Slovenia’s Economy Recovering, Two-Year Growth Projected - IMF

WASHINGTON (Sputnik) — Slovenia is recovering from the severe economic crisis having achieved a 2.6 percent economic growth in 2014, and further growth is projected in 2015 and 2016, The International Monetary Fund’s (IMF) said in a statement on Thursday.

“Slovenia is recovering from a deep crisis,” the statement read. “Growth is estimated to have reached around 2.6 percent in 2014, supported by strong exports and EU-funded public investment. The financial sector has stabilized following recapitalization of the major banks by the state.”

The IMF projected economic growth in Slovenia at around 1.9 and 1.7 percent in 2015 and 2016, respectively.

Challenges to Slovenia’s economic progress remain, as the country is facing high unemployment and unbalanced public and private sector balance sheets, according to the IMF statement.

“Output remains below pre-crisis levels, unemployment is high, and strained public and private (sector) balance sheets continue to weigh on domestic demand,” the statement said.

Slovenia’s existing corporate debt and public budget deficits need to be fixed, structural reforms added to support employment and growth, and high non-performing loans reduced to secure long-term growth, the statement said.

The IMF is an international organization geared towards promoting global monetary cooperation, securing financial stability, facilitating economic growth, promoting high employment and sustainable economic growth.