At the moment Slovakia is close to adopting the Euro, however, it’s necessary to focus on fiscal discipline and structural reforms that are key to sustaining economic growth, said an official of the International Monetary Fund.
The current rapid growth of the Slovak economy is based on good economic policies carried out over the long term. This is according to the current Regional Economic Outlook for Europe worked out by the International Monetary Fund (IMF) that was presented in Bratislava on Wednesday by IMF economist Athanasios Vamvakidis.
At the moment Slovakia is close to adopting the Euro, however, it’s necessary to focus on fiscal discipline and structural reforms that are key to sustaining economic growth, said Vamvakidis. The current strong phase of the economic cycle in Slovakia should help the further consolidation of public finance, according to IMF. The structural reforms, said Vamvakidis, will be the only way in the future to enhance competitiveness within the Eurozone.
Currently, the economies of developing European countries, including Slovakia, are developing very well. However, the IMF points to the fact that increased risks for further growth are beginning to emerge. A soft landing after a phase of strong expansion can be secured by more stringent economic policy in these countries, according to Vamvakidis. (sktoday)