First eight months of 2015: so far so good
The latest macroeconomic figures published by the government’s Institute of Macroeconomic Analysis and Development continue to show modest improvement. Manufacturing production continues to increase and was, like exports, higher year-on-year in the first eight months of 2015. Employment in the private sector also continues to grow while unemployment is down by 7 percent in comparison with the same period in 2014. Meanwhile, consumer prices continue to decline in October as well – the annual inflation rate currently stands at -0.6 percent.
The latest forecast by the European Commission published in early November revised the growth figures for Slovenia. According to EC Slovenia’s economy grew by 3 percent in real terms in 2014 and is expected to grow by another 2.6 percent this year. The government’s deficit stood at 5 percent of GDP last year. However, in 2015 EC projects the deficit to decline to 2.9 percent “mainly due to the continued implementation of consolidation measures adopted in the recent years”. In 2016 the deficit is projected to drop to a further 2.4 percent of GDP.
Krka’s new plant is company’s largest investment in history
In early November Slovenian pharmaceutical company Krka officially opened its new production facility for solid dosage forms in its main location in Novo mesto. The highly automatized plant will produce 4.5 billion tablets and capsules per year. The 200-million euro investment in the new plant is the largest in Krka's history. It is one of the 20 investment projects underway this year in various locations in Slovenia, Croatia and Russia. Krka plans to increase its production capacities by 40 percent in the next five years and thus enhance its status of one of the leading global producers of generic drugs.
Krka's revenues in the first half of 2015 reached 600 million euros: 94 percent of the sales were made outside Slovenia. The group's net profit amounted to 112 million euros, 5 percent over the same period in 2014.
Innovative developer of electric motors gets EU funding
Slovenian small company GEM motors is one of the 16 companies selected to enter the European Commission’s new Fast track to innovation program. Only 16 out of the 269 applications were selected for the program. Gem motors joined forces with a powerful consortium to start the manufacture and commercialization of its high-performance electric motors for environmentally friendly vehicles. The Kamnik based company developed a unique modular solution with both motor controller and electric motor integrated into the wheel of the vehicle. EC will support the project with 2 million euros.