Inflation is Getting Lower
After only three years of existence of the Slovak currency the inflation rate has fallen below 7%. In January 1996 the inflation rate was 6.4%.
The National Bank of Slovakia estimate for 1996 is for inflation of 6.0 - 7.2%.
This process creates suitable conditions for lowering interest rates for loans.
The interest rate for short term loans dropped to 15.7% and for long term loans to 16.9%.
Unemployment Rate
At the end of January 1996 the unemployment rate was 13.73 %(up 0.62 % from the end of December 1995).
Foreign capital
The amount of 21.9 bn Sk (732.9 mil USD) has been invested by foreign entities in the SR until 31 December 1995, of which 61.1% was invested in Bratislava.
Foreign capital mainly came from Austria (21.4%; 4.693 bn Sk) followed by Germany (17.5%), USA (11.4%), Great Britain (7.2%), Netherlands (6.4%) and France (5.9%)
Foreign trade
Total exports in 1995 increased by 18.5% compared to 1994.
Slovak foreign trade shows a total surplus 1.8 bn Sk. However, without trade with the Czech Republic there is a trade deficit of 18.4 bn SK. The biggest deficit is with Russian Federation in the amount of 33 bn Sk. The structure of foreign trade is not changing at the moment.
Oil and minerals account for the majority of imports; on the other hand, steel is the main export product.
The month of January 1996 showed a foreign trade surplus of 310 bn Sk, based on export of 19.78 bn Sk (mainly to the Czech Republic (31.4%), Germany (21.2%), Italy (6.0%) and Austria (5.6%)) and imports of 19.47 bn Sk (mainly from the Czech Republic (24.8%), Russia (19.9%) and Germany (13.3 %)).
The information in this newsletter is correct to the best of our knowledge and belief at the time of going to press. Specific advice should be sought, however, before investment and other decisions are made.
Please address any questions to:
Tax and business advisory services:
Ruth Clamp/Paul Suchar/
Antonin Masaryk
Audit and accounting services:
Santiago Pardo/Alexander Koprda
Arthur Andersen Prague, tel: +42 2 2440 1300, or enter text search 'Arthur Andersen' and 'Business Monitor'.
After only three years of existence of the Slovak currency the inflation rate has fallen below 7%. In January 1996 the inflation rate was 6.4%.
The National Bank of Slovakia estimate for 1996 is for inflation of 6.0 - 7.2%.
This process creates suitable conditions for lowering interest rates for loans.
The interest rate for short term loans dropped to 15.7% and for long term loans to 16.9%.
Unemployment Rate
At the end of January 1996 the unemployment rate was 13.73 %(up 0.62 % from the end of December 1995).
Foreign capital
The amount of 21.9 bn Sk (732.9 mil USD) has been invested by foreign entities in the SR until 31 December 1995, of which 61.1% was invested in Bratislava.
Foreign capital mainly came from Austria (21.4%; 4.693 bn Sk) followed by Germany (17.5%), USA (11.4%), Great Britain (7.2%), Netherlands (6.4%) and France (5.9%)
Foreign trade
Total exports in 1995 increased by 18.5% compared to 1994.
Slovak foreign trade shows a total surplus 1.8 bn Sk. However, without trade with the Czech Republic there is a trade deficit of 18.4 bn SK. The biggest deficit is with Russian Federation in the amount of 33 bn Sk. The structure of foreign trade is not changing at the moment.
Oil and minerals account for the majority of imports; on the other hand, steel is the main export product.
The month of January 1996 showed a foreign trade surplus of 310 bn Sk, based on export of 19.78 bn Sk (mainly to the Czech Republic (31.4%), Germany (21.2%), Italy (6.0%) and Austria (5.6%)) and imports of 19.47 bn Sk (mainly from the Czech Republic (24.8%), Russia (19.9%) and Germany (13.3 %)).
The information in this newsletter is correct to the best of our knowledge and belief at the time of going to press. Specific advice should be sought, however, before investment and other decisions are made.
Please address any questions to:
Tax and business advisory services:
Ruth Clamp/Paul Suchar/
Antonin Masaryk
Audit and accounting services:
Santiago Pardo/Alexander Koprda
Arthur Andersen Prague, tel: +42 2 2440 1300, or enter text search 'Arthur Andersen' and 'Business Monitor'.
