ABSTRACT
In 2009 Slovakia was the second newest member state from the Central and Eastern European region to join the Eurozone and still remains the only country from the Visegard Group to have adopted the single currency. This chapter will show the specific circumstances that contributed to the favourable environment – we call it economic and political opportunity windows – which made accession to the euro smooth with low economic risks and political costs. Notably the in-depth structural reforms prior to accession, the large economic openness of Slovakia and the absence of relevant opposition from political parties or economic interest groups. Since the introduction of the euro and the country’s economic and political development up to 2020 are closely connected to the Smer-Sociálna Demokracia (Smer-SD) (Direction-Social Democracy) party and its leader Robert Fico, the longest serving Slovak prime minister, we also try to emphasize their politics, in particular the remarkable balancing act between often contradictory goals when trying to satisfy the interests of entirely different groups. Balancing between the Western partners and domestic electorate, between fiscal consolidation and fiscal populism and between large multinationals and domestic oligarchs Smer-SD and Fico marked the post-euro accession era by staying in power through three electoral terms.
