According to the IMF’s latest forecast, the Slovak economy will slow down over the coming year and should see growth of around 4.2% in 2012. Last year the country enjoyed 4% growth, while this year’s GDP projection is 3.8%.
The IMF also forecasts a drop in exports for Slovakia from the 16.4% year-on-year figure in 2010 to just 8.5% in 2011, with this expected to fall further also in 2012. Overall inflation is forecast to increase to 3.4% this year from 0.7% last year.
The public deficit is forecast to fall slowly from the massive 8.2% of GDP last year to around 5.2% this year, while growth in public debt should bottom at 45.1% of the GDP this year.