Recommendation for a COUNCIL RECOMMENDATION on the 2020 National Reform Programme of Slovakia and delivering a Council opinion on the 2020 Stability Programme of Slovakia
Date: 2020-05-20
Institutions: European Commission, Secretariat-General
Subjects: Slovakia, economic policy, economic recovery, economic reform, epidemic, health policy, infectious disease, investment policy, stability pact, stability programme

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   EUROPEAN COMMISSION  Brussels, 20.5.2020  COM(2020) 525 final  Recommendation for a COUNCIL RECOMMENDATION on the 2020 National Reform Programme of Slovakia and delivering a Council opinion on the 2020 Stability Programme of Slovakia  
 
Recommendation for a 

COUNCIL RECOMMENDATION 

on the 2020 National Reform Programme of Slovakia and delivering a Council opinion 
on the 2020 Stability Programme of Slovakia 

THE COUNCIL OF THE EUROPEAN UNION, 

Having  regard  to  the  Treaty  on  the  Functioning  of  the  European  Union,  and  in  particular 
Articles 121(2) and 148(4) thereof, 

Having regard to Council Regulation (EC) No 1466/97 of 7 July 1997 on the strengthening of 
the  surveillance  of  budgetary  positions  and  the  surveillance  and  coordination  of  economic 
policies1, and in particular Article 5(2) thereof, 

Having regard to the recommendation of the European Commission, 

Having regard to the resolutions of the European Parliament, 

Having regard to the conclusions of the European Council, 

Having regard to the opinion of the Employment Committee, 

Having regard to the opinion of the Economic and Financial Committee, 

Having regard to the opinion of the Social Protection Committee, 

Having regard to the opinion of the Economic Policy Committee, 

Whereas: 

(1) 

(2) 

On  17  December  2019,  the  Commission  adopted  the  Annual  Sustainable  Growth 
Strategy,  marking  the  start  of  the  2020  European  Semester  for  economic  policy 
coordination. It took due account of the European Pillar of Social Rights, proclaimed 
by the European Parliament, the Council and the Commission on 17 November 2017. 
On  17  December  2019,  on  the  basis  of  Regulation  (EU)  No  1176/2011,  the 
Commission  also  adopted  the  Alert  Mechanism  Report,  in  which  it  did  not  identify 
Slovakia as one of the Member States for which an in-depth review would be carried 
out. On the same date, the Commission also adopted a recommendation for a Council 
recommendation on the economic policy of the euro area. 
The 2020 country report for Slovakia2 was published on 26 February 2020. It assessed 
Slovakia’s  progress  in  addressing  the  country-specific  recommendations  adopted  by 
the Council on 9 July 20193, the follow-up given to the recommendations adopted in 
previous years and Slovakia's progress towards its national Europe 2020 targets.  

(3) 

On 11 March 2020, the World Health Organization officially declared the COVID-19 
outbreak  a  global  pandemic.  It  is  a  severe  public  health  emergency  for  citizens, 

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OJ L 209, 2.8.1997, p. 1. 
SWD(2020) 524 final. 
OJ C 301, 5.9.2019, p. 117 

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societies  and  economies.  It  is  putting  national  health  systems  under  severe  strain, 
disrupting  global  supply  chains,  causing  volatility  in  financial  markets,  triggering 
consumer  demand  shocks  and  having  negative  effects  across  various  sectors.  It  is 
threatening  people’s  jobs,  their  incomes  and  companies’  business.  It  has  delivered  a 
major  economic  shock  that  is  already  having  serious  repercussions  in  the  European 
Union. On 13 March 2020, the Commission adopted a Communication4 calling for a 
coordinated economic response to the crisis, involving all actors at national and Union 
level.  

Several  Member States have declared a state of  emergency or introduced emergency 
measures.  Any  emergency  measures  should  be  strictly  proportionate,  necessary, 
limited in time, and in line with European and international standards. They should be 
subject to democratic oversight and independent judicial review. 

