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Last refreshed: 06/06/2026 21:36 · 34 articles added
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Economy

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Economy

Arms Empire Stock Value Halves After US Investigation Questions Business Model

Shares of Czechoslovak Group (CSG), the arms manufacturing company owned by businessman Michal Strnad, have fallen by half since their stock market debut three months ago. The steepest decline came after an American website published an investigative article questioning the firm's business model and alleging the company had exaggerated its ammunition production capabilities. Strnad, who has close ties to the ruling Smer-SD party, became the wealthiest person in Central and Eastern Europe in January when CSG completed what was described as the largest initial public offering in the history of the arms industry.

Dennik N
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Economy

Volkswagen to Cut 50,000 Jobs in Largest Workforce Reduction in 20 Years

German automaker Volkswagen announced plans to eliminate 50,000 jobs across its factories in what represents the company's largest workforce reduction in two decades. The massive layoffs signal the scale of challenges facing one of Europe's largest car manufacturers as it struggles with declining sales, increased competition, and the costly transition to electric vehicles. Industry analysts suggest the job cuts may not be sufficient to restore the company's competitiveness, with Volkswagen reportedly considering expanded cooperation with Chinese manufacturers as part of its restructuring strategy. The announcement reflects broader difficulties in the European automotive sector as traditional carmakers face pressure from both electric vehicle transition costs and growing competition from Chinese automakers.

SME
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Economy

Hossa Family frozen foods company returns to profit after million-euro loss

Hossa Family, the frozen foods company owned by former professional hockey player Marian Hossa, returned to profitability in 2024 with earnings of 660,000 euros after recording a significant loss the previous year. The Poprad-based company attributed the turnaround to increased efficiency and more intensive use of its new warehouse facility near Bratislava. The company had experienced steady growth since the pandemic but suffered an unexpected million-euro loss in 2023 when it failed to successfully launch operations at its new Bratislava distribution center. The recovery demonstrates the company's ability to overcome operational challenges and optimize its expanded infrastructure.

Dennik N
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Economy

Slovakia Receives €1.24 Billion from EU Recovery Plan to Support Modernization

Slovakia has received €1.243 billion from the European Union's recovery plan, comprising the sixth and seventh payment installments. The funds are designated to support key reforms and investments aimed at modernizing the country and increasing its resilience. The EU recovery plan, formally known as the Recovery and Resilience Facility, was established to help member states recover from the COVID-19 pandemic and build more sustainable economies. Slovakia's allocation is part of the broader €750 billion NextGenerationEU program, which distributes funds based on countries meeting specific reform milestones and investment targets set by the European Commission.

AktualityTASR/Teraz
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Economy

Slovakia's Social Insurance Agency begins sending pension forecasts to 3.5 million contributors

Slovakia's Social Insurance Agency has launched the distribution of pension forecasts to approximately 3.5 million contributors. Labor, Social Affairs and Family Minister Erik Tomáš from the Hlas-SD party announced the initiative on Tuesday. The forecasts will provide workers with projected estimates of their future retirement benefits based on their current contribution records and expected future payments into the state pension system.

SMETASR/Teraz
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Economy

Slovak Parliament Moves to Reduce Tax Burden on Low-Income Self-Employed

Slovak lawmakers have introduced legislation to reduce the tax burden on low-income self-employed individuals by eliminating their requirement to pay micro-levy contributions. The proposal was submitted by five members of parliament from the ruling coalition: Roman Michelko and Dagmar Kramplová from the Slovak National Party (SNS), along with Jozef Cech, Paula Puškárová, and Zdenka Mačicová from Voice-Social Democracy (Hlas-SD). The measure specifically targets self-employed persons with company status (SZČO) who earn lower incomes, aiming to ease their financial obligations. Both SNS and Hlas-SD are part of Slovakia's current governing coalition, which has been focusing on various economic relief measures for small businesses and individual entrepreneurs.

TASR/Teraz
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Economy

Recovery Plan Funds for Hospital Construction Not at Risk, Says Minister

Slovakia's finance minister has declared that European Union recovery plan funding allocated for hospital construction remains secure. Minister Ladislav Kamenický assured that the government will meet all required milestones to maintain access to the designated funds. The statement comes amid ongoing concerns about Slovakia's ability to fulfill commitments under the EU's post-pandemic recovery program, which provides billions of euros to member states contingent on meeting specific reform and investment targets.

