Slovakia’s public finances improved in 2025, with the general government deficit reaching €6.09 billion, or 4.45% of GDP, down from 5.35% the previous year, according to the Statistical Office of the Slovak Republic. The reduction was mainly driven by a higher surplus in social security funds, which reached €931 million, while central government still accounted for the vast majority of the deficit at €6.93 billion. Local governments also posted a smaller shortfall, improving slightly compared to 2024. At the same time, public debt rose to €83.96 billion, or 61.39% of GDP, continuing a multi-year upward trend.
Officials noted that the revised figures also include updates to previous years’ data, reflecting adjustments in tax revenues, energy assistance payments, and improved financial results of some public entities. The deficit for 2024 was slightly revised downward, while 2023 figures were adjusted marginally upward due to accounting changes related to state support measures. The Finance Ministry estimates for 2026 remain aligned with the approved state budget, projecting continued fiscal pressure despite recent improvements.
On the labor market side, unemployment in Slovakia continued to decline in March 2026, with the share of jobseekers in the working-age population falling to 4.03%, according to Labor Minister Erik Tomáš (Hlas-SD). The number of unemployed fell across all regions, with the strongest improvements in Prešov and Žilina, and nearly 80% of those leaving unemployment registers reportedly found jobs. The number of vacancies reached a record 140,000, especially in manufacturing, logistics, and administrative services.
Tomáš also reported that unemployment declined in most districts, with only one district—Rimavská Sobota—still above 10%. Around 150,000 foreigners are currently employed in Slovakia, two-thirds from non-EU countries. Although companies reported more collective redundancies in early 2026 compared to last year, actual job losses were significantly lower, suggesting many planned layoffs were not fully implemented.
Analysts from the Institute of Social Policy expect unemployment to continue falling in the coming months due to seasonal employment trends, particularly in spring. However, they warned that global economic conditions could still negatively affect Slovakia’s labor market outlook later in the year.
Source: TASR
