Austrian Economic News and Analysis

Austria Opens Embassy in Ghana: Strengthening Relations, Promoting Security and Economic Potential

Austrian Foreign Minister Alexander Schallenberg traveled to the Ghanaian capital Accra to open the new Austrian embassy and deepen bilateral relations between Austria and Ghana. In addition to the opening ceremony, the agenda included meetings with Ghanaian President Nana Akufo-Addo, Foreign Minister Shirley Botchwey, and representatives from both countries' business and cultural sectors.

September 15, 2024

China Ambassador to Austria Qi Mei in the “Press Salon” of the Austrian Journalists' Club

China's Ambassador Qi Mei was a guest at the “Press Salon” event at the invitation of the Austrian Journalists' Club (ÖJC). In the presence of journalists from well-known media such as “Der Standard” and ORF, Qi Mei took the opportunity to talk about China's current economic and political developments as well as relations with Austria.

September 12, 2024

Gas Extraction in Upper Austria: Opportunities and Challenges for ADX Energy's Test Drillings

The planned natural gas extraction in Upper Austria is causing controversy. While the Australian company ADX Energy sees gas as a contribution to national energy independence, environmentalists warn of the ecological and climate policy consequences of new fossil fuel projects.

September 12, 2024

Vienna to Become a Center for Financial Technology: AFT 2024 International Conference

Vienna will once again become the international hub for innovative financial technologies in September 2024. From September 23 to 25, 2024, the sixth edition of the Advances in Financial Technologies (AFT) conference will take place at the Austrian National Bank (OeNB).

September 11, 2024

Foreign Currency Loans in Austria Fall to New Low in Q2 2024

The market for foreign currency loans in Austria continues to decline sharply. The Financial Market Authority (FMA) published a new survey for the second quarter of 2024, which shows a further significant decline in the outstanding volume of such loans.

September 11, 2024

Closing of the European Forum Alpbach 2024: Europe's Future under the Sign of the “Moment of Truth”

The European Forum Alpbach 2024 came to a successful conclusion with a lively discussion between high-ranking representatives of all Austrian parliamentary parties in front of around 500 participants. The final discussion marked the highlight of a two-week forum that once again served as an important platform for European and international dialog.

September 8, 2024

Technology Talks 2024: Vienna as a New Hotspot for Research and Innovation

On September 12 and 13, the MuseumsQuartier in Vienna will be transformed into a center for the latest developments in research, technology and innovation. The Technology Talks Austria 2024 will bring together over 700 experts from science, business and politics to discuss the challenges and opportunities of the so-called “triple transition” - a transformation that encompasses ecological sustainability, digitalization and social justice.

September 5, 2024

European Forum Alpbach Enters Second Week: A Look Back and a Look Forward

The European Forum Alpbach (EFA) is entering the second week of its high-caliber discussion rounds. Under the motto “Moment of Truth”, the focus is on Europe's challenges and opportunities. While the first few days of the forum have already set important accents, the coming week promises equally exciting insights and groundbreaking debates.

August 27, 2024

UniCredit Bank Austria: Austrian Economy Remains in the Downturn - Hope for Recovery Only in 2025

The economic situation in Austria remains tense and a sustainable recovery does not appear to be in sight until 2025. The latest reports from UniCredit Bank Austria paint a gloomy picture for 2024. Despite some positive signs, particularly in the service sector, the economy is in a prolonged slump. Industry and the construction sector in particular continue to be under great pressure, which is weighing heavily on the overall situation in Austria.

August 22, 2024

OPEC Sees Oil and Electrification as an Inseparable Duo for the Future of Global Energy Supply

In the current debate about the future energy supply, electrification is often portrayed as the big opponent of oil. The increasing pressure to reduce CO2 emissions and make the energy supply more sustainable has led many to view the use of oil as obsolete. But Haitham Al Ghais, Secretary General of the Organization of the Petroleum Exporting Countries (OPEC), disagrees with this simplistic view and emphasizes the indispensable role that oil and its derivatives play in the global energy landscape.

August 20, 2024

Austria's Competition Watchdogs Criticize Concentration on Gas Market

The Federal Competition Authority (BWB) and the regulatory authority E-Control recently presented the second interim report of their joint Electricity & Gas Task Force. This investigation is a reaction to the developments in the Austrian energy markets, which are characterized by strongly fluctuating prices and high market concentration.

August 20, 2024

Vienna Airport Reports Strong Growth in the First Half of 2024

Flughafen Wien AG, the operator of the Vienna International Airport, presented impressive results for the first half of 2024. The company recorded significant growth in all key areas, including passenger numbers, revenue, and profit, thus continuing its successful growth course.

