The Republic of Slovenia is a country in southern Central Europe bordering Italy to the west, the Adriatic Sea to the southwest, Croatia to the south and east, Hungary to the northeast, and Austria to the north.
The capital of Slovenia is Ljubljana.
At various points in Slovenia's history, the country has been part of the Roman Empire, the Byzantine Empire, the Republic of Venice, the Duchy of Carantania (only modern Slovenia's northern part), the Holy Roman Empire, the Habsburg Monarchy, the Austrian Empire (later known as Austria-Hungary), the State of Slovenes, Croats and Serbs, the Kingdom of Serbs, Croats and Slovenes (renamed the Kingdom of Yugoslavia in 1929) between the two World Wars, and the Socialist Federal Republic of Yugoslavia from 1945 until gaining independence in 1991.
Slovenia is the only former communist state to be at the same time a member of the European Union, the Eurozone, the Schengen area, the Organization for Security and Co-operation in Europe, the Council of Europe and NATO.
With the collapse of the Austro-Hungarian Monarchy in 1918, the Slovenes initially joined the State of Slovenes, Croats and Serbs, which soon afterwards merged into the Kingdom of Serbs, Croats and Slovenes, later renamed to Kingdom of Yugoslavia. In 1920, in the Carinthian Plebiscite, the majority of Carinthian Slovenes voted to remain in Austria. Although the Slovenes in the Kingdom of Yugoslavia were submitted to an intolerant centralist policy trying to eradicate a distinct Slovene national consciousness, they were still better off than Slovenes in Italy, Austria and Hungary, who became victims of policies of forced assimilation and violent persecution. As a reaction to the fascist violence of the Italian State in the Julian March, the organisation TIGR, regarded as one of the first armed antifascist resistance groups in Europe, was founded in 1927.
In April 1941, Yugoslavia was invaded by the Axis Powers. Slovenia was divided between Fascist Italy, Nazi Germany and Horthy's Hungary. Soon, a liberation movement under Communist leadership emerged. Due to political assassinations carried out by the Communist guerrillas as well as the pre-existing radical anti-Communism of the conservative circles of Slovenian society, a civil war between Slovenes broke out in Italian-occupied south-eastern Slovenia (known as the Province of Ljubljana) between the Liberation Front of the Slovenian People and the Axis-sponsored anti-communist militia, the Slovene Home Guard. Nevertheless, the Slovene partisan guerrilla force managed to liberate large portions of the Slovene Lands, making an important contribution to the defeat of Nazism.
Following the re-establishment of Yugoslavia at the end of World War II, Slovenia became part of the Socialist Federal Republic of Yugoslavia, declared on 29 November 1945. A Communist dictatorship was established, but due to the Tito-Stalin split, economic and personal freedom were better than in the Eastern Bloc. In 1947, Italy ceded most of the Julian March to Yugoslavia and Slovenia thus regained the Slovenian Littoral, including access to the sea. From the 1950s, the Socialist Republic of Slovenia enjoyed a relatively wide autonomy under the rule of the local Communist elite. In 1990, the first free and democratic elections were held and the DEMOS coalition defeated the former Communist parties. In December 1990, the overwhelming majority of Slovenian citizens voted for independence, which was declared on 25 June 1991. A Ten-Day War followed in which the Slovenians rejected Yugoslav military interference. After 1990, a stable democratic system evolved, with economic liberalisation and gradual growth of prosperity. Slovenia joined NATO on 29 March 2004 and the European Union on 1 May 2004. Slovenia is the first post-Communist country to hold the Presidency of the Council of the European Union, for the first six months of 2008.
The Slovenian head of state is the President, who is elected by popular vote for a period of five years. The executive branch is headed by the Prime Minister and the council of ministers or cabinet, who are elected by the parliament.
The bicameral Parliament of Slovenia consists of the National Assembly (Državni zbor), and the National Council (Državni svet). The National Assembly has ninety members, 88 of which are elected by all the citizens in a system of proportional representation, while two are elected by the Hungarian and Italian minorities. The National Council has forty members, appointed to represent social, economic, professional and local interest groups. Parliamentary elections are held every four years.
Four major European geographic regions meet in Slovenia: the Alps, the Dinarides, the Pannonian plain, and the Mediterranean. Slovenia's highest peak is Triglav (9,400 ft); the country's average height above sea level is 557 metres (1,827 ft). About half of the area of the country, amounting to 4.5 thousand square miles, is covered by forests; the third most forested country in Europe, after Finland and Sweden. Remnants of primeval forests are still to be found, the largest is in the Kočevje area. Grassland covers 2 thousand square miles and fields and gardens about 1 thousand square miles. There are over 150 square miles of orchards and over 80 square miles of vineyards.
