The European Commission is reportedly preparing to impose financial penalties on Slovakia for undermining democratic norms, following controversial actions by Slovak Prime Minister Robert Fico. According to sources cited by Bloomberg, the potential sanctions could result in the suspension of billions of euros in EU funds allocated to Bratislava.
The European Commission is focusing on Fico’s recent decision to abolish a specialised anti-corruption prosecutor’s office, which was responsible for overseeing high-profile corruption cases, including those linked to EU funds. The office’s dissolution has raised concerns in Brussels, as its establishment was a key condition for Slovakia receiving substantial EU financial support, particularly in its COVID-19 recovery grants.
Early Stages of the Process
The process of sanctioning Slovakia is still in its early stages and would require the approval of European Commission President Ursula von der Leyen. Sources close to the matter say the European Union could invoke its “conditionality mechanism,” a legal framework allowing the EU to withhold funds from member states when there is a risk that its financial contributions could be misused or when democratic principles are seen to be at risk.
Slovakia, a member of both the European Union and the eurozone, receives a significant proportion of its public investment from EU funds—around 80%. Any interruption in this funding could deal a severe blow to the country, which is already grappling with a significant budget deficit.
Funds at Risk
If sanctions proceed, Slovakia could lose access to a portion of the €12.8 billion in EU cohesion funds allocated to the country for the 2021-2027 budget cycle. This sum is critical for Slovakia’s development projects, and a suspension of funds could have far-reaching consequences for its economy.
Additionally, the European Commission is also reviewing whether Slovakia should return some or all of the €2.7 billion it received as part of the EU’s COVID-19 pandemic relief package. This grant was awarded on the condition that Slovakia would maintain the specialised prosecutor’s office. The office was integral in handling sensitive corruption cases, including those involving Fico’s political allies.
Fico’s Return to Power and Increasing Tensions
Since Fico returned to power in October 2023, tensions between Bratislava and Brussels have escalated. His government has moved swiftly to amend the criminal code and dismantle the special prosecutor’s office, decisions that have alarmed EU officials concerned with preserving the rule of law across the bloc.
Fico’s leadership has been a point of contention within the EU for some time. During his previous term in office, he was criticised for insufficient action against corruption. Upon his return, one of his first moves was to target the legal mechanisms that had been established to combat corruption, further straining relations with Brussels.
Political and Media Reforms
In addition to the changes to the legal system, Fico has also implemented reforms to Slovakia’s state media, placing public broadcasters under the control of the government. These actions followed a failed assassination attempt on Fico in May 2024, after which he accused the press and opposition parties of creating a hostile political environment that contributed to the attack.
These media reforms have been criticised as an attempt to silence government critics and further concentrate power within Fico’s administration, raising concerns about press freedom in Slovakia. These developments have only deepened Brussels’ concerns about the democratic trajectory of the country.
EU’s Mechanism of Conditionality
The EU’s conditionality mechanism has been used sparingly but is viewed as a vital tool for ensuring that member states adhere to the bloc’s core principles, including respect for the rule of law and democratic governance. Poland and Hungary have previously faced scrutiny under this mechanism, with the EU withholding funds due to perceived threats to judicial independence and democratic values in those countries.
For Slovakia, the loss of EU funding could exacerbate existing financial challenges. The country is already facing a growing budget deficit, and a reduction in EU support could lead to a significant shortfall in public investment.
Read also:
The Enigma of Juraj Chintula, Man Accused of Targeting Slovak Prime Minister Robert Fico
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