Country Forecast Slovakia June 2018

Country Forecast Slovakia June 2018

  • June 2018 •
  • Report ID: 1697255 •
  • Format: PDF

Policy towards private enterprise and competition


2018-19: The anti-trust authority, Protimonopolny urad (PMU), more vigorously prosecutes cartels in public procurement.


2020-22: Reforms of the judiciary speed up court and bankruptcy proceedings, and improve law enforcement. Private partners are invited to help to build a new hospital in Bratislava, the capital, and play a role in infrastructure investment.


Policy towards foreign investment


2018-19: The government continues to offer foreign investors tax breaks and incentives.


2020-22: Investment by foreign firms already present in Slovakia continues to account for a large proportion of all foreign investment in the country, despite government efforts to invite new investors into high-tech sectors.


Foreign trade and exchange controls


2018-19: Western Europe continues to be the main export market. Support for euro membership remains relatively strong.


2020-22: Automotives increase their dominance of exports after the new Jaguar Land Rover plant launches production in late 2018. Economic ties with Asia and China will be developed.


Taxes


2018-19: Government maintains sectoral taxes for banks, insurers, and energy and telecommunications firms, and imposes a new 7% dividend tax. Tax collection improves owing to sustained government efforts. Tax licences (a form of minimum income tax payment) are abolished.


2020-22: More loopholes are closed to improve tax collection. Payroll taxes remain high for average and above-average earners. The government increases them further by adopting the annual settlement of pension levies.


Financing


2018-19: The National Bank of Slovakia (NBS, the central bank) attempts to curb mortgage lending growth.


2020-22: Banks remain in good shape. The local equity market remains small and illiquid. Large amounts of public and EU fund money are made available to technological start-ups.


The labour market


2018-19: Improved economic growth pushes the unemployment rate down to all-time lows, resulting in labour force shortages in economic centres. Government continues EU-funded job-creation schemes for disadvantaged jobseekers.


2020-22: Large industrial companies import workers. Vocational schools improve co-operation with the business sector.


Infrastructure


2018-19: The Bratislava motorway bypass is built as a public-private partnership project. New electricity-generating capacity comes on stream with the completion of two new blocks at the Mochovce nuclear-power plant.


2020-22: Private telecom operators roll out fifth-generation (5G) networks. Passenger rail transport is partially liberalised. EU-funded upgrading of road and rail infrastructure continues. Research and development spending remains low.


Technological readiness


2018-19: Robot intensity and automation increase further as firms respond to capacity constraints.


2020-22: The government will encourage foreign investors to set up electric car plants and production units for electronic battery and other car parts in the country.



Loading...

We are very sorry, but an error occurred.
Please contact support@reportbuyer.com if the problem remains.