August 20, 2024

Alpbach: Between Tradition and the Future - the European Forum Alpbach 2024

The European Forum Alpbach (EFA) celebrated its 80th anniversary in 2024. It once again attracted over 4,000 participants to the small Tyrolean mountain village, which became the center of European discourse for two weeks. Under the general theme of “Moment of Truth”, this year's forum focused on the groundbreaking decisions that Europe must make in the face of multiple crises, from climate catastrophes to political tensions.

August 18, 2024

Austria Investing in the Future: Strengthening STEM Education and Massive Research Funding

Austria is setting standards in the education and research landscape to meet the challenges of the future. With two far-reaching initiatives, the government aims to combat the shortage of skilled workers in the STEM fields (mathematics, IT, natural sciences, and technology) as well as massively promote research and innovation in the country. These measures are intended not only to solve short-term problems but also to secure and strengthen Austria as a business location in the long term.

August 13, 2024

Largest Insolvency in Styria: Fisker GmbH and its Effects

The insolvency of the Austrian Fisker subsidiary has far-reaching consequences for the Styrian economy. With a mountain of debt of almost four billion euros, it is the largest corporate bankruptcy of the year.

August 8, 2024

International Headquarters Vienna: Economic Importance and Future Potential

A recently published study by the economic research institute WIFO on behalf of the Austrian Foreign Ministry illustrates the significant financial impact of international organizations in Austria.

July 31, 2024

Algeria, Slovakia and Austria Deepen Economic Relations

A working meeting was held at the Imperial Hotel Vienna, organized by the Algerian Embassy in Austria and Slovakia with the support of the Austro-Arab Chamber of Commerce (AACC).

July 29, 2024

Salzburg Summit: Europe's Challenge in the Global Economy

The Salzburg Summit 2024 provided a platform for discussions on the pressing economic and political challenges facing Europe. One of the central debates revolved around the tense relationship with the major economic power China and the resulting impact on European competitiveness.

July 25, 2024

Signa Group in Crisis: Saudi Arabian Sovereign Wealth Fund Seeks Complete Takeover of Selfridges

The economic turbulence surrounding the Austrian Signa Group has taken a new turn: The Saudi sovereign wealth fund Public Investment Fund (PIF) is planning a complete takeover of the renowned British department store Selfridges. This announcement comes at a time when Signa, under the leadership of founder René Benko, is facing significant financial challenges.

July 25, 2024

Imfarr: Another Austrian Real Estate Developer in Insolvency

The Viennese real estate developer Imfarr Beteiligungs GmbH has applied to the Vienna Commercial Court for restructuring proceedings without self-administration. The company's liabilities amount to around 604 million euros. This affects 18 employees and around 110 creditors.

July 23, 2024

Austrian National Bank Examined the Spread of Crypto Assets in Austria

Cryptocurrencies such as Bitcoin are widely known in Austria, but their actual distribution in private households remains modest. A recent study by the Austrian National Bank (OeNB) found that only 3% of the population own crypto assets. These few owners usually only hold small amounts, which rarely make up more than a third of their total financial assets.

July 16, 2024

Austria Businesses Heading for a Record Year of Bankruptcies in 2024

Austria is facing a possible record year for corporate insolvencies in 2024. The current economic situation shows a significant increase in insolvencies, especially in the first half of the year.

July 15, 2024

Austria's Challenges and Successes in the OECD Report

The OECD has presented its latest country report for Austria. Every two years or so, the Organization for Economic Cooperation and Development analyses each member country as a whole and summarizes the findings of this analysis in a comprehensive report. Austrian policymakers have now taken up this report and are hotly debating it.

July 9, 2024

Economic Outlook in Austria: High Inflation and Stagnation Until 2026

The Austrian Institute of Economic Research (WIFO) has published a comprehensive analysis of economic development and inflation forecasts for Austria, covering the years 2024 to 2028. The study shows that Austria will continue to struggle with high inflation until mid-2026 before the European Central Bank's (ECB) target of two percent is reached. At the same time, the economy will not see a slight recovery until 2025.

July 1, 2024

Austria's External Trade Deficit 2023 has Fallen Sharply

Austria recorded a remarkable reduction in its foreign trade deficit in 2023. As the latest figures from Statistics Austria show, the deficit fell by around 90 percent from 20.59 billion euros in 2022 to just 2.02 billion euros. This decrease is mainly due to cheaper energy imports, especially gas.

