Austria's Foreign Trade and Investment Relations with the Western Balkan Countries

Due to their geographic proximity, traditional economic ties and a policy of rapprochement with the EU, the Western Balkan region (Albania, Bosnia–Herzegovina, Kosovo, Croatia, Macedonia, Montenegro, and Serbia) has been accorded particular importance by Austria. By international standards, Austria's foreign trade is exceptionally closely intertwined with these countries. Its large market shares in the export of goods and its role as the most important foreign investor in Croatia, Bosnia–Herzegovina and Serbia underline Austria's outstanding position in this region. The financial market and European debt crisis seriously dampened the dynamics of export and investment activities in the Western Balkan countries. By 2010, there were signs of a slight recovery, but according to preliminary data from January to November 2013 the effects of the crisis have not yet been overcome. In the medium term, the Austrian economy could benefit at a better than average rate from intensifying its economic relations with the Western Balkan region.