Since 2018, Serbia has been the world leader in attracting foreign direct investments (FDI).
In the last three years, the Financial Times has twice named Serbia as the number one country in terms of attracting foreign investments, as well as the country that creates the most jobs from foreign direct investments per million inhabitants.
This is stated in this year’s report compiled by Startup Genome, presented in London. When it comes to investing in the innovation and startup ecosystem, Serbia is considered one of the leaders in creating a good environment for attracting foreign capital to this sector, particularly in Belgrade and Novi Sad’s ecosystems.
According to this report, the reasons for this lie in the educational system, operating costs and tax incentives. Serbia is recognised as one of the most open countries for foreign startups, which are exempted of up to 70% on taxes and contributions. At the same time, startup founders in Serbia are entitled to full exemption from all payroll taxes during the first three years of operation.
Prominent tax incentives for innovation include income tax exemption on intellectual property produced in Serbia in the amount of 80%, then double recording of research and development costs in tax calculations, as well as tax credit for investments in innovative startup companies in the amount of 30%.
The Startup Genome report also says that gaming and blockchain are two sub-sectors in Serbia that stand out in terms of development and potential. Moreover, the report particularly highlights the recent achievements of Serbian startups in these segments.
This post is also available in: Italiano