June 25, 2024

Swiss Novartis Opens Fastest Cell Culture Facility in Tyrol

Novartis opened a state-of-the-art cell culture facility for the production of monoclonal antibodies in Schaftenau, Tyrol.

June 24, 2024

Signa Group Stabilizes After Insolvency: Former CFO Retires

Following the collapse of the real estate group Signa, the former CFO Manuel Pirolt sees the company stabilized and announces his resignation.

June 20, 2024

30 Years of the WKÖ Export Prize: Austrian Companies Honored for Top Performance

Austria's export industry has achieved impressive successes over the last 30 years. EU accession in 1994 played a key role in this, paving the way for a more than five-fold increase in goods exports. Despite challenging framework conditions, the 63,700 domestic export companies achieved a record value of 200 billion euros in goods exports and 83 billion euros in services exports last year.

June 18, 2024

30 Years of the EU Referendum: A Success Story for Austria

On June 12, 1994, a groundbreaking referendum was held in Austria, in which two-thirds of the population voted in favor of joining the European Union. This decision laid the foundations for a new era of economic, political, and social integration of Austria in Europe. Since its official accession on January 1, 1995, the country has changed considerably and has since benefited from EU membership in many ways.

June 12, 2024

Ukraine's Economic Potential: Analysis by the Vienna Institute for International Economic Studies

In a new comprehensive study by the Vienna Institute for International Economic Studies (wiiw) and the Bertelsmann Foundation, Ukraine is recognized as having enormous economic potential.

June 12, 2024

Austria Promotes Key Projects for Renewable Energies in Central Asia

High-ranking representatives from Central Asia, Europe, and the Middle East as well as private investors are gathering in Vienna at the invitation of the World Bank to hold the International Energy Investment Forum. The event is being held in cooperation with the government of the Kyrgyz Republic and other international financial institutions such as the European Bank for Reconstruction and Development (EBRD) and the European Investment Bank (EIB).

June 10, 2024

OPEC+ Extends Production Cuts Until 2025

Representatives from Saudi Arabia, Russia, Iraq, the United Arab Emirates, Kuwait, Kazakhstan, Algeria, and Oman met in Riyadh on the sidelines of the 37th OPEC and Non-OPEC Ministerial Meeting (ONOMM). During the meeting, the participating countries decided to extend the existing production cuts until the end of 2025.

June 2, 2024

Austria Signs Pact for Hydrogen Corridor

In a step towards a sustainable energy future, the energy ministers of Italy, Germany, and Austria have signed a joint declaration of intent to develop a hydrogen import corridor between the three countries.

May 30, 2024

Supply Stop and Human Rights Allegations for OMV

OMV, Austria's leading energy company, is currently under immense pressure. Two developments could have a significant impact on the company and the Austrian energy market: the threat of Gazprom stopping gas supplies and serious allegations of involvement in war crimes against former OMV executives in Sudan.

May 22, 2024

Republic of Austria Opposes Restructuring of Signa Development

The Republic of Austria has filed an appeal against Signa Development's fiduciary restructuring plan, leaving the future of the restructuring process of the real estate conglomerate founded by René Benko hanging in the balance. This legal action could lead to a complete reassessment of the restructuring strategy.

May 1, 2024

Austrian Economic Chamber: Opportunities and Challenges for Austria in Global Trade Dynamics

Against the backdrop of an increasingly interconnected global economy and the challenges posed by geopolitical tensions, Mariana Kühnel, Deputy Secretary General of the Austrian Federal Economic Chamber (WKÖ), emphasized the critical role of international trade for the Austrian economy. On the occasion of the Market Access Day in Vienna, she spoke about the need to secure access to global markets and open the doors to international sales markets, especially for small and medium-sized enterprises (SMEs).

March 21, 2024

New Dynamics on the Labor Market and with the Red-White-Red Card: Austria Relies on the Influx of Skilled Workers

At a meeting of the interministerial Skilled Workers Strategy Committee, decisive measures to speed up the procedures for the Red-White-Red Card were discussed. The aim is to combat the shortage of skilled workers in Austria through more efficient recruitment of internationally skilled workers and to increase the location's attractiveness.

March 19, 2024

Deepening Austrian-Kazakh Relations: Focus on Economic and Political Cooperation

At a time characterized by geopolitical tensions and economic challenges, Austria and Kazakhstan have reaffirmed their intention to raise bilateral relations to a new level. The working visit of Kazakh Deputy Prime Minister and Foreign Minister Murat Nurtleu to Vienna marks an important milestone in the cooperation between the two countries, with a particular focus on the economy, politics, and security.