On  20  March  2020,  the  Commission  adopted  a  Communication  on  the  activation  of 
the general escape clause of the Stability and Growth Pact5. The clause, as set out in 
Articles 5(1), 6(3), 9(1) and 10(3) of Regulation  (EC) 1466/97 and Articles 3(5) and 
5(2) of Regulation (EC) 1467/97, facilitates the coordination of budgetary policies in 
times  of  severe  economic  downturn.  In  its  Communication,  the  Commission  shared 
with the Council its view that, given the expected severe economic downturn resulting 
from  the COVID-19 outbreak, the  current  conditions  permit  activation of the clause. 
On  23  March  2020,  the  Ministers  of  Finance  of  the  Member  States  agreed  with  the 
assessment of the Commission. The activation of the general escape clause allows for 
a temporary departure from the adjustment path  towards the medium-term budgetary 
objective,  provided  that  this  does  not  endanger  fiscal  sustainability  in  the  medium 
term. For the corrective arm, the Council may also decide, on a recommendation from 
the Commission,  to  adopt  a revised  fiscal  trajectory. The  general  escape  clause does 
not suspend the procedures of the Stability and Growth Pact. It allows Member States 
to depart from the budgetary requirements that would normally apply while enabling 
the  Commission  and  the  Council  to  undertake  the  necessary  policy  coordination 
measures within the framework of the Pact.  

Continued  action  is  required  to  limit  and  control  the  spread  of  the  pandemic, 
strengthen  the  resilience  of  the  national  health  systems,  mitigate  the  socio-economic 
consequences through supportive measures for business and households and to ensure 
adequate  health  and  safety  conditions  at  the  workplace  with  a  view  to  resuming 
economic  activity.  The  Union  should  fully  use  the  various  tools  at  its  disposal  to 
support  Member  States’  efforts  in  those  areas.  In  parallel,  Member  States  and  the 
Union should work together to prepare the measures necessary to get back to a normal 
functioning of our societies and economies and to sustainable growth, integrating inter 
alia  the  green  transition  and  the  digital  transformation,  and  drawing  all  lessons  from 
the crisis. 

The  COVID-19  crisis  has  highlighted  the  flexibility  that  the  single  market  offers  to 
adapt  to  extraordinary  situations.  However,  in  order  to  ensure  a  swift  and  smooth 
transition to the recovery phase and the free movement of goods, services and workers, 
exceptional  measures that prevent  the single market  from  functioning  normally must 
be removed as soon as they are no longer indispensable. The current crisis has shown 
the need for crisis preparedness plans in the health sector, which include in particular 
improved  purchasing  strategies,  diversified  supply  chains  and  strategic  reserves  of 

(4) 

(5) 

(6) 

(7) 

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COM(2020) 112 final. 
COM(2020) 123 final. 

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(8) 

(9) 

essential  supplies.  They  are  key  elements  for  developing  broader  crisis  preparedness 
plans. 
The  Union  legislator  has  already  amended  the  relevant  legislative  frameworks6  to 
allow  Member  States  to  mobilise  all  unused  resources  from  the  European  Structural 
and  Investment  Funds  so  they  can  address  the  exceptional  effects  of  the  COVID-19 
pandemic. Those amendments will provide additional flexibility, as well as simplified 
and streamlined procedures. To alleviate cash flow pressures, Member States can also 
benefit  from  a  100%  co-financing  rate  from  the  Union  budget  in  the  2020-2021 
accounting year. Slovakia is encouraged to make full use of those possibilities to help 
the individuals and sectors most affected by the challenges. 

The  socio-economic  consequences  pandemic  are  likely  to  be  unevenly  distributed 
across  regions  due  to  different  specialisation  patterns  and  infrastructure  gaps.  This 
entails a substantial risk of widening regional disparities within Slovakia, in particular 
between  the  capital  city  and  Western  Slovakia  on  the  one  hand,  and  Eastern  and 
South-Eastern  Slovakia  on  the  other.  Combined  with  the  risk  of  a  temporary 
unravelling of the convergence process between Member States, the current situation 
calls for targeted policy responses. 

(10)  On  18  May  2020,  Slovakia  submitted  its  2020  National  Reform  Programme  and  its 
2020  Stability  Programme.  In  order  to  take  account  of  their  interlinkages,  the  two 
programmes have been assessed at the same time. 

