Slovakia public debt projected to reach 118 billion euros by 2029

Slovakia's public debt is projected to rise significantly despite multiple rounds of fiscal consolidation. The Republic Employers' Union (RÚZ) warns that the government's budget proposal for 2027–2029 does not stabilize public finances. Under this proposal, public debt could reach approximately 118 billion euros by 2029, potentially rising to 71.8 percent of GDP.

Rising expenditures are a primary concern, with social transfers and public administration costs expected to increase. The RÚZ notes that higher taxes and levies intended to reduce the deficit are instead being absorbed by growing government spending, which may weaken business competitiveness and discourage investment. Interest payments on the debt are also climbing, projected to reach 3.54 billion euros by 2029.

The Supreme Audit Office (NKÚ) corroborates these concerns, noting that the debt is approaching the 90 billion euro mark. The NKÚ highlights that the cost of servicing this debt is increasing and that major budgetary gaps remain in healthcare and pensions. Slow economic growth further exacerbates the debt-to-GDP ratio, with the NKÚ estimating a fiscal deficit of 4.4 percent of GDP for the current year.