The Slovenian Statistical Office published its GDP figures for 2021, showing that in real terms, it increased by 8.1% YoY. At the same time, in Q4 2021, the GDP grew by 10.4% YoY.
In 2021, the Slovenian economy declined by 4.2%. Meanwhile, in 2021, GDP increased by 8.1% in real terms. Nominal GDP growth amounted to 10.9%, and GDP in current prices amounted to EUR 52.02bn.
In Q4 2021, domestic consumption increased by 13.9%, household consumption expenditure grew by 22.9% (contributing the most to the overall GDP growth). Gross fixed capital formation increased by 11%, most evident in the investment in machinery and equipment (+21.9%). Imports also increased more than exports, continuing the trend from the previous two quarters. In total, imports were up 16.8%, while exports were up 12.1% in Q4. With the higher growth of imports than exports, the contribution of the external trade balance to GDP growth was negative (-2.3 p.p.). This trend of negative contributing net exports is likely to continue in 2022, as exports continue to recover due to improvements in the economic situation among Slovenia’s main trading partners. As imports will also be supported by consumer confidence and household spending, we expect trade balance to be neutral to GDP in 2022 and to start contributing positively from 2023.
On the yearly basis, the increase in domestic expenditure had a strong economic impact. After the decrease of -4.6% in 2020, it increased by 10.8% in 2021. Final consumption contributed more to GDP growth than gross capital formation. External demand also experienced an increase, with exports growing by 13.2% while imports grew by 17.4%. This would also mean that the external trade balance was lower than in 2020, amounting to HRK 2.76bn (as compared to EUR 4.33bn in 2020).
GDP by expenditures, constant prices, growth rates (%)
If we were to look at value-added by activities, at constant prices, financial and insurance activities had the largest relative growth in Q4 (at 12.2%), followed by Trade, transportation and storage, accommodation and food service activities with 11.6%, Other service activities with 10.7%, and Professional, scientific, technical, administrative and support services with 10.1%.
