ngle which are taken from the coat of arms of the Counts of Celje,
the great Slovene dynastic house of the late 14th and early 15th
centuries); the seal is located in the upper hoist side of the flag
centered in the white and blue bands

Economy

Economy - overview: Slovenia appears to be making a solid economic
recovery, fulfilling the promise it showed at the time of Yugoslavia's
breakup. Its per capita GDP is now the highest in Central and Eastern
Europe and comparable to the levels in the poorer West European
countries. Slovenia has benefited from strong ties to Western Europe
and suffered comparatively small physical damage during Yugoslavia's
breakup. The beginning was difficult, however. Real GDP fell 15% in
1991-92, while inflation soared to 200% in 1992. The turning point
came in 1993, when real GDP grew 1%, unemployment leveled off, and
inflation slowed dramatically. In 1994, real GDP rose 5.5%, tapering
off to an estimated 3.5% in 1995 and an estimated 3% in 1996. The
government gets good marks from foreign observers for fiscal policy -
the budget deficit has not exceeded 1% of GDP in any year since 1991,
and the current account balance has remained in surplus throughout the
transition period, with the exception of 1995-96. The Slovene
privatization program, which began in 1994, involves about 1,400
firms, but less than half have been privatized. Growth in the near
term depends largely on economic revitalization in Western Europe
which buys 70% of Slovenia's exports. Slovenia itself must press on
with privatization, restructuring, the encouragement of foreign
investment, and the maintenance of a stable tolar.

GDP: purchasing power parity - $24 billion (1996 est.)

GDP - real growth rate: 3% (1996 est.)

GDP - per capita: purchasing power parity - $12,300 (1996 est.)

GDP - composition by sector:
agriculture: 4.8%
industry: 33.2%
services : 62% (1996)

Inflation rate - consumer price index: 8.8% (1996 est.)

Labor force:
total : 857,400
by occupation: NA%

Unemployment rate: 13% (1996 est.)

Budget:
revenues : $8.48 billion
expenditures: $8.53 billion, including capital expenditures of $NA
(1996 est.)

Industries: ferrous metallurgy and rolling mill products, aluminum
reduction and rolled products, lead and zinc smelting, electronics
(including military electronics), trucks, electric power equipment,
wood products, textiles, chemicals, machine tools

Industrial production growth rate: -1%