Austria in the EU - the advantages

Since Austria joined the European Union in the year 1995, the country’s real gross domestic product (GDP) has increased by about 9.7%. Moreover, some 13,000 additional jobs have been created each year, whereas foreign direct investment has tripled, Austria’s exports could be more than doubled from the original level of EUR 33 billion.

After successful accession negotiations and a national referendum, in which two-thirds of the Austrian population voted in favor of joining the EU, Austria formally became an EU member state on January 1, 1995 together with Sweden and Finland. 

As a result, the fundamental freedoms enjoyed by people in the EU also extend to Austrians. This entails the freedom of movement for all workers and thus the free choice of employment, right of establishment and freedom to provide services, and the free movement of capital and goods. In return, Austria is obliged to adopt EU regulations.

Ongoing EU enlargement has had a positive impact on Austria’s economic growth. Forecasts conclude that Austria’s annual GDP increase is 0.15% higher than it would have been only with an EU of 15 member states (EU-15).

The bottom line is that per capita economic growth, employment and GDP of the Alpine Republic is above the average of the countries in the eurozone.

Details can be found in the Austrian Federal Economic Chamber (PDF).

How Great Britain’s decision to exit the EU (Brexit) will affect Austria or trade, tourism and the labor market is still unclear and remains to be seen in the coming years.