(11)  Slovakia is currently in the preventive arm of the Stability and Growth Pact.  

(12)  On  13  July  2018,  the  Council  recommended  Slovakia  to  ensure  that  the  nominal 
growth  rate  of  net  primary  government  expenditure7  does  not  exceed  4,1%  in  2019, 
corresponding to an annual structural adjustment of 0,5% of GDP. The Commission’s 
overall assessment confirms a significant deviation from the recommended adjustment 
path  towards  the  medium-term  structural  objective  in  2019  and  over  2018  and  2019 
taken together. However, in light of the activation of the general escape clause, further 
steps under the significant deviation procedure for Slovakia are not warranted. 

(13) 

In  its  2020  Stability  Programme,  the  government  plans  the  headline  balance  to 
deteriorate from a deficit of 1,3% of GDP in 2019 to a deficit of 8,4% of GDP in 2020. 
The deficit is projected to decline to 4,9% of GDP in 2021, to 3,7% of GDP in 2022 
and  to  reach  2,9%  of  GDP  by  2023.  After  decreasing  to  48%  of  GDP  in  2019,  the 
general  government  debt-to-GDP  ratio  is  expected  to  increase  to  61,2%  in  2020 
according to the 2020 Stability Programme. The macroeconomic and fiscal outlook are 
affected by high uncertainty related to the COVID-19 pandemic.  

6 
Regulation (EU) 2020/460 of the European Parliament and of the Council of 30 March 2020 amending 
Regulations  (EU)  No  1301/2013,  (EU)  No  1303/2013  and  (EU)  No  508/2014  as  regards  specific  measures  to 
mobilise  investments  in  the  healthcare  systems  of  Member  States  and  in  other  sectors  of  their  economies  in 
response to the COVID-19 outbreak (Coronavirus Response Investment Initiative) (OJ L 99, 31.3.2020, p. 5) and 
Regulation  (EU)  2020/558  of  the  European  Parliament  and  of  the  Council  of  23  April  2020  amending 
Regulations  (EU)  No  1301/2013  and  (EU)  No  1303/2013 as  regards  specific  measures  to  provide  exceptional 
flexibility for the use of the European Structural and Investments Funds in response to the COVID-19 outbreak 
(OJ L 130, 24.4.2020, p. 1). 
7 
Net  primary  government  expenditure  comprises  total  government  expenditure  excluding  interest 
expenditure,  expenditure  on  Union  programmes  fully  matched  by  Union  funds  revenue  and  non-discretionary 
changes  in  unemployment  benefit  expenditure.  Nationally  financed  gross  fixed  capital  formation  is  smoothed 
over a four-year period. Discretionary revenue measures or revenue increases mandated by law are  factored in. 
One-off measures on both the revenue and expenditure sides are netted out. 

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(14) 

In response to the COVID-19 pandemic, and as part of a coordinated Union approach, 
Slovakia has adopted budgetary measures to increase the capacity of its health system, 
contain  the  pandemic,  and  provide  relief  to  those  individuals  and  sectors  that  have 
been  particularly  affected.  According  to  the  2020  Stability  Programme,  those 
budgetary  measures  amounted  to  2,6%  of  GDP.  The  measures  include  wage 
compensation  for  employees,  subsidies  for  the  self-employed,  sickness  and  nursing 
schemes  and  purchases  of  medical  goods  linked  to  the  COVID-19  pandemic.  In 
addition, Slovakia has announced measures that, while not having a direct budgetary 
impact,  will  contribute  to  support  liquidity  to  businesses,  which  the  2020  Stability 
Programme estimates at 3% of GDP. Those measures include tax deferrals for income 
taxes  and  social  contributions  when  revenue  decreased  by  more  than  40%  (1,4%  of 
GDP)  and  loan  guarantees  (1,6%  of  GDP).  Overall,  the  measures  taken  by  Slovakia 
are  in  line  with  the  guidelines  set  out  in  the  Commission  Communication  on  a 
coordinated  economic  response  to  the  COVID-19  outbreak.  The  full  implementation 
of  those  measures,  followed  by  a  refocusing  of  fiscal  policies  towards  achieving 
prudent  medium-term  fiscal  positions,  when  economic  conditions  allow,  will 
contribute to preserving fiscal sustainability in the medium term. 

