Economic Analysis of the BMVIT's Flood Protection Investments. Update

The Federal Ministry of Transport, Innovation and Technology (BMVIT) is responsible for the provision of flood protection facilities along the Danube and the border sections of March and Thaya. Together with contributions from the Länder and interested parties, between 75 and 142 million € per year have been spent on this over the past five years. In 2018, capital expenditure will reach 182 million €, and investments of 75 million € are expected in 2023. An average of 23 million € more will be spent per year over the next few years than previously planned. A dynamic input-output model of the Austrian economy is used to determine the economic impact of investment activity on additional expenditure and to compare it with a forecast for 2015. Investment therefore has a significant impact on employment and value added. Towards the end of the analysis period, additional value added of 29 million € is expected from the increase in expenditure compared to previous plans.