PREVIEW-Slovak GDP growth seen slowing to 6.6 pct in Q3

    WHAT: Third quarter GDP forecast +6.6 percent, versus +6.7 
percent in second quarter 
    WHEN: Release date: Nov 15, 0800 GMT 
    * Interest rates seen rising 
     
     By Martin Santa 
     BRATISLAVA, Nov 13 (Reuters) - Slovak economic growth 
probably eased a touch in the third quarter of this year, a 
Reuters poll showed on Monday, but is expected to remain robust 
enough to sustain expectations of further interest rate rises. 
    The median forecast in the poll of 10 analysts showed real 
annual gross domestic product (GDP) growth of 6.6 percent, 
compared with 6.7 percent in the second quarter of 2006. 
    The Slovak Statistics Office will publish its flash estimate 
of third quarter GDP data on Wednesday. 
    The Slovak economy has had one of the fastest growth rates 
in the European Union in the past four years, fuelled by 
household consumption and rising investments, mainly into the 
automotive sector. 
    "Household consumption should have remained strong. Despite 
this, we expect a slight deceleration, as well as in government 
consumption and investment activity," Komercni Banka analyst 
Anne-Francoise Bluher said, adding the data should show a 
positive contribution from net exports. 
    Household consumption in Slovakia rose by 5.9 percent on the 
year in the second quarter, a slowdown from the 6.6 percent 
reported in the first three months of 2006. 
    The central bank (NBS) has raised the key two-week repo rate 
by 175 basis points in four steps so far this year, saying 
strong domestic demand poses inflation risks. Inflation is the 
main threat to Slovakia's plan to adopt the euro in 2009. 
    The statistics office will not release details of the 
third-quarter GDP data until Dec. 7, but analysts said high 
headline growth figures would add to expectations that the 
central bank would raise interest rates again. 
    "There is some risk, based on the latest retail sales and 
foreign trade data, that consumption could be above forecasts," 
said Lucia Steklacova, a senior analyst at ING Bank in 
Bratislava, adding that growth in employment and wages also 
posed risks to inflation. 
    "That is why we still see a risk of an interest rate hike." 
    Analysts and the central bank expect Slovak economic growth 
to accelerate to over 7 percent next year thanks to rising 
exports from new car factories set up by French PSA Peugeot 
Citroen <PEUP.PA> and South Korean Kia Motors <000270.KS>. 
  ((For table with results of the Reuters poll, please double 
click on [ID:nL13678137])) 
   ((Writing by Peter Laca, editing by Ruth Pitchford; tel. +421 
2 5341 8402, email: martin.santa@reuters.com; RM 
martin.santa.reuters.com@reuters.net;)) 
 ($1=28.10 Slovak Crown) 
  Keywords: ECONOMY SLOVAKIA GDP