Moody's credit-rating agency confirmed the A2 ranking with a stable outlook for Slovakia. According to the Slovak Finance Ministry, the agency's assessment realistically reflects the economic situation in Slovakia after the second wave of the pandemic. Similarly, Fitch Ratings confirmed Slovakia's A-rating at the end of April with a negative outlook.
"Moody's positively assesses the strong resilience of the Slovak economy to the pandemic shock and, in particular, the good prospects for the post-pandemic growth of our economy in 2021," commented the Ministry. However, the agency pointed to the fact that the fiscal deficit had risen to 6.1% of GDP in 2020 and is expected to increase to 7.8% of GDP in 2021, due to the anti-pandemic measures.
Although analysts remain cautious about their pandemic estimates, they expect that the economy will return to 4.1% year-on-year gross domestic product (GDP) growth in 2021 and grow to 5.2% of GDP in 2022.