(15)  Based on the Commission 2020 spring forecast under unchanged policies, Slovakia’s 
general government balance is forecast at -8,5% of GDP in 2020 and -4,2% in 2021. 
The general government debt ratio is projected to remain below 60% of GDP in 2020 
and 2021. 

(16)  On 20 May 2020, the Commission issued a report prepared in accordance with Article 
126(3)  of  the  Treaty  due  to  Slovakia’s  planned  breach  of  the  3%  of  GDP  deficit 
threshold in 2020. Overall, the analysis suggests that the deficit criterion as defined in 
the Treaty and in Regulation (EC) No 1467/1997 is not fulfilled. 

(17)  Following  the  COVID-19  outbreak,  Slovakia  has  taken  quick  and  unprecedented 
measures  to  halt  and  prevent  further  spread  of  the  virus.  After  a  first  case  was 
registered on 6 March 2020, it declared a state of emergency as of 12 March 2020, and 
introduced  strict  social  distancing,  quarantine  and  sanitary  rules,  as  well  as  travel 
restrictions.  Shops  and  production  in  important  economic  sectors  closed  for  several 
weeks,  until  the  government  started  gradually  loosening  restrictions  from  late  April 
2020.  As  a  consequence,  Slovakia’s  economy  is  expected  to  enter  into  a  deep 
recession in 2020 as private consumption, investment and trade suffer. It is projected 
to contract sharply by 6,7% in 2020 and the unemployment rate is expected to reach 
8,8%  in  2020,  up  from  5,8%  in  2019.  Slovakia  has  responded  with  several  sets  of 
measures to mitigate the adverse effects of the crisis, including by re-allocating EUR 
1,2  billion  of  unused  cohesion  policy  funds.  The  measures  includes  short-time  work 
schemes  with  wage  compensation,  supporting  the  income  of  employees  through 
sickness  and  nursing  benefits,  and  providing  subsidies  to  the  self-employed  to 
compensate  for  their  loss  of  income.  Further  measures  to  support  liquidity  of 
companies  and  the  self-employed  include  bank  loans,  tax  deferrals  and  the 
postponement  of  social  security  contributions,  as  well  as  the  provision  of  bank 
guarantees  and  favourable  interest  schemes.  A  loan  scheme  for  small-  and  medium-
sized enterprises (SMEs) with original allocation of EUR 38 million will be extended 
by  EUR  330  million  from  unused  Union  funds  and  a  national  scheme  amounting  to 
EUR 500 million. Other measures include interrupting tax audits and obligations  for 
tax advance payments, deferral of paying rent for companies and individuals. 

(18)  The  COVID-19  pandemic  has  increased  the  importance  for  Slovakia  to  continue 
addressing  structural  challenges  in  its  health  system.  Additional  investments  are 

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needed  to  increase  its  resilience,  alleviate  health  workforce  shortages,  and  to  ensure 
appropriate  supply  of  critical  medical  products  and  infrastructure.  In  parallel  with 
efforts  to  secure  adequate  supply  of  health  workers  in  the  future,  effective  policies 
could reduce geographic disparities in the availability of doctors and ensure access to 
care  for  the  entire  population.  Modernising  the  hospital  network  and  addressing  the 
structural  underfunding  of  public  hospitals  are  key  to  increase  the  quality  and  cost-
effectiveness  of  health  services.  Primary  care  provision  needs  to  be  strengthened  to 
reduce pressure on hospitals and improve chronic disease management, together with 
increased coordination across different levels and types of care. A particular concern is 
the  insufficient  access  to  quality  and  affordable  long-term  care,  due  to  general 
underfunding  of  community  and  home-based  care  services,  fragmented  governance, 
and the lack of systemic coordination of social and healthcare services. 

