Slovenian Economic Mirror


Slovenian Economic Mirror

Slovenian Economic Mirror 7/2023

In Slovenia, the slowdown in economic growth is also reflected in the labour market. The year-on-year growth in the number of persons in employment has slowed, and the decline in the number of registered unemployed, which had been strong until the middle of this year, has also slowed. Despite the slowdown in employment momentum, around half of companies in construction, a third in trade and a quarter in manufacturing state that their business activities are hampered by labour shortages. Labour shortage has also led to an increase in the employment of foreigners, whose numbers have accounted for more than 90% of the year-on-year increase in the number of persons in employment for several months now. The year-on-year increase in consumer prices slowed slightly in October (to 6.9%). This was mainly due to the continued moderation of price increases of food and non-alcoholic beverages, which remain the largest contributors to inflation among all 12 CPI groups. Inflation remains above the euro area average (as measured by the harmonised index of consumer prices – HICP, which enables a Europe-wide comparison). The difference has widened since September. This was mainly due to the expiry of some of the measures taken to mitigate the consequences of rising prices in Slovenia. The difference in October was particularly marked in energy prices, partly due to higher excise duties on petroleum products.