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Theme: Structural Business Statistics

 




Foreign Affiliates Statistics (iFATS), 2019

22.12.2021


An inward foreign affiliate is an enterprise resident in the country over which a non-resident (foreign) institutional unit has control. Inward foreign affiliates statistics describe the economic performance of the resident (domestic) business entities in the country in which the share of foreign capital (of one or more countries) in the total capital is 50% and more. The main objective of these statistics is to show the share and influence of these enterprises on the domestic economy. 

In 2019, 1874, i.e. 3.2% of the total number of active enterprises (58 765) within the non-financial business sector1) were foreign branches - domestic enterprises controlled from abroad. They hired 20.1% of the total employees and generated 39.2% of the total turnover, i.e. 34.3% of the total gross value added in the observed scope, which indicates their significant impact on the domestic economy. 

The most numerous were in the sector Wholesale and retail trade and repair of motor vehicles (31.5%). The majority of the employees, over 80%, were engaged in the sectors Manufacturing (57.5%), Wholesale and retail trade (14.0%) and Information and communication (8.3%). 

The largest contribution to the value added of foreign branches was made by the Industry sector with 57.0% (Manufacturing 41.1%, Mining and quarrying 8.4%, Energy sector 7.1%), followed by Information and communication with a share of 15.1% and Wholesale and retail trade and repair of motor vehicles and motorcycles 14.3%.

Foreign affiliates were controlled mainly by the European countries (78.9%). EU member states control 59.1% of foreign branches, in which 70.8% of employees were engaged and participated with 76.0% in value added.
 
The most economically important foreign branches were controlled by Austria (15.7%), the Netherlands (15.3%), the United Kingdom (10.1%), Germany (8.9%) and Hungary (5.9%). Their share in the total value added of the domestic economy1) was 19.2%, showing the extent to which the total value added is under the control of foreign companies with majority foreign capital.
 






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