Presentation of Invest in Sweden Agency

Presentation of Invest in Sweden Agency Year 2008 October 29, 2008 www.isa.se 2 Content FOREIGN INVESTMENTS ISA’S MISSION ISA BASIC FACTS ISA PROCEDURE ISA RESULTS October 29, 2008 www.isa.se 3 FOREIGN INVESTMENTS ISA’S MISSION ISA BASIC FACTS ISA PROCEDURE ISA RESULTS October 29, 2008 www.isa.se FOREIGN INVESTMENTS 4 The importance of FDI  FDI is increasingly important to a country’s growth. The competition to attract investments is getting harder each year.  Companies invest abroad as a consequence of globalization. In order to keep the critical mass of strategic sectors in Sweden, it is vital to increase the flow of FDI.  A number of emerging economies will be playing an important role in international business. It is therefore important for Sweden to gain a position in these dynamic markets. October 29, 2008 www.isa.se FOREIGN INVESTMENTS 5 What’s in it for us?  Growth, technological development and job opportunities.  Strengthened competitiveness in strategically important sectors.  Small and medium sized companies gaining new capital, new markets and expertise through international contacts.  Enhanced regional networks and competence to further attract new foreign investors. October 29, 2008 www.isa.se 6 Global investment flows 1997-2007, billion USD 1600 1400 1200 1000 800 600 400 200 0 Total investment Developed countries Developing countries * Figures for 2007 are preliminary Source: Unctad, 2008 October 29, 2008 19 97 19 98 19 99 20 00 20 01 20 02 20 03 20 04 20 05 20 06 20 07 * www.isa.se FOREIGN INVESTMENTS 7 Global increase of investments Global investment flows 1997-2007, billion USD 1600 1400 1200 1000 800 600 400 200 0 Total investment Mergers and acquisitions * Figures for 2007 are preliminary Source: Unctad, 2008 October 29, 2008 19 97 19 98 19 99 20 00 20 01 20 02 20 03 20 04 20 05 20 06 20 07 * www.isa.se FOREIGN INVESTMENTS 8 Balanced investments Foreign assets in Sweden and Swedish assets abroad 2006, billion SEK 2000 1,552 1500 1,760 1000 500 0 Foreign assets in Sweden Swedish assets abroad Source: SEB, 2008 October 29, 2008 www.isa.se FOREIGN INVESTMENTS 9 Global investment promotion Investment promotion agencies 2005 REGION NUMBER OF IPA’S Western Europe Central and Eastern Europe North America Latin America and the Caribbean South and East Asia Other parts of Asia Africa 104 25 62 46 69 75 61 Others Total Source: The World Bank 2006 3 445 October 29, 2008 www.isa.se 10 FOREIGN INVESTMENTS ISA’S MISSION ISA’S MISSION ISA BASIC FACTS ISA PROCEDURE ISA RESULTS October 29, 2008 www.isa.se ISA’S MISSION 11 ISA’s mission 1 2 3 4 Attract FDI to Sweden to enhance Swedish competitiveness and promote growth. Increase awareness of business opportunities in Sweden and the image of Sweden as an attractive country for investments. Extend cooperation with players in the private and public sectors, and increase FDI skills and expertise in municipalities, counties and regions. Provide the government and other relevant players with high-quality investment analysis of the Swedish and international economies. October 29, 2008 www.isa.se ISA’S MISSION 12 First mission International Sales organizes industry-specific project teams in Swedish strategic sectors in order to offer decision support, investment objects and establishment services to potential investors.  Automotive  Cleantech  ICT  Life sciences  Packaging  Services: business processes, contact centers, financial services, logistics retail, regional headquarters, shared service centers, and travel and hospitality October 29, 2008 www.isa.se ISA’S MISSION 13 Second mission Market Communications works with three main target groups: foreign investors, Swedish decision makers and opinion leaders, and other investment promoters.  