Recovery and resilience Plan of the Republic of Slovenia.

The Recovery and Resilience Plan represents one of the foundations for the successful recovery and long-term development of the country after the standstill caused by the covid-19 pandemic.The recovery and resilience plan includes the following sets of reform and investment measures: green passage, digital transformation, smart-sustainable and inclusive growth, healthcare and social security, which respond to the six sets of challenges identified by the EU in the context of the Recovery and Resilience Mechanism. Slovenia was already faced with certain development risks, as in some areas of development they deviated from the directions of the Development Strategy of Slovenia 2030, which is the country's overall development plan. Among these, the slow response to technological, demographic and climate changes stands out in particular. The growth of investments and especially productivity, which is a key long-term factor of economic development and the well-being of the population, remained modest after the financial and economic crisis in Slovenia. In the past period, productivity growth was mainly based on an increase in employment. The possibility of such economic progress will be limited in the medium term, mainly due to demographic changes, so Slovenia will focus on investing in reforms and investments that will contribute to raising productivity, as this is the only way to achieve the development of the EU-27. Innovations are the most important productivity factor in the long term, but investments in this field in our country have decreased, and the introduction of the most demanding technological solutions for digital transformation has also been too slow. For the time being, Slovenia still retains relative comparative advantages in the area of knowledge and intangible capital, but it is gradually losing them compared to competing countries and regions. From the point of view of mitigating climate change, the biggest challenge is the further increase of greenhouse gas emissions from transport, the multi-year stagnation of the use of renewable energy sources, the insufficient introduction of changes in the direction of a circular economy and the insufficiently sustainable use of space.
Currently, according to the aging indicators, Slovenia does not deviate significantly from the EU average, but despite this, a higher increase in expenditures related to the aging of the population is expected in the absence of adapted social protection systems. Due to demographic changes, the problem of a lack of adequate labor force became more acute during the boom period, which in the medium term, even in the light of rapid technological changes, is becoming an increasingly important limiting factor for further development. In the country, we are faced with the problem of a lack of appropriate knowledge and skills and the segmentation of the labor market for young people. This requires an appropriate response, especially in the adaptation of educational programs to the needs of society and the economy and in the creation of a stimulating environment for attracting and retaining a workforce with appropriate knowledge and skills. In the light of demographic trends and technological development, it is also essential to strengthen lifelong learning. The covid-19 pandemic has further exposed the weaknesses and vulnerabilities of the healthcare system. This is additionally burdened by the aging of the population. The system is also facing a shortage of medical personnel, and we have not yet managed to fully utilize the potential that digitization brings in this area as well. Projections show that by 2050, Slovenia will be among the demographically oldest countries. In addition to measures in the field of healthcare, a key challenge for maintaining a quality life in old age is also the establishment of a unified system of long-term care.