(19)  The COVID-19 crisis has highlighted pre-existing social challenges in Slovakia. It has 
created an urgent need to provide adequate income replacement for workers, in close 
cooperation  with  social  partners.  In  order  to  mitigate  the  employment  impact  of  the 
crisis,  short-time  work  schemes  have  been  activated,  with  the  contribution  of  Union 
funds.  According  to  the  Commission  forecast,  unemployment  is  expected  to  rise  to 
8,8%  in  2020  and  recover  to  7,1%  in  2021.  Despite  some  loosening  in  2018,  the 
unemployment  benefit  system  in  Slovakia  is  characterised  by  strict  eligibility 
requirements, a relatively short duration of benefits (six months as a general rule, with 
small extensions during the crisis) and low replacement rates for beneficiaries. Some 
groups  are  particularly  vulnerable  to  the  crisis  and  may  experience  limited  access  to 
social  protection  and  care  services,  including  marginalised  Roma  communities,  who 
often also lack access to essential services, the elderly and the low skilled.  

(20)  The crisis has increased the need to develop the population’s digital skills, including 
those  of  teachers,  as  well  as  the  need  to  expand  broadband  connectivity,  as  many 
pupils are still without connection to  internet  or  lack other pre-conditions  to  learn  at 
home, in particular in marginalised Roma communities. Challenges concerning equal 
access  to  quality  and  inclusive  education  remain,  as  basic  skills  levels  and  general 
performance  of  students  are  strongly  affected  by  their  socio-economic  background. 
There are pronounced performance differences between schools and regions, reflected 
also  in  the  high  rates  of  early  leavers  from  education  and  training,  in  particular  in 
Eastern  Slovakia.  The  attractiveness  of  the  teaching  profession  and  the  quality  of 
initial  teacher  education  remain  low.  In  addition,  the  national  enrolment  rate  of 
children in early childhood education and care, in particular of children below three, is 
the lowest in the EU, which has a further negative impact on educational outcomes. 

(21)  The COVID-19 crisis has made swift deployment of liquidity support to businesses an 
urgent priority for Slovakia through well-targeted loans and guarantees, with a focus 
on  SMEs,  making  use  of  the  new  flexibility  given  by  the  temporary  framework  on 
State  aid  to  support  the  economy  and  re-allocating  cohesion  policy  funds. Adequate 
risk guarantees combined with low interest rates and long maturities can help ensure 
the swift provision of loans by intermediaries and uptake by firms.  In the process  of 
designing and implementing these measures, the resilience of the banking sector needs 
to be taken into account. Allowing deferred payments of taxes and social contributions 
can  further  help  alleviate  short-term  liquidity  constraints  for  SMEs  and  the  self-
employed.  Fighting  against  tax  evasion  and  improving  tax  compliance  remain 
priorities for Slovakia in the medium term, as a means to ensure the sustainability of 
public  finances  and  promote  a  fair  level  playing  field,  facilitating  the  economic 
recovery.  To  ensure  viable  cash-flow  balances  for  SMEs,  it  is  important  that  public 

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authorities at all levels and companies are instructed to speed up payment of invoices 
to their suppliers. 

(22)  Fostering  a  favourable  business  environment  and  improving  the  quality  of  public 
services  are  crucial  for  the  recovery  and  for  creating  a  more  supportive  investment 
climate. To ensure the effectiveness of the recovery measures, it is important to reduce 
unnecessary  administrative  burden  and  simplify  procedures,  including  through 
effective  use  of  ‘one-stop  shops’  for  businesses.  The  overall  effectiveness  of 
Slovakia’s public institutions and administration remains low. It can be improved by 
further digitalisation, better coordination and planning of the digital infrastructure and 
software  development.  Further  reform  efforts  could  improve  the  coordination  of 
policy-making, drafting regulations, and ensure high performance of the civil service 
and  human  resource  management.  To  strengthen  the  economy’s  resilience,  Slovakia 
would  benefit  from  increasing  the  innovation  capacity  of  businesses,  particularly 
SMEs,  by  tackling  the  fragmented  governance  of  the  research  and  innovation 
ecosystem.  Better  cooperation  between  business,  research,  academia  and  the  public 
sector  can support the sharing of knowledge and skills  and help  companies innovate 
and develop new working and production abilities.  

