Strong Economic Growth in Slovenia in Q2

Strong Economic Growth in Slovenia in Q2The Statistics Office in Slovenia announced an expansion of the economy by 4.4% in the second quarter of the year compared to the same quarter in 2016. Exports, domestic consumption and household expenditures are accounted for the strong economic growth in Slovenia in Q2. These figures have surpassed the IMF expectations about the economic growth of Slovenia in 2017. Our team of Slovenian lawyers can give you details about the business legislation in any sector of the economy.


Factors leading to economic growth in Slovenia

Slovenian companies witnessed in the last year a solid rise in demand and an expanse in the industrial output. The strong economic growth in Slovenia in Q2 is due to a series of economic factors. Among the most important, we mention the following factors which generated the growth in the second quarter of 2017, compared to the same period in 2016:

•    The trading sector – exports increased at an annual rate of 8.3%. The export of goods went up by 8.1% and that of services increased by 9.4% compared to 2016. The external trade surplus had a 1.1% contribution to the economic growth;

•     Domestic consumption – this area also witnessed a continuous expansion at a moderate rate of 3.7%, compared to 5.6% in Q1. Final consumption expenditure increased by 2.7% (3.3% in Q1) and gross fixed capital formation by 7.4% (14.1% in Q1);

•    Household expenditures – they rose by 3.2%, contributing by 1.7% to the GDP. Wholesale and retail Slovenian shops benefited from this expenditures;

•    Investment in the construction sector – it rose by 11.9% and gross fixed capital in equipment and machinery increased by 6.8%;

•    Employment – higher numbers of employees were witnessed in the construction sector, manufacturing, retail and service areas.

An increase in demand by Slovenia`s trading partners and robust investment from EU funds are expected to maintain this economic growth throughout the entire year. Our attorneys in Slovenia can give you extensive information about the trading requirements.

Other factors contributing to economic growth in Slovenia

The business consultants in Slovenia claim the economic growth of the country will remain strong to the end of the year. Beside the above mentioned factors accounted for this growth, we also mention the following:

•    the labor and credit market;
•    private consumption;
•    investments;
•    the increase of EU funds.

If you need assistance in setting up a business in one of these profitable sectors of the economy, feel free to contact our law firm in Slovenia.