Slovenia was the republic with the strongest economy under the former Yugoslavia, and accounted for a good deal of its GDP and exports. When Slovenia gained independence in 1991, it already had a strong economy and existing trade ties with the West. Following independence, trade was quickly liberalized and Slovenia began to seek membership of the Western European and Transatlantic organizations.
Although Slovenia was hit hard by the late 2008 financial crisis, the economy has begun to recover. Domestic consumption has since rebounded somewhat and growth rates are steady. The traditional industries of farming, fishing and forestry account for a very small part of GDP nowadays, with manufacturing, chemicals and pharmaceuticals, electronics, and logistics, among others, now making up the bulk of the national output.
Although Slovenia has relatively high personal tax rates - ranging from 16% to 50% - its corporate tax rate of 19% is relatively low among EU states. There are also various tax reliefs available for companies; 100% for money invested in research and development and up to 40% of the amount spent on equipment and intangible long-term assets. Profit repatriation tax is set at 15%, except in the case of dividends paid abroad to EU members, where it is 0%.
Slovenian wages are relatively low in comparison to Western European countries; however, there is a high amount of skilled labour. Establishing a business is a straightforward process, provided the minimum share capital of €7,500 is invested, the company has a Slovenian office address and the business is carrying out commercial activity. Ousheng Capital is on hand to assist you with any queries you may have in this regard.
Slovenia has visa-free, visa-on-arrival, or e-visa arrangements with 149 countries and regions including all EU member states, Switzerland, USA, Canada, Hong Kong, Australia, New Zealand, Turkey and South Korea. This means travelling to other countries is a straightforward matter for Slovenian citizens. Moreover Slovenian residency will automatically give residents the freedom to travel to any of the 26 member Schengen area for up to 3 months without a visa.
Slovenian citizenship can be acquired by naturalization after ten years of residence in Slovenia, including five years of continuous residence before the application. Applicants must be aged 18 or over, be of good character and have sufficient means so as not to require welfare payments. Applicants will need to show proof that their previous nationality has been renounced, or will automatically be renounced upon the taking up of Slovenian citizenship. This requirement can be waived upon special application. A basic proficiency in the Slovenian language is also required.
Foreign citizens may also obtain citizenship through exceptional naturalization, at the discretion of the Government of Slovenia. Applicants must have a guaranteed, permanent source of income, a clean criminal record and must have settled all tax obligations. Applicants must live in Slovenia for one year.