Even though the short-term outlook for the EU economy remains fragile, 2013 should see a gradual return to GDP growth before further strengthening expected in 2014, according to a European Commission autumn prognosis for GDP growth in the EU between 2012-14 unveiled on the Commission's web site on Wednesday, November 7.
When it comes to next year's developments, Slovakia should finish second place in the eurozone with economic growth of 2 percent. Only Estonia is forecast to fare better with 3.1 percent. On an annual basis, GDP is set to shrink by 0.3 percent in the EU as a whole and by 0.4 percent in the eurozone in 2012, according to the EU Commission. Economic growth for 2013 is predicted to reach 0.4 percent in the EU and 0.1 percent in the eurozone. The TASR newswire quotes the Commission as having written that "the large internal and external imbalances that built up in the pre-crisis years are being reduced, but this process continues to weigh on domestic demand in some countries, and economic activity diverges significantly across member states".
2014 is expected to see growth in the EU of 1.6 percent and of 1.4 percent in the eurozone. Slovakia's economic growth in 2014 is projected at 3 percent. "Europe is going through a difficult process of macroeconomic rebalancing, which will last for some time.... Major policy decisions have laid the foundations for strengthening confidence. Market stress has been reduced, but there is no room for complacency," Olli Rehn, Commission Vice-President for Economic and Monetary Affairs and the euro, is quoted as saying. The jobless rate is predicted to be just below 11 percent in the EU and 12 percent in the eurozone in 2013, but considerable variations between individual member states are anticipated. Slovakia's unemployment rate in 2013 is expected to be the fifth highest (13.5 percent) in the EU.
Compiled by Zuzana Vilikovská from press reports
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