(23)  To  foster  the  economic  recovery,  it  will  be  important  to  front-load  mature  public 
investment  projects  and  promote  private  investment,  including  through  relevant 
reforms. Allowing less developed regions to catch up and becoming more knowledge-
based, competitive, and productive will require more strategic investment in Slovakia, 
particularly to develop infrastructure, including digital and other key services, and to 
improve  transport  networks.  The  COVID-19  outbreak  has  highlighted  pre-existing 
digital  infrastructure  gaps.  Expanding  broadband  coverage  and  speed  will  allow  for 
more  equal  and  improved  access  to  the  internet.  Slovakia’s  education  system  and 
labour market could be improved with efforts to equip the population with better sets 
of  skills  for  a  changing  economy  and  society,  including  through  lifelong  learning, 
stronger cooperation between business and education at all levels, and better linking of 
training and requalification programmes to the current and future labour market needs.  

(24)  Recovering  economic  growth  will  require  policy  efforts  and  targeted  investments  in 
the  coming  years  to  allow  Slovakia  to  seize  opportunities  for  creating  a  more 
sustainable  and  higher  value  added  economy.  These  efforts  should  take  regional 
disparities  into  account.  Priority  areas  for  additional  efforts  identified  in  Slovakia’s 
National  Energy  and  Climate  Plan  include  reducing  the  energy  intensity  of  industry, 
supporting energy efficiency solutions, in particular for households, and investing into 
renewable  energy.  A  more  enabling  regulatory  environment  could  help  increase  the 
proportion of renewable energy sources in the energy supply. Slovakia would benefit 
from  speeding  up  the  implementation  of  the  action  plan  for  the  transformation  of 
Horná Nitra, reorienting funds towards solutions for the entire region, and seizing the 
opportunity to advance the coal phase out. Reducing air pollution caused by solid fuel 
burning and rising transport emissions, improving the waste management system with 
innovative collection and treatment  solutions, completing drinking water and sewage 
networks  to  address  sanitary  problems,  supporting  smart  grids  projects,  and  moving 
industry towards the climate neutral and circular economy can help put Slovakia on a 
path  to  sustainable  economic  growth.  The  programming  of  the  Just  Transition  Fund 
for the period 2021-2027 could help Slovakia to address some of the challenges posed 
by the transition to a climate neutral economy, in particular in the territories covered 

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by Annex D to the country report8. This would allow Slovakia to make the best use of 
that fund. 

(25)  New  trends  in  international  organised  crime,  including  misuse  of  legal  entities  for 
money  laundering  purposes,  are  putting  pressure  on  Slovakia  to  upgrade  its  anti-
money  laundering  framework  in  order  to  prevent  and  combat  economic  crime.  The 
understanding  of  risk  exposure  remains  low,  despite  ambitious  government  plans  to 
strengthen  prevention,  investigation  and  prosecution  of  money  laundering.  Limited 
human resources and training hamper effective supervision of professionals involved 
in  company  formation.  Steps  taken  under  the  government  action  plan  have  not  yet 
provided the tools to effectively identify and prosecute money laundering offences and 
to confiscate assets. 

to  address  medium- 

(26)  While the present recommendations focus on tackling the socio-economic impacts of 
the  pandemic  and  facilitating  the  economic  recovery,  the  2019  country-specific 
recommendations adopted by the Council on 9 July 2019 also covered reforms that are 
essential 
structural  challenges.  Those 
recommendations remain pertinent and will continue to be monitored throughout next 
year’s  European  Semester  annual  cycle.  That  also  applies  to  recommendations 
regarding investment-related economic policies. The latter recommendations should be 
taken  into  account  for  the  strategic  programming  of  cohesion  policy  funding  post-
2020, including for mitigating measures and exit strategies with regard to the current 
crisis.  

long-term 

to 

(27)  Slovakia should continue working on its commitment to address specific concerns on 
the  overall  integrity  of  its  justice  system,  as  they  are  likely  to  undermine  trust  in  its 
effective  functioning.  Progress  in  implementing  reforms  to  fight  corruption  remains 
limited in  Slovakia. A number of prevention-related reforms  or their implementation 
are still pending, including rules on lobbying, gifts, incompatibilities and contacts with 
third  parties  in  decision-making,  and  whistle-blower  protection.  Although  criminal 
statistics  fluctuate, 
the  number  of  high-level  corruption-related  cases  under 
investigation remains low, while efforts to sanction legal persons show some impact. 

