Slovakia’s Council for Budgetary Responsibility has cut its economic growth outlook, citing the impact of fiscal consolidation, global uncertainty, and weaker European demand.
Growth in 2025 is now projected at 0.9 percent, with inflation reaching 4.1 percent. For 2026, forecasts have been reduced by more than one percentage point, though the council assumes a smaller consolidation effort than currently announced.
Analysts warn that higher labour taxes, unspecified cost-saving measures, and changes to energy subsidies could weigh further on the economy. Growth is expected to stabilize around 1.5 percent in later years, supported by the launch of Volvo’s new plant in 2027.
Source: TASR
Romana Grajcarová, Photo: TASR
