Republic of Slovenia: Selected Issues

International Monetary Fund

No 2006/250, IMF Staff Country Reports from International Monetary Fund

Abstract: This paper provides a background on the key policy challenges for Slovenia in the euro zone. Then, it assesses the discretionary scope to adjust spending and proposes initial steps to enhance budget flexibility so that fiscal adjustment can be targeted on relatively inefficient spending. This study also discusses the long-term fiscal sustainability position of Slovenia using a generational accounting framework. A simulation of retirement incentives suggests that the pension system will encourage individuals to retire earlier than the statutory full pensionable age. These incentives are stronger for low-income earners.

Keywords: ISCR; CR; Slovenia; expenditure reform; chapter VI; productivity growth; trade specialization pattern; chapter III; pension base; Pensions; Pension spending; Aging; Health care spending; Retirement; Europe; Western Hemisphere (search for similar items in EconPapers)
Pages: 111
Date: 2006-07-10
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