Slovakia Economy - 2006

Economy - overview:
Slovakia has mastered much of the difficult transition from a centrally planned economy to a modern market economy. The DZURINDA government made excellent progress during 2001-04 in macroeconomic stabilization and structural reform. Major privatizations are nearly complete, the banking sector is almost completely in foreign hands, and the government has helped facilitate a foreign investment boom with business-friendly policies, such as labor market liberalization and a 19% flat tax. Foreign investment in the automotive sector has been strong. Slovakia's economic growth exceeded expectations in 2001-05, despite the general European slowdown. Unemployment, at an unacceptable 15% in 2003-04, dropped to 11.4% in 2005, but remains the economy's Achilles heel. Slovakia joined the EU on 1 May 2004.

GDP (purchasing power parity):
$85.56 billion (2005 est.)

GDP (official exchange rate):
$42.74 billion (2005 est.)

GDP - real growth rate:
5.5% (2005 est.)

GDP - per capita (PPP):
$15,800 (2005 est.)

GDP - composition by sector:
agriculture: 5.5%
industry: 28.4%
services: 66.1% (2005 est.)

Labor force:
2.24 million (30 September 2005 est.)

Labor force - by occupation:
agriculture 5.8%, industry 29.3%, construction 9%, services 55.9% (2003)

Unemployment rate:
11.4% (2005 est.)

Population below poverty line:
NA%

Household income or consumption by percentage share:
lowest 10%: 5.1%
highest 10%: 18.2% (1992)

Distribution of family income - Gini index:
25.8 (1996)

Inflation rate (consumer prices):
2.7% (2005)

Investment (gross fixed):
25.8% of GDP (2005 est.)

Budget:
revenues: $22.7 billion
expenditures: $23.2 billion; including capital expenditures of $NA (2005 est.)

Public debt:
16.9% of GDP (2005 est.)

Agriculture - products:
grains, potatoes, sugar beets, hops, fruit; pigs, cattle, poultry; forest products

Industries:
metal and metal products; food and beverages; electricity, gas, coke, oil, nuclear fuel; chemicals and manmade fibers; machinery; paper and printing; earthenware and ceramics; transport vehicles; textiles; electrical and optical apparatus; rubber products

Industrial production growth rate:
3.3% (2005 est.)

Electricity - production:
30.57 billion kWh (2004)

Electricity - consumption:
24.8 billion kWh (2004)

Electricity - exports:
10.59 billion kWh (2004)

Electricity - imports:
8.731 billion kWh (2004)

Oil - production:
3,808 bbl/day (2003 est.)

Oil - consumption:
71,400 bbl/day (2003 est.)

Oil - exports:
NA bbl/day

Oil - imports:
NA bbl/day

Oil - proved reserves:
4.5 million bbl (1 January 2002)

Natural gas - production:
165 million cu m (2004 est.)

Natural gas - consumption:
6.72 billion cu m (2004 est.)

Natural gas - exports:
1 million cu m (2004 est.)

Natural gas - imports:
6.949 billion cu m (2004 est.)

Natural gas - proved reserves:
15.01 billion cu m (1 January 2002)

Current account balance:
-$2.15 billion (2005 est.)

Exports:
$32.39 billion f.o.b. (2005 est.)

Exports - commodities:
vehicles 25.9%, machinery and electrical equipment 21.3%, base metals 14.6%, chemicals and minerals 10.1%, plastics 5.4% (2004)

Exports - partners:
Germany 34.2%, Czech Republic 14.6%, Austria 8.2%, Italy 6%, Poland 5.3%, US 4.5%, Hungary 4.3% (2004)

Imports:
$34.48 billion f.o.b. (2005 est.)

Imports - commodities:
machinery and transport equipment 41.1%, intermediate manufactured goods 19.3%, fuels 12.3%, chemicals 9.8%, miscellaneous manufactured goods 10.2% (2003)

Imports - partners:
Germany 25.9%, Czech Republic 21.3%, Russia 9.1%, Austria 6.6%, Italy 5.1%, Poland 4.9% (2004)

Reserves of foreign exchange and gold:
$15.5 billion (2005 est.)

Debt - external:
$26.54 billion (2005 est.)

Economic aid - recipient:
$12.67 billion in available EU structural adjustment and cohesion funds (2007-13)

Currency (code):
Slovak koruna (SKK)

Exchange rates:
koruny per US dollar - 31.018 (2005), 32.257 (2004), 36.773 (2003), 45.327 (2002), 48.355 (2001)