Slovak Republic: 2025 Article IV Consultation-Press Release; and Staff Report
IMF Staff Country Reports, March 24, 2025
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- Slovak Republic: 2025 Article IV Consultation-Press Release; and Staff Report
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Bibliographic details
- Published: March 24, 2025
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9798229005760.002
Economic performance and drivers
- Economic growth accelerated to 2 percent in 2024 from 1.4 percent in 2023.
- Private consumption was the main driver of growth, fueled by:
- positive real wage growth,
- the extension of energy support,
- more generous pensions.
Fiscal framework and policy implications
- Safeguarding Slovakia’s strong fiscal framework is essential for the credibility of the consolidation effort.
- Policy focus implied:
- preserve fiscal framework strength to support consolidation credibility,
- maintain policies that balance near-term support with medium-term fiscal sustainability.
Financial sector resilience and risks
- The financial sector appears resilient to stress, reflecting:
- a healthy level of buffers,
- profitability.
- Some risks to the financial sector remain (unspecified in summary), implying continued monitoring and prudential vigilance.
Structural reform priorities
- Slovakia needs structural reforms to:
- diversify its economy,
- sustain productivity growth,
- increase the labor force,
- further reduce carbon emissions.
European integration and market deepening
- Deepening the European single market would:
- allow innovative firms to leverage economies of scale,
- facilitate cross-border flows of capital, including venture capital critical for start-ups.
Governance and institutional reforms
- Sustained efforts are needed to:
- strengthen governance,
- reduce vulnerabilities to corruption,
- enhance judicial independence.
- These efforts would help lift the economy’s resilience and growth potential.
International Monetary Fund. Slovak Republic: 2025 Article IV Consultation-Press Release; and Staff Report
Content in this bundle
- 1svkea2025001-print-pdf