Slovakia has the worst long-term sustainability of public finances in the EU
Slovakia has the worst long-term sustainability of public finances in the EU, according to the latest European Commission report. The OĽaNO government first improved the sustainability by reforming the pension system, but later moved in the opposite direction by adopting ’social’ packages. To make public finances sustainable, the government needs to take measures on the revenue or expenditure side of 9.9% of GDP, an improvement from 11.3% in 2022. The main long-term challenge is the ageing population. Fiscal consolidation is not among the priorities of the current government.
