NBS Reports Improvement in Financial Stability
The National Bank of Slovakia (NBS) has issued its financial stability report for the country, pointing to improvements and a bright future.
The report states that financial stability improved in Slovakia last year, with economic recovery generating strong GDP growth. The banking sector rebounded from the 2009 crisis year to increase profits again, driven forward mostly by retail banking.
The NBS projects that Slovakia will continue to reap the fruits of rising foreign demand, which will boost the economy, along with restored consumer confidence over the next year.
The bank sets external risks as being the biggest potential problem in the near future, this being linked to the overall financial situation in the eurozone, as this directly affects the ledgers of all banks in the area. The report also points to how fiscal consolidation will hit the pockets of the people hard as they have less free cash available.