Abstract:

Investment incentive is any form of subsidy that is provided to investor, usually to attract the inflow of foreign direct investment. This measure becomes important particularly in competition for investment with regions or countries with similar conditions. There is another function of investment incentives. Favouring of the less developed regions by different conditions of incentives providing might lead to reduction in regional disparity. The providing of investment incentives in the Slovak Republic started in 2002. Since that time, until the first quarter of 2016, 175 investment incentives were provided. However, the volume of investments, the average investment, the number of incentives, the volume of incentives, the average incentive or the share of incentives on investments differs among the Slovak regions.Alike, the planned created jobs or incentive per job is different. The paper deals with the analysing of available data on investment incentives in the Slovak Republic. The most developed Slovak districts received higher investments, higher incentives and has created higher number of jobs. However, the share of incentives on the investment cost is the highest in the less developed districts.