(28)  The  European  Semester  provides  the  framework  for  continuous  economic  and 
employment  policy  coordination  in  the  Union,  which  can  contribute  to  a  sustainable 
economy.  Member  States  have  taken  stock  of  progress  regarding United  Nations’ 
Sustainable  Development  Goals  (SDGs)  implementation  in  their  2020  National 
Reform  Programmes.  By  ensuring  the  full  implementation  of  the  recommendations 
below, Slovakia will contribute to the progress towards the SDGs and to the common 
effort of ensuring competitive sustainability in the Union.  

(29)  Close coordination between economies in the economic and monetary union is key to 
achieve  a  swift  recovery  from  the  economic  impact  of  the  COVID-19.  Slovakia 
should,  as  a  Member  State  whose  currency  is  the  euro  –  and  taking  into  account 
political  guidance  by  the  Eurogroup  –  ensure  its  policies  remain  consistent  with  the 
euro area recommendations and coordinated with those of the other euro area Member 
States. 

(30) 

In  the  context  of  the  2020  European  Semester,  the  Commission  has  carried  out  a 
comprehensive  analysis  of  Slovakia’s  economic  policy  and  published  it  in  the  2020 
country  report.  It  has  also  assessed  the  2020  Stability  Programme  and  the  2020 
National  Reform  Programme  and  the  follow-up  given  to  the  recommendations 

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  EN 

                                                 
addressed  to  Slovakia  in  previous  years.  It  has  taken  into  account  not  only  their 
relevance  for  sustainable  fiscal  and  socioeconomic  policy  in  Slovakia,  but  also  their 
compliance with Union rules and guidance, given the need to strengthen the Union’s 
overall  economic  governance  by  providing  Union-level  input  into  future  national 
decisions.  

(31) 

In  the  light  of  that  assessment,  the  Council  has  examined  the  2020  Stability 
Programme and its opinion9 is reflected in particular in recommendation (1) below, 

HEREBY RECOMMENDS that Slovakia take action in 2020 and 2021 to: 

1. 

2. 

3. 

4. 

In  line  with  the  general  escape  clause,  take  all  necessary  measures  to  effectively 
address the pandemic, sustain the economy and support the ensuing recovery. When 
economic  conditions  allow,  pursue  fiscal  policies aimed  at  achieving  prudent 
medium-term  fiscal  positions  and  ensuring  debt  sustainability, while  enhancing 
investment.  Strengthen  the  resilience  of  the  health  system  in  the  areas  of  health 
workforce,  critical  medical  products  and  infrastructure.  Improve  primary  care 
provision and coordination between types of care. 

Provide  adequate  income  replacement,  and  ensure  access  to  social  protection  and 
essential  services  for  all.  Strengthen  digital  skills.  Ensure  equal  access  to  quality 
education. 

Effectively  implement  measures  to  ensure  liquidity  for  small  and  medium-sized 
enterprises  and  self-employed.  Close  digital  infrastructure  gaps.  Front-load  mature 
public  investment  projects  and  promote  private  investment  to  foster  the  economic 
recovery. Focus investment on the green and digital transition, in particular on clean 
and  efficient  production  and  use  of  energy  and  resources,  sustainable  public 
transport, and waste management.  

Ensure  effective  supervision  and  enforcement  of  the  anti-money  laundering 
framework.  Ensure  a  favourable  business  environment  and  quality  public  services 
through enhanced coordination and policy-making. Address the integrity concerns in 
the justice system.  

Done at Brussels, 

For the Council 
The President 

9 

Under Article 5(2) of Council Regulation (EC) No 1466/97. 

EN 

8 

  EN