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Euro adoption more likely, analysts say

FOLLOWING a decrease in September, the probability that Slovakia will adopt the euro in January 2009 was up slightly in October, according to a monthly survey of analysts.

The survey conducted by the Institute for Economic and Social Reforms (INEKO) non-governmental organisation and the Club of Economic Analysts put the likelihood at 71 percent, following a drop of six percentage points in September to 70 percent.

The October increase is the result of the cabinet-approved state budget draft for 2008, which meets euro adoption criteria, SITA wrote.

"However, this growth in probability was hampered by plans for the huge highway construction projects using public-private partnerships that the government is insisting upon, despite the cautionary stance of the Finance Ministry," said INEKO analyst Peter Goliáš.

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