March 18, 2024

Inflation Outlook for Austria Shows Significant Improvement

The Austrian National Bank's (OeNB) latest inflation forecast gives cause for cautious optimism for the Austrian economy. Inflation has decreased and economic growth has also returned since the start of the year, albeit weakly.

March 13, 2024

U.S. Ambassador Kennedy Will Lead Austrian Delegation to Major Investment Summit in the U.S.

In a major announcement from the US Embassy in Vienna, it has been revealed that US Ambassador Victoria Kennedy will lead a high-profile Austrian delegation to this year's SelectUSA Investment Summit. The event, which will take place from June 23-26, 2024 at the prestigious Gaylord National Resort & Convention Center in National Harbor, Maryland, is considered a key platform for promoting foreign direct investment in the United States.

March 10, 2024

Signa's Major Project "Lamarr" in Vienna Seeks New Owner

The prestigious "Lamarr" real estate project on the bustling Mariahilfer Strasse, a flagship property of the troubled Signa Group, is now officially on the market.

March 6, 2024

Vienna Airport Expands Cargo Traffic with Asia

Vienna Airport is setting new standards in international air cargo traffic through significant cooperation agreements with Incheon Airport in South Korea and the renowned airline Korean Air. These strategic alliances mark a decisive step towards increasing capacities and efficiency in the cargo sector between Europe and Asia and further strengthening Vienna's position as a leading hub in the air cargo industry.

February 28, 2024

Financial Turbulence and Internal Conflicts Shake Signa Group Severely

The Signa Group's financial crisis reached a new peak when creditors filed claims totaling EUR 6.3 billion against Signa Prime, of which only EUR 2.6 billion were recognized by the restructuring administrator Norbert Abel. The hearing at the Vienna Commercial Court revealed that the group's financial difficulties are deeper than previously thought, with a significant proportion of the claims in dispute.

February 26, 2024

Africa Day 2024: Austria Looks to Africa's Future Markets

This year's Africa Day was all about Africa's future markets and offered a platform to strengthen economic relations between Austrian and African companies. Organized by the Austrian Federal Economic Chamber (WKÖ), the event attracted more than 1,200 participants from Austria, over 30 African countries, and guests from Europe, Asia, and the USA.

February 5, 2024

Signa-Retail Company Lamarr Declares Bankruptcy

The highly anticipated Lamarr Kaufhaus project on Mariahilfer Straße in Vienna, set to include a flagship department store and hotel, has filed for bankruptcy. This development comes as a significant blow, as the project, originally slated for completion in 2025, has faced financial turmoil. The insolvency was confirmed by the Creditors' Protection Association KSV 1870 on Friday.

February 4, 2024

OPEC Fund: A Record Year for Development and Sustainability

The OPEC Fund for International Development has had an unprecedented year as the institution stepped up its global development assistance efforts, committing a record-breaking US$1.7 billion to 55 projects worldwide. These funds, designed to address the challenges of climate change, support the energy transition, and strengthen social and economic resilience, mark a turning point in the Vienna-based Fund's efforts to promote sustainable growth worldwide.

January 30, 2024

Realignment and Expert Dialog: Austria's Path to Fair Competition

The new head of the Federal Competition Authority (BWB), Natalie Harsdorf-Borsch, has set herself the goal of taking stronger action against companies that abuse their market power. This focus marks a strategic reorientation of the BWB, which previously dealt primarily with price agreements and investigated fewer cases of abuse of market power.

January 28, 2024

Intensive Diplomatic Activities of the Iraqi Foreign Minister in Vienna

Iraqi Deputy Prime Minister and Foreign Minister Fuad Hussein held a series of significant meetings during his official visit to Austria aimed at strengthening bilateral relations and discussing key regional challenges.

January 24, 2024

Austrian Justice Minister Zadić Plans Reforms in Connection with the Signa Insolvency

The insolvency of the Signa real estate company has far-reaching consequences, which are now also prompting the Austrian Ministry of Justice under the leadership of Green Justice Minister Alma Zadić. In a five-point plan in response to Signa's insolvency, Zadić plans to significantly tighten the penalties for failing to submit balance sheets.

January 24, 2024

Austrian Banking Sector Focuses on Sustainability: OeKB > ESG Data Hub Established

In a remarkable step towards promoting sustainability in the financial sector, Oesterreichische Kontrollbank (OeKB) has successfully introduced the OeKB > ESG Data Hub. Around 80% of the domestic banking sector, including well-known institutions such as UniCredit Bank Austria, Raiffeisen-Sektor, Erste Bank, and Sparkassen as well as Oberbank, already use this central online platform.

January 11, 2024