European Recovery and Resilience Funds – Together towards the goal: a business-friendly environment for investors

SLOVENIA, June 15 - In 2025, the productivity of the Slovenian economy reached 86 per cent of the EU average (in purchasing power standards). Despite the challenges of the business environment and relatively underdeveloped capital markets, the gap with the EU is gradually narrowing – by one percentage point compared to the previous year and by two percentage points compared to 2022.

Companies’ limited access to diversified sources of funding is hindering the growth of investment in higher-value-added activities. Business investment, which in recent years has ranged between 11 and 12 per cent of GDP, still largely relies primarily on internal and bank sources of funding.

Slovenia is also addressing productivity and creating a more investment-friendly business environment through measures under the Recovery and Resilience Plan (RRP), which is being implemented with the support of the European Recovery and Resilience Facility (the Facility).

The ministries responsible for finance, the economy and regional development are collaborating on the implementation of these measures.

Strengthening the capital markets – reform

With the aim of strengthening the capital markets, Slovenia adopted the Act on Forms of Alternative Investment Funds, which defines three forms and two types of funds. The Act specifies in detail the characteristics and conditions for the establishment and operation of these forms and types of funds.

A strategy for the development of the capital market in Slovenia until 2030 was also adopted, on the basis of which numerous measures have already been implemented to strengthen the investment culture and increase investor interest.

In 2025, the Ministry of Finance noted significant progress in the development of the Slovenian capital market. This progress was also reflected in the market’s advancement to the category of advanced frontier markets. The SBITOP index rose by 50.3 per cent in 2025, while trading volume on the stock exchange increased by 65.1 per cent. The Slovenian capital market continues to show strong growth and attract interest from small investors in 2026 as well.

The milestone related to the entry into force of the Act was included by Slovenia in the first request for payment of European funds from the Facility, which the EC paid in full in April 2023. The milestone related to the adoption of the Strategy was included by Slovenia in the framework of the second request, which was fully paid in December 2023.

A more productive economy for the digital and green transition – reform

With the aim of increasing the productivity of the Slovenian economy, an amendment to the Investment Promotion Act was also adopted, and changes to the implementing regulation were enacted. The amended legislation revised the criteria on public investment support for enterprises. Since the legislative changes, the criteria have been focused on highly productive, sustainable and digitally oriented business models.  The criteria stipulate that supported investments must include conditions to promote the green transition, including energy efficiency requirements, environmentally responsible management and material production efficiency. 

The milestone related to the entry into force of the Act was included by Slovenia in the first request for payment of European funds from the Facility. The milestone related to the implementing regulation was included in the second request.

Support for decarbonisation, productivity and competitiveness of companies – investment

The goal of the investment is to support companies in increasing their productivity. A total of EUR 121 million from the Facility has been earmarked for the implementation of the investment. The state has so far disbursed EUR 103 million to project implementers for completed project activities. 

Of the 280 projects planned for funding, 244 have been fully completed, while the majority of the remaining projects are due to be finalised by the end of June 2026.

Slovenia included the milestones related to the issue of decisions on co-financing companies in the second andthird disbursed payment requests. The goals of the investment will be included in the final payment request.

Providing innovative ecosystems of economic and business infrastructure – investment

The goal of the investment is to strengthen the competitiveness of value chains across different economic sectors by supporting innovative ecosystems.

Under the investment, municipalities implemented 14 projects to develop or upgrade economic and business zones. A total of EUR 14.4 million from the Facility has been earmarked for the implementation of the investment. The state has so far disbursed EUR 13.9 million to project implementers for completed project activities. 

Slovenia included the milestone related to the issue of decisions on co-financing municipal projects in the second payment request, while the investment goal will be included in the final payment request.