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Fiscal policy is a policy of the government that represents a system of measures, which affect the public revenue and expenditure and by this means reach a long-term and short-term economic goals. Country attempts (through the implementation of a restrictive or expansionary fiscal policy) to control and influence the economic situation in the country (unemployment, economic growth, inflation, etc.). The objectives of economic and fiscal policy of the Republic of Slovenia are set out in the National Reform Programme and the Stability Programme.

In the period 2016-2017 it will be necessary to pursue the objective of sustainable recovery and continue to implement the reform measures. Conditions for economic growth will be provided with the improvement of competitiveness and increased productivity of the economy and the employment rate. Demographic projections and related challenges constitute a key element in the further development and long-term fiscal sustainability, which is the primary objective of fiscal policy.

Government of Slovenia insists on pursuing a structural balance of the general government. For the achievement of the objective in the medium term, the government plans to implement a mix of measures for promotion of investment, increase of competitiveness, structural reforms and fiscal responsibility. In line with the adopted the Law on the fiscal rule the public finance deficit will be gradually reduced. In line with the fiscal strategy, Slovenia will also pursue a gradual reduction of government debt, which will be possible in the medium term with the use of incomes from privatization, improvement of the credit rating of the Republic of Slovenia and effective debt management.