Republic of Slovenia: Staff Report for the 2013 Article IV Consultation

This 2013 Article IV Consultation highlights that after a brief stabilization in 2010, the recession in the Slovenia resumed in 2011 and the economy now has contracted for eight consecutive quarters. Although a sharp contraction in investment was the main driver of the downturn in the early stages, consumption also started to decline from 2012, weighed down by deep fiscal cuts, stagnant wages, and growing uncertainty. The current account has moved into a substantial surplus. Public debt has more than doubled since 2008, reaching 55 percent of GDP by end-2012, and is set to increase sharply after bank restructuring.