Growth of service-based economy has brought prosperity
he
transformation of Lombardy from an industrial region into a slick, services-based
economy has hugely benefited the local population, resulting in an influx
of foreign investment and strong employment growth. It is one of the
most prosperous areas in the whole of Europe, home to international
names like Giorgio Armani and Prada.
Lombardy remains
competitive through innovation, technology, quality production, management,
and research and development. Traditional sectors, like textiles and
machinery, are taking advantage of advances in IT and e-commerce to
maintain their position in domestic and international markets.
The Minister of Foreign Trade, Adolfo Urso, points out that the most
important Italian companies are in Lombardy and that the possibilities
for cooperation and commercial exchange are enormous. “Lombardy
is very attractive to foreign investors and the institutional set-up
is fast and efficient,” he says.
Roberto Formigoni,
Lombardy’s President, says the region’s commitment to value
added areas, such as research and development, has paid dividends. “We
know that spending one euro on research in Lombardy attracts 2.3 euros
in private investments – it has an important multiplying effect.”
A notable feature of the modern Lombardy economic make-up is the predominance
of smaller companies in the region operating across all spheres of activity,
from traditional sectors like textiles to new information-age projects.
The local administration has played a major role in fostering this entrepreneurial
climate.
|
||
 |
Massimo
Zanello, Councillor for Industry, Small-Medium Businesses
and Tourism, believes these small and medium-sized enterprises (SMEs)
play a critical role in the new economy. “Big industry has given
ground to the dynamic world of SMEs, a change that has been particularly
rapid in the last 30 years, spawning about 800,000 SMEs out of a population
of nine million people.”
These firms enable Lombardy to maintain
its competitive edge. The ability to react swiftly to the demands of
international markets, a key requirement in the global economy, gives
the region an added advantage. It also highlights Lombardy’s distinctly
pro-business stance. A number of industrial clusters have been established
to encourage new business start-ups.
Mr Zanello says five
so-called ‘meta-districts’ have also been set up to promote
biotechnology, software, food, design and fashion. “Lombardy offers
a wide range of services, expertise and know-how – a unique, productive
and cultural eco-system organised in a territory with centuries of experience
in trade and commerce.”
To raise the region’s profile further
Milan is looking to position itself as a major international trade fair
and convention destination. This responsibility lies with the Milan
fair (Fiera di Milano), which is split into a foundation, Fondazione
Fiera Milano – responsible for policy and asset management –
and a public company, the Fiera Milano – which takes care of the
fair’s operational activities.
An important project for the fair is the construction of a new exhibition
complex at Rho-Pero, on the city’s outskirts, which involves the
transformation of industrial areas to more service orientated infrastructure,
encouraging decentralisation and helping reduce congestion. This project
is seen as a symbol of Lombardy’s transformation from a heavy industrial
economy to one based on innovative industry and services. The Rho-Pero
project will make the Milan fair the largest in Europe.
| Orio al Serio Airport in Bergamo is Ryanair’s southern European hub |
|
Economic
success has its pitfalls however. One of the biggest challenges facing
Lombardy today is the improvement of its transport infrastructure, which
handles a large chunk of Italian exports heading for the EU. Most of
the traffic is on wheels which means the region’s highways, in
particular, require urgent attention. The Lombardy government is investing
heavily to address the situation. It raised a £680 million bond
on the international markets last year to fund major capital works.
One key project which
has attracted private financing is the new Bre-Be-Mi highway that will
run parallel to the existing road passing through Brescia, Bergamo and
Milan, three of Lombardy’s main urban centres. Francesco Bettoni,
President of the Bre-Be-Mi highway scheme, and also head of the Brescia
Chamber of Commerce, believes the project will improve journey times,
thereby saving companies money. “The 56 miles (90 km) of motorway
that connects these three cities is very busy – this means a great
loss of time.”
Another flagship
project is the Pedemontana highway, stretching north from Milan into
the mountains, also linking the airports of Malpensa and Orio al Serio.
The new motorway will become an axis for development, according to Marco
Citterio, President of the Como
Chamber of Commerce and heavily involved with the project. He believes
Milan and its northern hinterland are going to merge into one unique
metropolitan-regional area, like Mexico City or Greater Chicago. The
Pedemontana highway will form the backbone to the future look of the
region.
“What I am trying to do goes well
beyond a simple road. I want to optimise the space available and create
a multi-functional passage, including motorways, railways and large-bandwidth
cable networking – a pulsating artery running through the very
heart of productive Italy,” he explains.
Lombardy’s air
transport infrastructure is also being upgraded to handle the explosive
growth in traffic. The region is already well connected to the UK through
Malpensa airport, just outside Milan, and Orio al Serio in Bergamo.
Tourist numbers from the UK have literally taken off in Bergamo with
Ryanair choosing it as a southern European hub.
Ilario Testa, President
of Orio al Serio, says the airport has witnessed dramatic changes in
the last 10 years, resulting in significant improvements. In the last
four years, it has become one of the leading sub-hub airports in Europe.
|
||
|
From
an average of three take-offs and landings per hour, the figure now
stands at an average of 20 per hour. “The airport is here to stay
and it will grow,” he says.
Aldo
Bonomi, President of the Brescia
Industrial Association (AIB), believes that the ability to redefine
Lombardy’s infrastructural map will significantly influence the
region’s prospects for long-term growth and success in international
markets. He is positive despite the challenges the region faces.
“We should trust in our future,” he says. “We should
be optimistic despite the problems we have to face.”
[email protected]