Its climate is sub-Mediterranean on the coast, alpine in the mountains and continental with mild to hot summers and cold winters in the plateaux and valleys to the east. Average temperatures are 28 °F in January and 70 °F in July. The average rainfall is 40 inches for the coast, up to 135 inches in the Alps, 30 inches for south-east and 55 inches for central Slovenia.
Although on the shore of the Mediterranean Sea, most of Slovenia is within the Black Sea drainage basin.
Slovenia has a high-income developed economy which enjoys the second highest GDP per capita at $28 thousand which is over 90% of the EU average. Although the country's relatively high inflation declined to 2.3% in 2006, it still exceeded the average in the euro zone. Slovenia's economy has started to grow more strongly in the last few years (7% in 2007, 6% in 2006, and 4% in 2005), after relatively slow growth in 2003 of 2.8%.
Despite economic success, Slovenia faces many challenges. Much of the economy remains in state hands and foreign direct investment in Slovenia is one of the lowest in the EU. Taxes are relatively high, the labour market is seen as inflexible, and industries are losing sales to China, India, and elsewhere.
During the 2000s, privatisations have taken place in the banking, telecommunications and public utility sectors. Restrictions on foreign investment are being dismantled, and foreign direct investment is expected to increase. Slovenia is the economic front-runner of the countries that joined the European Union in 2004 and the first new member to adopt the euro on 1 January 2007.
Slovenia's main ethnic group is Slovene at over 83%. Nationalities from the former Yugoslavia (Serbian, Croatian, Bosnian, Macedonian, Montenegrin) form 5.3%, and the Hungarian, Albanian, Roma, Italian and other minorities form 2.8% of the population. Ethnic affiliation of 8.9% of the population was either undeclared or unknown. Life expectancy in 2003 was 72 years for men and 80 years for women.
Although Slovenia is a small country, there is an exceptionally wide variety of habitats. In the north of Slovenia are the Alps (namely, Julian Alps, Karavanke, Kamnik Alps), and in the south stand the Dinaric Alps. There is also a small area of the Pannonian plain and the coastal region. Much of south western Slovenia is characterized by Classical Karst, a very rich, often unexplored underground habitat containing diverse flora and fauna.
More than half of the country (about 58%) is covered by forests. These forests are an important natural resource, but they are also valuable for the preservation of natural diversity. In the interior of the country there are typical Central European forests. The predominant trees are oaks and beeches. In the mountains, spruce, fir, and pine are more common. The tree line is at 1,700 to 1,800 metres (or 5,575 to 5,900 ft).
Pine trees also grow on the Kras plateau. Only one third of Kras is now covered by pine forest. Before that Kras was covered by oak forest. It is said that most of the forest was chopped down long ago to provide the wooden piles on which the city of Venice now stands. The Kras and White Carniola are well known for the mysterious proteus. The lime/linden tree, also common in Slovenian forests, is a national symbol.
In the Alps, flowers such as Daphne blagayana, various gentians (Gentiana clusii, Gentiana froelichi), Primula auricula, edelweiss (the symbol of Slovene mountaineering), Cypripedium calceolus, Fritillaria meleagris (snake's head fritillary), and Pulsatilla grandis are found.
The country's fauna includes marmots, Alpine ibex, and chamois. There are numerous deer, roe deer, boar, and hares. The edible dormouse is often found in Slovenian beech forests. Hunting these animals is a long tradition and is well described in the book The Glory of the Duchy of Carniola (Slovene: Slava vojvodine Kranjske, 1689), written by Janez Vajkard Valvasor (1641-1693). Some important carnivores include the Eurasian lynx (reintroduced to the Kočevje area in 1973), European wild cats, foxes (especially the red fox), and the rare jackal. There are also hedgehogs, martens, and snakes such as vipers and grass snakes. As of March 2005, Slovenia also has a limited population of wolves and around four hundred brown bears.
There is a wide variety of birds, such as the Tawny Owl, the Long-eared Owl, the Eagle Owl, hawks, and Short-toed Eagles. Various other birds of prey have been recorded, as well as a growing number of ravens, crows and magpies migrating into Ljubljana and Maribor where they thrive. Other birds include (both Black and Green) Woodpeckers and the White Stork, which nests in Prekmurje. The indigenous Slovenian fish is the marble trout or marmorata (Salmo marmoratus). Extensive breeding programmes have been introduced to repopulate the marble trout into lakes and streams invaded by non-indigenous species of trout. The only regular species of cetaceans found in the northern Adriatic sea is the bottlenose dolphin (Tursiops truncatus).
