Europe’s economy is in the throes of major macroeconomic changes. We have lived through much of the Corona shock, with all its challenges and opportunities. We have certainly learned how dependent we are on Asia in certain segments and where we are vulnerable. This dependence has been further potentiated in the last 2 years when we are facing inflation compared to Asian competition due to higher commodity prices and money printing in the EU for the purpose of setting up the Recovery and Resilience Plan.

How to move forward?

The sobering up in Europe is certainly welcome as we have started to invest heavily in skills and additional capacity in segments where we are vulnerable (e.g. semiconductors, electric vehicles).

And Slovenia?

The Slovenian economy has undergone a partial restructuring in line with the smart specialisation strategy in the period 2017-2024, and under pressure from the minimum wage increase, value added per employee has risen from €37,000 to €55,000. But of course, there are even higher targets ahead, set by the trade union organisations (Chambers of Commerce and Industry, ZM) and the government. Reaching €88,000 added value per employee by 2030 will be achieved by continuing to focus on higher value-added products and services and investing in modern equipment and know-how. I am pleased that the government has also started to increase R&D funding in recent years and that we will slowly reach the level of the best. The opportunities are, of course, in greater reallocation of certain lower value-added products to countries close to us in SE Europe and thus keeping contact in the supply chain, as otherwise customers would/will find their own alternatives in the LC environment. I also see new opportunities in the fields of health and education, where Slovenia has good competences and can of course offer them to the wider market. This will also attract young people from elsewhere, who can of course continue their lives here after their studies. Given what we have been through in the last 100 years, I firmly believe that in the future, as a small economy, we will be able to take advantage of the opportunities.