Slovakia’s economy is likely to expand about 2 percent this year as the euro-area country will be affected by the slowdown in western Europe, Finance Minister Peter Kazimir told reporters in Bratislava today.
That forecast by Kazimir, who took office this month, compares with his ministry’s March forecast of 2.3 percent growth and the 3.3 percent achieved in 2011. The International Monetary Fund said yesterday that it sees Slovakia’s economy growing 2.4 percent this year.
Slovakia’s open economy is relying on exports to western countries to drive growth. Slower-than-projected expansion implies that additional measures will probably be needed to keep the 2012 budget deficit within the target of 4.6 percent of GDP, Kazimir said.