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The Economic potential of Rzeszów City

RZESZÓW is the largest city of the southeastern Poland, the capital of Podkarpackie Province and the centre of Rzeszów Metropolitan Area. The city is an economic, scientific, cultural and leisure centre for southeastern Poland. It is an important focal point for such industries as: aviation, IT, chemical, construction, service as well as modern business services. Rzeszów is well-communicated city - several important tracks intersect in here: the international A4 motorway, ensuring a convenient link between the European road system and Ukraine, as part of the 3rd Pan European Corridor and an international E-40 Route from Dresden to Kiev. Domestic routes numbers 9 and 19 provide the shortest connection between Scandinavian and Baltic countries and Central Eastern Europe. Also the main West-East rail route E-30, which is of international economic significance, runs through Rzeszów. One of the most important asset of the city is „Rzeszów-Jasionka” International Airport – with the second longest runway in Poland. The airport is able to service the biggest planes in the world and provides „Cargo” services. It also offers regular flights to important European metropolises, including Berlin, London, Manchester, Munich, Dublin, East Midlands and Warsaw.

Rzeszów maintains close cooperation with twelve twin Cities: Bielefeld (Germany), Buffalo (USA), Fangchenggang (China), Gainesville (USA), Ivano-Frankivsk (Ukraine), Klagenfurt (Austria), Kosice (Slovakia), Lamia (Greece), Lviv (Ukraine), Lutsk (Ukraine), Nyiregyhaza (Hungary) and Satu Mare (Romania). Rzeszów is a dynamically developing city of young and enterprising people. The capital of Podkarpackie is one of the biggest university centers in Poland. According to Eurostat research, Rzeszów is the European leader for the number of students: there are 353 students per 1 000 inhabitants. Rzeszów University, Rzeszów University of Technology, University of Information Technology and Management, WSPiA-University of Law and Public Administration and Rzeszów School of Engineering and Economics educate together nearly 60 thousand students at 60 various fields of study.

The city has more than 26,000 companies, supported by over 800 financial and business-related institutions. The main industrial sectors of Rzeszów are: aviation, computer science and electronics. The city is also developing chemical, pharmaceutical, food processing, electrical machinery and related to renewable energy industries. Thanks to the favorable location of Podkarpackie Province, Rzeszów has become a shopping, wholesale and storage center for enterprises based in Ukraine, Slovakia, Hungary and Romania. The city has one of the most developed commercial networks in Poland.

The largest employer of Rzeszów, Pratt&Whitney Rzeszów, a manufacturer of aircraft engines is the vanguard of the technological development of the Region. The main shareholder of the company is United Technologies Corporation, a global leader in the manufacture of products for aerospace, energy and construction, and a supplier of engines for jet aircraft. Among the companies with foregin capital the most significant are: Pratt&Whitney AeroPower Rzeszów (former Hamilton Sundstrand) - MTU AeroEngines Poland – a leading manufacturer of aircraft engines and drive components for general aviation; Borg Warner Poland – a world leader in the manufacture of turbochargers for the automotive industry; VAC AERO – a company specialising in the field of aviation special processing services; Heli-One – a company servicing helicopters; UTC Aerospace Systems – manufacturer of aircraft components; MB Aerospace specialising in the fabrication and machining of complex aero-engine components; ICN Polfa Rzeszów (part of VALEANT group) and Sanofi-Aventis – manufacturers of pharmaceuticals; ZELMER – (part of BOSCH group), producer of household appliances; Alima-Gerber (part of Nestle group) – producer of supplements for infants and children; RABEN Polska – logistics services. Asseco Poland S.A. - the largest IT company in Poland and one of the largest in Europe, has its headquarters in Rzeszów. IT sector in Rzeszów is also represented by such companies as: G2A.com, ATOS, OPTeam, Mobica, SoftSystem, Comarch, Ideo, PGS Software, Ailleron and many others. Among the local companies the most important are: ML-System – Polish leader in the field of research and development on photovoltaics; Marma Polish Films – one of the major producers of films on the European market; D.A. Glass – leader in making optics used in light research and studies based on the nature and behaviour of light; FIBRAIN - Polish leading manufacturer in the field of ICT systems, fiber optic telecommunications and FTTH solutions. The City of Rzeszów is also a seat of international Audit & Finance giants like Deloitte or PwC - in the middle od 2015, Deloitte has decided to set its Business Services Center for 18 CEE countries in Rzeszów.

In order to create favorable conditions for doing business in Rzeszów, the City Authorities has decided to establish an economic activity zone „Rzeszów-Dworzysko”. Investment area is located in northwestern part of Rzeszów, in close vicinity of A4 motorway, S-19 expres road and „Rzeszów-Jasionka” International Airport. The entire terrain is intended for industrial activity as well as large logistics centers. “Rzeszów-Dworzysko” economic activity zone consists of the following, bordering with each other areas: Rzeszów Subzone of the “Euro-Park Mielec” Special Economic Zone (located at Dworzysko) - an area of ​​approx. 25 hectares in the western part of the Zone; Science and Technology Park - with an area of ​​approx. 55 hectares in the eastern part of the Zone; other industrial investment areas in the area of Rzeszow, planned ultimately to take up the special economic zone - a total of up to approx. 150 hectares; investment areas that follow the area of economic activity in the area of the Municipality of Świlcza (areas of Świlcza and Rudna Wielka Village Councils) and the Municipality of Głogów Małopolski (areas of Pogwizdów Nowy and Miłocin Village Councils) - approx. 300 hectares.

 Rzeszów is also home to several innovative clusters, such as "Aviation Valley Cluster" – concentrated on rapid development and growth of the aerospace industry in southeastern Poland; „Eastern Poland IT Companies Cluster” – responsible for consolidation and cooperation of IT companies; well-developing „Cluster of Unmanned Systems” – engaged in the development of drones and other flying systems; „POLIGEN Cluster” – affiliating institutions involved in plastic processing; „Subcarpathian Renewable Energy Cluster – focused on development of the environmentally friendly power industry based on renewable energy sources or The Life Quality Cluster „Podkarpacie Country”.

While creating a favorable atmosphere for investment, the City of Rzeszów uses a system of tax credits. An entrepreneur, who decides to invest in Special Economic Zone may apply for a high income tax exemption. The size of the tax exemption for the costs of new investment or job creation is 50% of the capital expenditures incurred or two-year labor costs of newly employed workers for large businesses, 60% for medium and 70% for small ones. In addition, the City of Rzeszów applies the exemption from property taxes, which is a regional investment aid for entrepreneurs creating new jobs associated with new investments in the city.

 

Interesting facts and numbers:

Area: 120,4 square kilometres

Population: 188 506

Share of population in productive age: 67%

City budget: 308,4 mln €

Investment expenses: 87,1 mln €

Rate of unemployment: 6,7%

The average age of citizens: 39

Number of students: nearly 60 000

40% of the city population with a university degree