PR and media  Website (seven languages)  Publications  Fact sheets  Case studies  Sweden Promotion Forum October 29, 2008 www.isa.se ISA’S MISSION 14 Third mission Regional Services enhances cooperation with players in municipalities, counties and regions.  Regional services and networking  Skills and expertise development  After care  National cooperation from a regional perspective  Regional cluster development October 29, 2008 www.isa.se ISA’S MISSION 15 Fourth mission Research analyses of investment climate trends in Sweden and its competitors.  Annual publication: Investment in the global and Swedish economy  Studies in current subjects  Statistics and analysis of FDI trends  Contributions to most ISA publications  Research groups October 29, 2008 www.isa.se 16 FOREIGN INVESTMENTS ISA’S MISSION ISA BASIC FACTS ISA PROCEDURE ISA RESULTS October 29, 2008 www.isa.se ISA BASIC FACTS 17 ISA at a glance Background   Started activities in 1996 Director-General: Per-Erik Sandlund Personnel  70 employees in 6 countries  80% are academics and the majority with private sector backgrounds      Sector specialists Budget SEK 78 million 77% governmental funding Results In 2007: 174 investments and about 2,500 new jobs Since 2001: close to 1,000 investments and about 25,000 new jobs October 29, 2008 www.isa.se 18 ISA organization 2008 Audit Committee Advisory Board Director-General Economic Council Research Administration & IT Business Development Establishment Services Market Communications Regional Services International Sales China Automotive/IVSS India Cleantech IT & Telecom (ICT) Japan Life Sciences USA Packaging October 29, 2008 www.isa.se 19 ISA’s focus areas Industry sectors  Automotive  Cleantech  ICT  Life Sciences  Packaging Service sectors  Contact centers  Financial services  Logistics  Regional headquarters  Retail  Shared service centers  Tourism October 29, 2008 www.isa.se ISA BASIC FACTS 20 Finances SEK million Government appropriations Government grants Grants from partners Total 2008 61 3 14 78 October 29, 2008 www.isa.se ISA BASIC FACTS 21 ISA’s international organization ISA Offices -Sweden -India -Japan -China -North America Embassies and consulates October 29, 2008 www.isa.se ISA SERVICES – YOUR BUSINESS FACILITATOR 22 Partners in 17 regions Norrbotten County Västerbotten County Västernorrland County Gävleborg County Stockholm Business Region Östergötland County Jönköping County Kalmar County Kronoberg County Jämtland County Dalarna County Värmland County Örebro County Skaraborg Business Region Göteborg Sjuhärad Business Region Skåne October 29, 2008 www.isa.se ISA BASIC FACTS 23 ISA in cooperation  Member of World Association of Investment Promotion Agencies (Waipa)  Close cooperation with • • Nutek - the Swedish Agency for Economic and Regional Growth VINNOVA – the Swedish Governmental Agency for Innovation Systems Swedish Energy Agency the Swedish Road Administration and others • • 222 members from 156 countries Close cooperation with Nutek - the Swedish Agency for Economic and Regional Growth and VINNOVA – the Swedish Governmental Agency for Innovation Systems • • •   Part of the Baltic Sea Region Investment Promotion Agencies (Bipa) Sweden promotion • • Baltic cooperation arena • Project in India Part of the Council for Promotion of Sweden - Ministry for Foreign Affairs - Swedish Institute - Swedish Trade Council - Visit Sweden October 29, 2008 www.isa.se 24 FOREIGN INVESTMENTS ISA’S MISSION ISA BASIC FACTS ISA PROCEDURE ISA RESULTS October 29, 2008 www.isa.se ISA PROCEDURE 25 ISA’s offer Facts, analysis and individual solutions  Basic facts about Sweden  Sector-specific information  Visiting programs  Match-making with Swedish companies  Business cases Tailor-made business offers  Open a sales office  Start R&D business  Set up a production facility  Invest in a fund  Take part in research cooperation  Establish a regional