The Commission says rising debt, an ageing population and weak innovation are testing Slovakia’s economic model.
Slovakia’s growth model is coming under increasing pressure as weak innovation, rising debt and demographic challenges weigh on the country’s competitiveness, according to the European Commission (EC). The Commission has warned that without a shift towards higher-value economic activities, Slovakia’s prospects could weaken in the years ahead.
In its latest assessment of Slovakia under the European Union’s annual European Semester review, the commission said the country faces a combination of challenges that could prove difficult to address simultaneously: slowing economic growth, deteriorating public finances and an ageing population, as reported by SME.
The warning comes at a time when Slovakia’s economy is expected to lose momentum. The commission forecasts GDP growth of just 0.8 percent in 2026, with only a modest recovery to 1.5 percent the following year. Inflation is projected to remain above the eurozone average, reaching 4.3 percent next year.
While much of the slowdown reflects weaker demand in export markets and broader uncertainty in the European economy, Brussels argues that some of Slovakia’s problems are structural.
