Business Context
Overview
Slovenia has seen a series of sweeping changes in the last decade and a half, transforming it from being a part of Socialist Yugoslavia to being a sovereign nation with significant international presence.
Evidencing how far Slovenia has come, its flag now flies in front of both EU and NATO headquarters, and the country has become accepted and appreciated in important international organizations such as OECD, the WTO and others.
Known as one of the most advanced economies among the EU accession states, Slovenia was the most well prepared of all the countries joining the European Union on May 1st, 2004. Ambition levels continue to be high, with a targeted entry into the euro zone on January 1st, 2007.
Meeting this deadline could however be a challenge because of the country’s inflation, and the International Monetary Fund has warned Slovenia that this press for early adoption of the single currency could increase inflationary pressures on the economy further.
In a plan to increase the global competitiveness of Slovene small and medium-sized enterprises, the Ministry of the Economy is accepting tenders for the disbursement of funds – the equivalent of EUR 17 million for 2004 – intended to spur innovation and technology developments.
The country will need to liberalize its monopolistic industries as well as complete the privatization process. A government program for selling minority stakes in state enterprises is in place and will continue throughout 2005.
Output growth could occur in Slovenia if spurred by a general recovery in the EU. A loan scheme could also make a positive contribution to GDP developments.
What lies ahead?
The implementation of IFRS accounting standards will require careful planning, allocation of resources and training of relevant employees in 2005. KPMG will not only provide the needed know-how through its existing services, but will also offer training to client companies’ employees, enabling them to deal with day-to-day issues in the best possible way.
The continued adaptation of Slovene legislation to EU standards in a number of areas will also continue to require the attention of business executives, as will the increasingly free movement of goods and skills in the single European marketplace.
Overview
Slovenia has seen a series of sweeping changes in the last decade and a half, transforming it from being a part of Socialist Yugoslavia to being a sovereign nation with significant international presence.
Evidencing how far Slovenia has come, its flag now flies in front of both EU and NATO headquarters, and the country has become accepted and appreciated in important international organizations such as OECD, the WTO and others.
Known as one of the most advanced economies among the EU accession states, Slovenia was the most well prepared of all the countries joining the European Union on May 1st, 2004. Ambition levels continue to be high, with a targeted entry into the euro zone on January 1st, 2007.
Meeting this deadline could however be a challenge because of the country’s inflation, and the International Monetary Fund has warned Slovenia that this press for early adoption of the single currency could increase inflationary pressures on the economy further.
In a plan to increase the global competitiveness of Slovene small and medium-sized enterprises, the Ministry of the Economy is accepting tenders for the disbursement of funds – the equivalent of EUR 17 million for 2004 – intended to spur innovation and technology developments.
The country will need to liberalize its monopolistic industries as well as complete the privatization process. A government program for selling minority stakes in state enterprises is in place and will continue throughout 2005.
Output growth could occur in Slovenia if spurred by a general recovery in the EU. A loan scheme could also make a positive contribution to GDP developments.
What lies ahead?
The implementation of IFRS accounting standards will require careful planning, allocation of resources and training of relevant employees in 2005. KPMG will not only provide the needed know-how through its existing services, but will also offer training to client companies’ employees, enabling them to deal with day-to-day issues in the best possible way.
The continued adaptation of Slovene legislation to EU standards in a number of areas will also continue to require the attention of business executives, as will the increasingly free movement of goods and skills in the single European marketplace.
