Bureaucracy is a big problem

Salzburg’s companies have become more skeptical

Sparkasse Salzburg CEO Markus Sattel nevertheless gives the companies a very positive report card(Bild: wildbild, Foto: Wildbild)

(Bild: Tröster Andreas)

Bureaucracy is the biggest concern for local economic drivers - but the general mood is still positive. This is according to an IMAS study commissioned by Erste Bank and Sparkasse. The fact is: two years ago, people were much more optimistic about the future.

They are real engines, employ 2.4 million people, 66 percent of all employees in Austria and quite simply form the backbone of the domestic economy: we are talking about small and medium-sized enterprises with an annual turnover of between two and 50 million euros.

An IMAS study conducted on behalf of Erste Bank and Sparkasse has determined how they currently feel. On the positive side from Salzburg's point of view: six out of ten companies in the province are looking forward to the future, but the general outlook has clouded over! Due to price increases, a poor order situation and competition on the Internet, 64 percent say that the market environment has become more difficult. Two years ago, 77 percent were still optimistic about the future, but now only 59 percent are.

However, the companies' view of the future is not as bad as the slump in demand for personal loans for real estate (-60%)(Bild: Tschepp Markus)

The biggest concern: bureaucracy and regulatory requirements, which are a problem for nine (!) out of ten entrepreneurs. "Nevertheless, there is economic confidence," says Sparkasse Salzburg CEO Markus Sattel. "Because our small and medium-sized businesses are few and very adaptable!"

Decline of 60 percent in private real estate loans
Demand for private real estate loans has leveled off at a low level at Sparkasse and its industry peers - it is 60 percent below the peak of 2022.