SME
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Economy

Slovakia's Budget Crisis Traced to 2019 Pre-Election Spending, Says Fiscal Council Chief

Slovakia's long-term fiscal sustainability deteriorated most severely in 2019, when public finances shifted from low-risk to high-risk status, according to Ján Tóth, chairman of the Council for Budget Responsibility. The damage was primarily caused by pension system changes and excessive pre-election spending in the 2020 budget, both implemented under then-Finance Minister Ladislav Kamenický from Smer-SD, the social-democratic party that was in power at the time. The Council for Budget Responsibility is an independent body that monitors the government's fiscal policies and debt sustainability. Tóth emphasized that Slovakia failed to take advantage of favorable economic conditions during that period to strengthen its public finances, describing this as a crucial missed opportunity that continues to impact the country's fiscal health.

Dennik N
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Economy

Tax Inspections Find One in Seven Craftsmen Violating Electronic Cash Register Requirements

Tax authorities have discovered widespread non-compliance among Slovak craftsmen with new electronic cash register requirements, with every seventh artisan found to be breaking the law during recent inspections. The electronic cash register system, known as eKasa, became mandatory for craftsmen and artisans at the beginning of this year, expanding beyond retailers to include traditional trades and services. The system requires businesses to electronically record all transactions and transmit sales data directly to tax authorities in real-time, part of Slovakia's broader effort to reduce tax evasion and improve revenue collection. The high rate of violations suggests many small business owners are either unaware of the new requirements or struggling to implement the digital systems in their operations.

SME
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Economy

Oil prices fall as Strait of Hormuz partially reopens

Oil prices declined following the partial reopening of the Strait of Hormuz, one of the world's most critical energy chokepoints. The development reduced prices for both Brent and WTI crude benchmarks. The Strait of Hormuz, located between Iran and the Arabian Peninsula, serves as a vital shipping route for global oil supplies, with approximately one-fifth of the world's petroleum liquids passing through the narrow waterway. Despite the easing of access through the strategic passage, regional tensions in the Persian Gulf remain elevated.

Aktuality
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Economy

Slovakia's Economy Faces Global Constraints as Governments Eye Temporary Populist Measures

Slovakia's political parties are increasingly adopting temporary populist economic measures tied to electoral cycles, according to economic analysis. The previous government under Igor Matovič implemented a child tax bonus of up to 140 euros that was designed to last only through 2023 and 2024, coinciding with the electoral period. The current ruling coalition considered a similar approach with thirteenth pensions, a measure costing approximately one billion euros. This trend reflects a broader pattern where Slovak governments implement popular but costly policies for limited periods aligned with their time in office. Meanwhile, global economic constraints are emerging as potential limits to growth, with analysts pointing to oil supply capacity and artificial intelligence infrastructure as key bottlenecks that could affect worldwide economic development.

Dennik N
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Economy

140,000 Slovak Retirees Receive Pensions Over €1,000 as Analyst Questions Thirteenth Pension Affordability

Nearly 140,000 Slovak pensioners receive monthly pensions exceeding €1,000, raising questions about the country's ability to fund additional pension benefits. Analyst Radovan Ďurana has called for necessary reforms to the pension system, highlighting concerns about the sustainability of Slovakia's thirteenth pension payments. The thirteenth pension is an additional annual payment that Slovakia introduced as a supplementary benefit for retirees, but its financing has become increasingly challenging as pension costs rise. Slovakia's pension system faces mounting pressure from demographic changes and rising benefit obligations, with higher-income retirees receiving substantial monthly payments that strain the overall budget for pension expenditures.

SME
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Economy

Slovak Defense Contractor CSG Loses Half Its Value Amid Ammunition Trading Allegations

CSG, a Slovak defense company owned by businessman Jaroslav Strnad, has lost half of its stock market value since its initial public offering following a damaging report alleging involvement in old ammunition trading. The report has significant implications for Defense Minister Robert Kaliňák, who has faced scrutiny over his connections to the defense industry. CSG's dramatic stock decline reflects investor concerns about the company's business practices and potential regulatory challenges. The allegations come at a sensitive time for Slovakia's defense sector, which has been under increased attention due to the country's military support for Ukraine and broader European security concerns.

