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Firms wary of ability to enforce law

BUSINESSPEOPLE most frequently question the enforceability of the law, shortcomings in application of equality before the law, and unstable and non-transparent legislation as they evaluate the quality of the business environment in Slovakia.

BUSINESSPEOPLE most frequently question the enforceability of the law, shortcomings in application of equality before the law, and unstable and non-transparent legislation as they evaluate the quality of the business environment in Slovakia.

Based on the latest survey conducted by the Slovak Business Alliance (PAS), the quality of Slovakia’s business environment deteriorated further over the final quarter of 2013, even though the pace of deterioration eased and was more moderate compared with the previous four quarters. The current value of the business environment index, prepared based on PAS’s own survey, is 66.3 points. Compared to the third quarter the index decreased by 2.72 percent.

Law enforceability and the functionality of the courts saw the most significant drop in the evaluation in the last quarter of 2013.

“The rating of this item has been falling significantly for the fourth consecutive quarter, this time by 8.97 percent,” PAS wrote in a February 28 statement.

The application of equality before the law was the second-worst evaluated item, with a decrease of 7.8 percent. Entrepreneurs particularly dislike measures that only apply to some groups of businesses and thus deform the market and do not contribute to improving the business environment as a whole, according to the PAS. Furthermore, businesspeople point to shortcomings in putting existing legislation into practice.

The third-largest decline in the survey was seen in the area of the comprehensibility, usability and stability of legal norms. It worsened 6.96 percent.

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