Slovakia’s economic outlook weakens

Rating agency S&P affirmed Slovakia’s A+ rating but downgraded its outlook from stable to negative, citing risks from potential U.S. tariffs and public finance consolidation. Analyst Matej Horňák warns that Slovakia’s open economy and strong automotive sector make it vulnerable. The agency expects Slovakia to reduce its deficit to 3–4% of GDP by 2027 but notes elections could threaten fiscal discipline. Maintaining good EU relations and strong institutional quality will also be crucial. Finance Minister Ladislav Kamenický welcomed the rating retention, calling external global risks the main reason for the negative outlook.