SME
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Economy

European Stock Indices Fall Sharply Amid US-Iran Tensions

European stock markets suffered significant declines as escalating conflict between the United States and Iran prolonged the ongoing energy crisis. The geopolitical tensions between the two countries have created uncertainty in global markets, with European indices bearing the brunt of investor concerns. The US-Iran conflict has contributed to volatility in energy markets, extending a crisis that has already impacted global economic stability and investor confidence across European financial markets.

SME
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Economy

Bitcoin Surges Above $80,000 for First Time This Year

Bitcoin has risen above $80,000 per coin for the first time since the beginning of the year, marking a significant recovery for the cryptocurrency. The digital currency had been losing ground in the period leading up to the outbreak of war in Iran, but has now rebounded to reach this milestone price level.

SME
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Economy

Rising Gas Prices from Middle East Conflict Force Slovak Government into Difficult Budget Decision

The ongoing conflict in the Middle East has pushed wholesale gas prices above 40 euros per megawatt hour, forcing Slovakia's government to decide whether to subsidize energy costs with hundreds of millions of euros from the state budget or allow household bills to rise significantly. Gas prices jumped approximately 50 percent in March and remained elevated through April due to the regional conflict involving Iran. The government faces a choice between protecting consumers through costly subsidies, which would strain public finances, or allowing market prices to pass through to households, which could anger voters. The Middle East tensions are also affecting Slovakia's regulated energy prices for 2027, with households facing the steepest potential increases in gas costs. This dilemma reflects the broader challenge facing European governments as geopolitical conflicts drive up energy costs, forcing difficult trade-offs between fiscal responsibility and consumer protection.

Dennik N
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Economy

Polish insurer PZU to acquire 100% of MetLife Ukraine

Polish insurance company PZU will acquire full ownership of MetLife Ukraine, completing a takeover of the Ukrainian insurance operation. MetLife Ukraine recorded revenues of 38 million euros and net profit of 21 million euros in the previous year. The acquisition represents PZU's expansion into the Ukrainian insurance market, where the company has demonstrated strong financial performance despite the challenging operating environment in the country.

TASR/Teraz
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Economy

Jaguar Plant in Nitra Prepares for Electric Vehicle Production with Battery Storage Facility

Jaguar Land Rover's manufacturing facility in Nitra is preparing to begin electric vehicle production by 2030, with plans to construct a battery storage warehouse. The facility, which currently produces conventional vehicles for the British luxury automaker, represents part of the company's broader transition to electric mobility. The Nitra plant, located in western Slovakia, has been a key manufacturing hub for Jaguar Land Rover in Central Europe since it began operations, and the shift to electric vehicle production would mark a significant evolution in the facility's capabilities as the automotive industry undergoes electrification.

SME
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Economy

Oil Prices Rise Over 3% as Brent Crude Approaches $112 Per Barrel

Oil prices surged more than three percent, with Brent crude oil approaching the $112 per barrel mark amid market concerns over deteriorating conditions in the Strait of Hormuz. The Strait of Hormuz is a critical shipping lane between the Persian Gulf and the Gulf of Oman, through which approximately one-fifth of global oil supplies pass daily. Any disruption to this waterway typically triggers immediate concerns about global energy security and supply chains, leading to price volatility in international oil markets.

SME
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Economy

Slovakia Proposes 'Blank Check' Offer to Second-Pillar Pension Savers

The Slovak government is developing a proposal to offer what officials describe as a "blank check" to savers in the country's second-pillar pension system, with future generations expected to bear the financial cost. The Ministry of Finance characterized the proposal as a working concept still under development. Slovakia's second pillar is part of a three-tier pension system where workers contribute to private pension funds alongside the state pension scheme, but the specific details of what the government is proposing to offer savers and how it would be funded remain unclear. The reference to future generations paying suggests the proposal could involve significant long-term fiscal commitments that would impact Slovakia's public finances in coming decades.

SME
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