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Weekly Review of the Slovene Economy from 11 to 17 May

Ljubljana, 19 May - Slovene Finance Minister Anton Rop launched a series of talks with budget beneficiaries this week aimed at finding some 67 million euros to cut from expenditures of the Slovene budget for the rest of this year. The talks were held as part of the government's decision to prepare a supplementary budget due to lower-than-expected economic growth in Slovenia. Meanwhile the central bank changed its forecast inflation rate to seven percent, up 1.2 percentage points, after inflation surged in the first four months of this year. Although the Bank of Slovenia does not expect inflation to continue with the pace seen in the first four months, when it amounted to a cumulative 4.6 percent, it also believes that the original forecast of 5.8 percent is no longer realistic.

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