headquarters Decision support Investment opportunities Practical establishment services  Legal framework, rules & regulations, costs, taxes, employment Establishment support  Information; Market data  Important network; contact with commercial players, regional partners, authorities etc. October 29, 2008 www.isa.se ISA PROCEDURE 26 The sales process: from leads to after care Lead generating - Marketing Sales After care Classification Interest Requirement Solution Decision Implement Establishment Investment opportunity Decision support Establishment services October 29, 2008 www.isa.se ISA PROCEDURE 27 ISA’s follow up system  Classification in ISA’s database  Receipt from the foreign investor  Audit Committee • • Importance of investment ISA’s contribution  Three-year follow up  Five year report 1996-2000 and 2001-2005  Scorecard October 29, 2008 www.isa.se ISA PROCEDURE 28 Grading system ISA participation Low 5 4 3 2 1 48 24 12 6 3 Medium 96 48 24 12 6 High 192 96 48 24 12 Contribution to Sweden October 29, 2008 www.isa.se 29 FOREIGN INVESTMENTS ISA’S MISSION ISA BASIC FACTS ISA PROCEDURE ISA RESULTS October 29, 2008 www.isa.se ISA RESULTS 30 Investments and results 2001-2007 5487 4 710 300 4500 4000 3 321 3 465 193 174 280 260 240 220 2 528 2 310 116 1 720 97 140 150 3500 3000 2500 2000 1500 1000 500 0 2001 2002 2003 2004 2005 2006 2007 93 200 180 160 140 120 100 80 60 40 20 0 Points Investments October 29, 2008 www.isa.se ISA RESULTS 31 Types of investment 2005-2007 Corporate Joint Other finance venture 3% 3% 3% Expansion 7% Strategic alliance 15% New establishment 55% Acquisition 14% October 29, 2008 www.isa.se ISA RESULTS 32 New business establishments by county/region 2005-2007 Västerbottens County 3% Kalmar County 4% Jämtlands County 4% Skåne Region 10% Other 14% Stockholm Business Region 34% Värmland 15% Västra Götalands County 16% www.isa.se October 29, 2008 ISA RESULTS 33 Investment by country 2001-2007 USA 19% Other 26% India 6% Norway 6% Germany 7% Japan 11% UK 11% China 14% October 29, 2008 www.isa.se ISA RESULTS 34 Points by country 2005-2007, points US China Japan UK Germany Norw ay India France Finland South Korea Netherlands Taiw an Denmark Austria Other 36 12 117 72 36 90 13 8 18 6 204 318 282 297 4 50 468 4 56 438 6 12 690 1068 777 579 594 390 348 312 276 576 492 510 255 144 342 150 13 2 114 2 70 12 0 84 108 108 12 0 14 1 18 6 18 6 2007: 5 487 2006: 4 710 378 2005: 3 465 October 29, 2008 www.isa.se ISA RESULTS 35 New job opportunities 2001-2005 7 000 17 000 4 000 6 000 10 000 New job opportunities Grow th New jobs Multiplier effect Total October 29, 2008 www.isa.se ISA RESULTS 36 The increasing importance of ISA’s participation % “High impact” 80 70 The ISA contribution was vital to the investment 60 50 “Low impact” The investment would have taken place without ISA 40 30 20 10 0 2001 2002 2003 2004 2005 2006 2007 High impact Low impact Source: Receipts from foreign investors October 29, 2008 www.isa.se ISA RESULTS 37 Awards The World Bank and its Miga division creates the annual Investment Promotion Agency (IPA) Performance Review:   2005: World Leader IPA among 178 investment promotion agencies 2006: Top IPA Overall among 125 investment promotion agencies Other awards:    2006: The World’s leading IPA website (GDP Global) 2007: The best investment promotion agency in China (Mofcom) 2007: Investor satisfaction service (CFI) The investors' perception of ISA's services has increased with 3 units 82 (of 100). Source: World Bank / Mulilateral Investment Guarantee Agency (Miga), 2005 and 2006, GDP Global 2006, Mofcom; The Chinese Ministry of Comerce 2007, CFI international October 29, 2008 www.isa.se 38 Thank you! For more information  Welcome to visit website www.isa.se to download publications, presentations, fact sheets and case studies October 29, 2008 www.isa.se