Slovakia’s economy will grow more quickly than was predicted in March, according to the central bank. Gross domestic product (GDP) should increase by 2.5 percent in 2012, while in 2013 it will grow by 3.1 percent, according to the revised prognosis of the National Bank of Slovakia (NBS). In 2014 the economy should grow by 4.3 percent, the SITA newswire reported.
The NBS’s governor, Jozef Makúch, explained that the reassessment of its forecast for this year was influenced by the more favourable development of the economy and employment in Slovakia during the first three months of the year.
However, consolidation of the public finances, which was not included in the growth calculation, might change the final figures, the governor added. He explained that when the central bank was working on the prognosis, there were no details about specific measures. Moreover, there is also a risk from the wider eurozone debt crisis.
“However, it is possible to estimate, based on the preliminary information [available], that measures will be adopted rather on the income side and will be of such character that they should not have a strongly negative impact on GDP in the short term,” Makúch said, as quoted by SITA. “Yet, the impact on the sustainability of the public finances and economic growth over the longer-term horizon might be questionable.”
Compiled by Radka Minarechová from press reports
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