The Slovak economy will grow at its fastest pace in 2007
Last update: 14.11.2005 06:00
The Ministry of Finance of the
The October revision of estimates for the years 2005 – 2008 confirms the conclusions of the June update – i.e. there is positive macroeconomic development which does not carry any risks for the fulfilment of medium-term fiscal targets. However, developments in the external environment – especially the threat of a further growth in oil prices and a slower recovery rate for the EU economy – are still considered to pose the greatest risks to the macroeconomic as well as to the fiscal prognosis.
The prognosis update confirms that the economy of the
Sustainable economic growth will also create more job opportunities and support employment growth – at a conservative estimate by approximately 0.8% a year. Increasing labour productivity and a reduction in the rate of inflation will create the conditions for sustained growth in real wages in the national economy.
The update of macroeconomic prognoses and tax revenue in 2005 contributed to an improvement in the taxes estimate compared to the budget for the years 2006-2008. But the negative situation in the area of social levies still carried with it risks for the budget. The revision of the tax and levies prognosis of the Ministry of Finance of the
The final prognosis of the Ministry of Finance was assessed as realistic by the majority of members of the Committee for Macroeconomic Forecasting and the Committee for Task Revenue Forecasts.