Economic Newsfilter: Kamenický Outraged by the Chief Economist of NBS Who Simply Named the Sad Reality
Finance Minister Ladislav Kamenický criticized the chief economist of the National Bank of Slovakia for his blog post comparing Slovakia's economic trajectory to Greece's, alleging it was harmful to the country.
Finance Minister Ladislav Kamenický expressed outrage over the recent blog post by Michal Horváth, the chief economist of the National Bank of Slovakia (NBS). Horváth's comparison of Slovakia's economic development to that of Greece has sparked significant controversy, as Kamenický believes it promotes a negative narrative that Slovakia is following a 'Greek path' to bankruptcy. On social media, Kamenický claimed he was shocked by Horváth’s statements and expected more restraint and independence from the central bank, particularly in light of how investors monitor such remarks.
Kamenický accused the NBS of forecasting some of the most pessimistic growth rates among economic institutions, suggesting that this kind of rhetoric could harm Slovakia’s image on the international stage, particularly with investors. He argued that while Slovakia is indeed working on fiscal consolidation, it is simultaneously increasing expenditures unsustainably, which makes it difficult to achieve lower fiscal deficits. This criticism highlights concerns about the financial management in Slovakia and how the narrative emerging from its central bank could potentially influence economic stability.
Horváth defended his blog by stating he was merely stating facts, particularly pointing to Greece's experience of increasing social benefits and public salaries that led them to bankruptcy. As Slovakia’s economic circumstances evolve, the dialogue between government officials and economic analysts is crucial, especially as Slovakia balances its own economic policies amid growing fiscal challenges.