The BJA (Belgium-Japan Association & Chamber of Commerce) has put all of its research ducks in a row by focusing them on Belgium's investment climate, and has come to the conclusion that the country is an excellent investment environment.

The study categorised the results from seventeen surveys in four different fields: globalisation, attraction as a centre for company headquarters, logistics appeal and quality of research and development. The study criteria compared Belgium with its neighbouring countries on issues such as the level of educational standards, the extent of internationalisation, work productivity and tax on invested capital.

The study results from the 17 surveys ranged from reasonable to good in almost all instances.

"This indicates a gap between perception and reality", explained BJA director, Anja Kellens and added "We are well aware of the incredible investment value of this country, but not everyone is convinced. We have done exactly what our Japanese investors are doing: we have compared our country to our neighbouring countries. When seen in this light, Belgium scores high on matters that are not always taken into account."

A survey conducted by the World Bank, for instance, revealed that labour flexibility in Belgium is among the highest in the world, with only Great Britain exceeding this level of flexibility in some areas. BJA Chairman Masamoto Nomura put things into perspective: "Belgium is one of the few countries in Europe that allow an employer to dismiss an employee without any formalities. In other countries a judge usually rules on such matters. This is not the case in Belgium. Severance pay structures are obviously employed, but the legal context is very clear in Belgium and highly appreciated by investors."

Another study conducted on the issue of tax rates in Belgium showed that this country, with its notional interest deduction system, is the only country with negative income tax. A portion of the capital is deductible from the taxable amount. The more capital employed, the less tax is paid.

The BJA hopes that this report will boost interest among Japanese businesses in investing in Belgium.