Annual 2003 budget deficit, and revenues, lower than expected

This was due to the fact that state expenditures were cut by zł. 5 billion. However, according to economists, the situation of public finances deteriorated over the year. Budget revenues amounted to zł. 155.2 billion last year, which was almost zł. 3.5 billion less than envisage by the 2003 Budget Act. Deputy Finance Minister Hanna Wasilewska-Trenkner told the press conference that this was due to lower revenues. The state collected zł. 95.3 billion from indirect taxes, against zł. 96.9 billion anticipated, which was due to low inflation. Personal income tax revenues were down due to, "Lower growth of wages and employment. Revenues were also influenced by growing social insurance premiums," explained Wasilewska-Trenkner. Fortunately budget expenditures were zł. 189.2 billion, against projections of zł. 194.4 billion. "It was largely due to good management of the public debt. We managed to control our expenditures and use lower inflation to our advantage," said Finance Minister Andrzej Raczko. (Rzeczpospolita, p. B2) M.M.