The Czech Republic, nestled in Central Europe, known for its rich history, stunning architecture and beautiful landscapes, has positioned itself as an attractive investment destination – particularly in the software space.
In this article, we’re exploring what is making the Czech Republic such a popular location, and what it means for the country’s future growth.
Strategically located
Perhaps one of the biggest advantages of investing in the Czech Republic is that it’s situated in the heart of Europe, meaning it serves as a gateway to both Western and Eastern European markets. This geographic advantage is crucial for businesses looking to expand their reach across the continent.
Blossoming digital economy
The software market in the Czech Republic is continuously growing and is expected to reach £1.40bn in 2024. Statista is forecasting an annual growth rate of 2.74%, resulting in an impressive projected market volume of £1.56bn by 2028.
The country has been focusing on digital transformation and has a growing digital economy. This focus on digitalisation across various sectors creates numerous opportunities for tech companies and investors.
Robust tech ecosystem
With its growing tech ecosystem and vibrant start-up culture, it’s no surprise to see that Czech companies featured heavily in Deloitte’s Technology Fast 50 Central Europe Award – including taking 1st and 2nd place! The country has created an innovative environment with numerous tech hubs and innovation centres, which are helping to foster collaboration for continued growth.
Highly educated workforce
In the Czech Republic, a high rate of students are completing higher education, with the population being well-regarded for technical skills, particularly in STEM (Science, Technology, Engineering and Mathematics) fields. The country’s universities are also known for producing skilled graduates in IT and related areas, providing a strong talent pool for the software industry.
Government support and incentives
There are various incentives made available for technology companies in the Czech Republic, including investment aid, tax incentives and support for research and development activities. Together, these policies are demonstrating the country’s commitment to fostering a supportive environment for companies in this space.
High quality of life and infrastructure
With a high standard of living, excellent public services and well-developed infrastructure, the Czech Republic is an appealing location for professionals. Quality of life here is rated as ‘Very High’ on Numbeo’s Quality of Life Index, with a low cost of living and high health care and safety indexes really standing out.
Cost-effective
Compared to other Western European countries, the Czech Republic offers a cost-effective environment for businesses, including lower costs of living, competitive salaries and relatively lower operational costs. Factors like this can be particularly attractive for start-ups, as well as established companies who are looking to maximise their investments.
Vesta’s view
Here at Vesta, we consider the Czech Republic, like much of Central Europe, to be a prime investment opportunity for our team. The country’s combination of technological innovation and talented pool of professionals means we are keen to talk to companies in the area who may be looking to take the next step in their journey.
To have an informal chat with our team and find out more about Vesta Software Group, please get in touch.
