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Speaking at a meeting of employers in the small business in the town of Medvode on Monday, Boštjan Vasle said that the main driving forces of growth will be the same as last year, when Slovenia recorded a 2.6% growth.

Exports will be the key element, but their growth will be slightly lower than last year, standing at between 5% and 6%. The growth of investments and consumer expenditure is also expected to continue, according to him.

A turnaround in all segments of the labour market is expected, and projections also indicate an improvement on the financial market.

Vasle warned that financial institutions are hampering growth in Slovenia, noting that banks are still not crediting the economy as much as they should even after the extremely expensive bailout at the end of 2013.

In order to improve economic growth in the coming years, labour costs need to be reduced. These costs have been reduced lately, but the trend should continue, he said, adding that this should be coupled with higher productivity.

In its latest growth forecast at the end of December last year, IMAD upgraded projection for this year to 2% and to 1.7% for 2016.