This year’s deficit could be lower by PLN 20 bln – economists

According to the economists asked by the Polish Press Agency (PAP), this year’s budget deficit could be lower by PLN 20 billion that the PLN 59.3 billion figure assumed in the budget bill. At end-May, the deficit amounted to PLN 0.2 billion.

“From a long-term fiscal standpoint, this is a big amount, for example, almost entirely securing annual spending on the Family 500+ program. The risk of public debt growth is diminishing considerably, which is also very important for the long-term economy,” said ING Bank Śląski economist ING Jakub Rybacki.

“Judging by the estimates it would seem that the deficit at the end of the year could be even lower by PLN 30 billion, but this estimate may be too ambitious, assuming that the current pace of expenditure restraint will be maintained by the end of the year,” BZ WBK economist Piotr Bielski said, adding that “the fact that after five months we have a nearly balanced budget, is not due to increased revenue stream, but a large part of the expenditure that goes well below the schedule.”

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