BRATISLAVA, July 23, (WEBNOVINY) — The optimism of banks in Slovakia regarding the country’s economic growth in 2010 increased a bit again. A survey regularly carried out by the National Bank of Slovakia showed in July that bank analysts increased the prognosis for this year’s GDP growth by 0.1 percentage points to 3.1 percent; but, on the other hand, they decreased the forecast for 2011 by the same rate as last month, namely 0.1 percentage points. Thus, the bolstering of Slovakia’s economic activity in 2011 is projected at 3.7 percent.
Bank analysts simultaneously revised the outlook of harmonized inflation in 2010 to 1.5 percent, down 0.1 percentage points from June. The central bank reported no change in banks‘ opinions on harmonized inflation development next year; analysts maintain that the indicator will hit 3 percent. In terms of national methodology, consumer prices are expected to grow 1.8 percent this year and 3.2 percent in 2011.
Prognoses provided by bank houses regarding 2010’s economic growth are slightly more pessimistic than the figures released by the central bank and the Finance Ministry. The National Bank of Slovakia forecasts GDP growth of 3.7 percent in 2010 and of 4.3 percent in 2011. The Finance Ministry projects the economic growth of 2010 at 3.2 percent and at 3.8 percent next year.
Thus, Slovakia’s economic growth should resume already this year. The Statistics Office of the Slovak Republic reported that the local GDP contracted by 4.7 percent last year, while Q4 2009 alone brought softer contraction (2.6 percent) compared with initial expectations. Two years ago, Slovakia reported GDP growth of 6.2 percent.
SITA
