900 local initiatives and small projects for businesses, farmers, municipalities, local groups, etc

• Stimulating co-operation and innovation• Bottom up – utilizing local potentials• Overarching aim: Creating jobs and income

Integrated approach

• 7 business (Tech-) Centres

• main measure for economic incentives

• hard and soft infrastructure

• i) Founder monitoring and services

strategic planning processes and implementation mechanisms

Business and Tech-centres

• ii) Encouragement of clusters

• iii) Support for marketing initiatives

• iv) Training and skills facilities

„Economic Promotion Institute”

“Technikum Kärnten“

provide ...

• Decentralised technical colleges • Situated in 4 locations• Co-operation in projects with local enterprises• Delivering new technologies and innovation • New discussion: regional policy versus cost efficiency !

Technikum Kärnten

the whole region

Business centres cover ...

• 1990: Provide solely for business premises and (hard) infrastructure

• 1995: extension to (soft) „services“ (founders)• since 2000: know-how transfer and innovation

with networking and clustering

> „Lake side Park“ Klagenfurt

Tasks are changing ...

Summary conclusions:• Particular public services are needed > keep alive economic activities in

rural areas (founders) • Business parks and local projects• Modernisation, innovation, structural reforms demand reacting in time

towards globalisation – earlier to Lisbon • No rural development without strengthening agglomerations (towns)• Rural areas: call for accessibility to innovation and research funds • Successful developments are build on the regional strengths

Thanks for your attention

johannes.maier@ktn.gv.at

www.europa.ktn.gv.at

Entwicklungsagentur Kärnten GmbH

office@entwicklungsagentur.at

www.entwicklungsagentur.at