Commission Report 2002 (Slovakia)

2.1. Introduction

In its 1997 Opinion on Slovakia's application for EU membership, the Commission concluded:

``Slovakia has introduced most of the reforms necessary to establish a market economy''; it ``should be able to cope with competitive pressure and market forces within the Union in the medium term, but this would require more transparent and market-based policies''.

In its 2001 Regular Report, the Commission found that:

``Slovakia is a functioning market economy. Provided that it makes further substantial efforts in medium-term fiscal consolidation and in developing and fully implementing the announced structural reform programme, it should be able to cope with the competitive pressure and market forces within the Union in the near term''.

In examining economic developments in Slovakia since the Opinion, the Commission's approach was guided by the June 1993 conclusions of the Copenhagen European Council, which stated that membership of the Union requires:

• the existence of a functioning market economy;
• the capacity to cope with competitive pressure and market forces within the Union.