President: People Tired of Consolidation, Rejecting Further Cuts

Bratislava, 16 September (TASR) - It's hardly surprising that people are rightly tired - and in some cases also disillusioned - by three years of fiscal consolidation, and, when looking into their wallets, they are no longer willing to accept further cuts, said President Peter Pellegrini in the State of the Republic address that he delivered in Parliament on Wednesday. "Consolidation means saving and cutting back on spending, there's simply no getting around that fact. Nevertheless, many questions remain as to whether this particular form of consolidation was the best choice and whether the mix of government measures has truly delivered the desired result," stated Pellegrini. According to the president, a symbolic moment when people put these questions to themselves was the public holiday on Tuesday (15 September), which wasn't a rest day, as no one knew how much money the state was actually saving, and whether people had to, could, or should take leave, while parents were grappling with the question of whether or not their children would go to school. However, Pellegrini praised the the government's efforts to maintain social welfare standards and protect those who need it the most while undertaking fiscal consolidation. A heavier burden, in the form of greater solidarity, was shifted onto more successful individuals and companies, whether it was via the introduction of new taxes or progressive taxation. He noted that unemployment levels haven't changed significantly during consolidation, remaining at all-time lows. The president also highlighted targeted energy aid, which, despite initial issues, was the first comprehensive attempt to implement a targeted system for disbursing any form of state support. The head of state also touched on the government's options for supporting the economy. He noted that, given the export-oriented nature of the economy and developments on global markets, these options are limited, though not zero. "Therefore, the government must act in a way that convinces its citizens that it's done its utmost to mitigate these global impacts, rather than leaving Slovakia at their mercy," he stressed. Regarding rising fuel prices, the president stated that the government, in cooperation with the country's largest fuel producer, successfully managed the initial wave of price hikes, adding that Slovakia fared well compared to both its V4 partners and the rest of Europe. "However, due to ongoing conflicts and a shortage of oil products on global markets, prices are now rising more dramatically than we might have anticipated. I therefore believe that the government will address potential measures to mitigate the impact of these high fuel prices on our economy and people's wallets during its deliberations," he added. ko/df