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Slovenia

The European Commission predicts that in 2014, Slovenia will still record negative annual growth rate of GDP; however, indicates that, from 2015 Slovenia's economy has a chance, like the all Member States, once again to enter the path of the economic growth. Just as in 2012, also in 2013, Slovenian GDP decreased. Scale of the drop was smaller, which influenced the situation in the second half of 2013, when, on a quarterly basis, GDP increased by 1.2%.

The first quarter of 2014, on a quarterly basis GDP decreased, but its annual growth rate remained positive (1.5%, instead of 1.9% in the fourth quarter of 2013).[1]

Data from 2013 indicates that the GDP of Slovenia was 45.5 billion US dollars and per person 18500 USD (2000 USD less than in 2008). Unfortunately, for several years, GDP has been continuously reduced, and the forecast for 2014 is not optimistic. Inflation since 2010 remained at a safe level of 2-3%, steadily decreasing from 2013 and does not exceed 1%. Very disturbing symptom is the increasing unemployment rate, which currently stands over 14% (March 2014), in fact, it is a record percentage of unemployed persons in the history of the independent Slovenia.

The indicator of HDI (2013) is still at a high level - 0.892 (21 place in the world, 10th in the EU) and putting up Slovenia to the group of highly developed countries. Government spending since 2010, although not the best economic forecast, remains constant and does not exceed 50% of GDP (in 2012 - 48.1%). Most of money is still spent on welfare benefits (approx. $ 9 billion USD - 19% of GDP), healthcare (approx. $ 3.5 billion USD - 7% of GDP) and education (approx. $ 2 billion USD - 6.4% of GDP). Noteworthy fact is the dramatically increasing public debt, which even in 2010, reached 35.2% of GDP, in 2012 already 47.1%, and upon the end of 2013 was 71.7%.

It is predicted that without the immediate reforms within the public finance sector, this ratio will run up. The rentability on 10-year bonds was presented equally negative, which in June 2013 reached the dangerous level of 7.5%. It should be noted that the level of 7% is considered to be impossible to handle in the long run (when Ireland and Portugal asked the value of the bailout). In 2014, the situation improved significantly and currently the Slovenian bond profitability reached 3.5% (April 2014). Slovenian trade annually notes small deficits. In 2012, the value of imports reached 28.4 billion US dollars, while exports were $ 27 billion.



[1] Polish National Bank, The economic situation in the countries of Central and Eastern Europe, 2014