Crossword-Solution: SLOVAKIA 8 letters, 26 clues 🏆 scrabble score: 15

BASORA embassy: Trziste 15, 125 48, Prague 1 mailing address: Unit 25402; APO AE 09213-5630 telephone: [42] (2) 536-641/6 FAX: [42] (2) 532-457 Flag: two equal horizontal bands of white (top) and red with a blue isosceles triangle based on the hoist side *Czech Republic, Economy Overview: The dissolution of Czechoslovakia into two independent nation states - the Czech Republic and Slovakia - on 1 January 1993 has complicated the task of moving toward a more open and decentralized economy.

For 1993 the government of the Czech Republic anticipates inflation of 15-20% and a rise in unemployment to perhaps 12% as some large-scale enterprises go into bankruptcy; GDP may drop as much as 3%, mainly because of the disruption of trade links with Slovakia.

Slovakia continued to have difficulty attracting foreign investment, however, because of perceived political instability and halting progress in privatization.

The interim government prepared property worth nearly $2 billion for the second wave of coupon privatization and sold participation in the program to over 80% of Slovakia's eligible citizens.

Continuing economic recovery in western Europe should boost Slovak exports and production, but Slovakia's image with foreign creditors and investors could suffer setbacks in 1995 if progress on privatization stalls or budget deficits mount beyond IMF-recommended levels.