(Adds Slovak finmin, cbank board member, updates crown)
BRATISLAVA, April 28 (Reuters) - The European Commission
forecast on Monday that Slovakia's annual inflation rate would
peak in the third quarter of 2008 and ease next year, boding
well for the country's 2009 euro zone entry bid.
The Slovak crown hit an all-time high of 32.200 to the euro
<EURSKK=>, firmed 0.6 percent to the euro before easing to
32.225 at 1038 GMT, above the previous all-time high of 32.250
seen in March.
Following are reactions from analysts and policymakers to
the forecasts.
PETER SEVCOVIC, BOARD MEMBER, SLOVAK CENTRAL BANK
"The European Commission forecasts are more-or-less in line
with our prognosis," Sevcovic, who also heads the NBS's monetary
policy department, told Reuters.
"This confirms the view of the National Bank of Slovakia
that Slovakia is able to meet the inflation (condition) in a
sustainable way."
JAN POCIATEK, SLOVAK FINANCE MINISTER
"The European Commission forecasts confirm we are able to
meet the inflation criterion in a sustainable way in the
future," Finance Minister Jan Pociatek told reporters.
RAFFAELLA TENCONI, EMEA ANALYSIS, DRESDNER KLEINWORT
"It's broadly positive, although the forecasts don't
completely rule out a suprise decision in my view."
"It's not such a clear cut case. (The Commission) still
projected above three percent (inflation)... The inflation and
the real unit labour cost forecasts were increased, so that
signals there is a gradual increase in demand led pressures."
"The forecasts don't definitely guarantee a 100 percent
chance that Slovakia will get in. I'll stick with my view 70
percent chance Slovakia is in, and 30 percent that they aren't."
MIROSLAV PLOJHAR, EMEA ECONOMIST, JP MORGAN
"The forecast is set in a way that the report coming next
week should say Slovakia is meeting all the criteria (for euro
zone entry) and in a sustainable way."
"These forecasts are positive news for Slovakia. The other
report from the ECB will not be as positive, but this one from
the Commission is more important and will probably outweigh it."
MARIA VALACHYOVA, SENIOR ANALYST, SLOVENSKA SPORITELNA
"The inflation forecasts show that Slovak inflation should
stay under the Maastricht limit both in 2008 and 2009."
"The forecasts are a signal that inflation should be
sustainable, and it is a positive sign before the assessment."
MAREK GABRIS, ANALYST, CSOB BANK, BRATISLAVA
"The forecasts, especially for 2009 -- that seems to be the
important one -- are not that bad. They rather make me an
optimist regarding the euro zone entry."
(Reporting by Peter Laca, compiled by Michael Winfrey)
