Slovakia’s economy is heading into a period of weak growth, according to the European Commission’s autumn forecast. Real GDP is expected to expand by just 0.8% in 2025, among the slowest rates in the EU, before inching up to 1.0% in 2026 and 1.4% in 2027 as exports regain momentum.
The Commission links the slowdown to global uncertainty, new U.S. tariffs affecting Slovakia’s export-driven industries, and domestic fiscal tightening. Higher VAT and softer consumer demand are also weighing on the outlook. Inflation is projected at 4.2% next year, easing to 3.2% in 2027. Despite austerity measures, the public deficit is forecast to narrow only to 5.0% in 2025 and then rise again to 5.3% in 2027 due to increased defence spending and EU-related investments. Unemployment is expected to edge up to 5.4% next year and 5.6% by 2027.
Source: TASR