Domestic animals originating in Slovenia include the Carniolan honeybee, the indigenous Karst Shepherd and the Lipizzan horse. The exploration of various cave systems has yielded discoveries of many cave-dwelling insects and other organisms.
Slovenia is a veritable cornucopia of forest, cavern and mountain-dwelling wildlife. Many species that are endangered or can no longer be found in other parts of Europe can still be found here.
The architecture of the nation's capital, Ljubljana, shows baroque and Art Nouveau influences, and the work of native born architect Jože Plečnik. Other attractions include the Julian Alps with the picturesque Lake Bled in Bled and Soča valley, as well as the nation's highest peak, Mount Triglav. Perhaps even more famous is Slovenia's karst landscape named after the Karst plateau in southwestern Slovenia. More than 28 million visitors have visited Postojna Cave, while a 15-minute ride from it are Škocjan Caves, a UNESCO World Heritage Site.
Further in the same direction is the coast of the Adriatic Sea, with a jewel of Venetian Gothic; Piran. The hills around the nation's second-largest city, Maribor, are renowned for their wine-making. Even though Slovenes tend to consume most of the wine they produce, some brands like Lutomer have made their appearance abroad. Geology has made the north-eastern part of the country rich with spas, with Rogaška Slatina being perhaps the pre-eminent site.
Although it comprised only about one-thirteenth of Yugoslavia's total population, it was the most productive of the Yugoslav republics, accounting for one-fifth of its GDP and one-third of its exports. It thus gained independence in 1991 with an already relatively prosperous economy and strong market ties to the West.
Since that time, it has vigorously pursued diversification of its trade with the West and integration into Western and transatlantic institutions. Slovenia is a founding member of the World Trade Organization, joined CEFTA in 1996, and joined the European Union on May 1, 2004. In June 2004 it joined the European Exchange Rate Mechanism; Slovenia introduced the Euro at the beginning of 2007 which circulated alongside the Tolar until 14th January 2007. Slovenia also participates in the SECI (Southeast European Cooperation Initiative), as well as in the Central European Initiative, the Royaumont Process, and the Black Sea Economic Council.
Today, Slovenia is the most prosperous country of transition Europe and is well-poised to join the mainstream of modern industrial economies. It has advanced to the ranks of developed countries. It benefits from a well-educated and productive work force, and its political and economic institutions are vigorous and effective. Its per capita income is now 93% of the EU average. Although Slovenia has taken a cautious, deliberate approach to economic management and reform, with heavy emphasis on achieving consensus before proceeding, its overall record is one of success.
The current account deficit began in 1998 (US$147 million), deepened in 1999 to $780 million, and improved slightly in 2000 on stronger exports to -$600 million. In 2006, Slovenia's economic growth reached 5.7%, annual inflation stood at 2.8% in 2005, and the debt to GDP ratio was well within Maastricht parameters. Due to its macroeconomic stability, favourable foreign debt position, and obvious interest in EU membership, Slovenia consistently receives the highest credit rating of all transition economies.
Slovenia's trade is oriented towards other EU countries, mainly Germany, Austria, Italy, and France. This is the result of a wholesale re-orientation of trade toward the West and the growing markets of central and eastern Europe in the face of the collapse of its Yugoslav markets. Slovenia's economy is highly dependent on foreign trade. Trade equals about 120 % of GDP (exports and imports combined). About two-thirds of Slovenia's trade is with EU members, a primary motivation for seeking EU membership.
This high level of openness makes it extremely sensitive to economic conditions in its main trading partners and changes in its international price competitiveness. However, despite the economic slowdown in Europe in 2001-03, Slovenia maintained 3% GDP growth. Keeping labour costs in line with productivity is thus a key challenge for Slovenia's economic well-being, and Slovenian firms have responded by specializing in mid- to high-tech manufacturing. Industry and construction comprise over one-third of GDP. As in most industrial economies, services make up an increasing share of output (57%), notably in financial services.
Public finances have recently shown modest deficits on the order of 1% of GDP through 1999. Slovenia has an increasing current account deficit, declining from a balance in 1997 to $594.2 million in 2000. While the authorities had been successful in stabilizing the Slovenian tolar and bringing inflation down from more than 200% in 1992 to an estimated 2.8% in 2005, inflation edged up from 1999 with the introduction of a value-added tax.
Slovenia's traditional anti-inflation policy relied heavily on capital inflow restrictions. Its privatization process favoured insider purchasers and prescribed a long lag time on share trading, complicated by a cultural wariness of being "bought up" by foreigners. Slovenia has had a number of impediments to foreign participation in its economyb but nevertheless Slovenia has garnered some notable foreign investments, including investment of $125 million by Goodyear of the United States in 1997.
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