Budget cuts rumored under way after minister admits savings unavoidable

The finance ministry already has a plan for cutting expenditure under this year's budget, the Rzeczpospolita daily has learned. Under the proposal, which was to be discussed at yesterday's cabinet meeting, spending would be reduced by almost zl.7 billion. The details of the plan are not known, but it is said that it is already being implemented. Economy minister Janusz Steinhoff yesterday admitted to the Polish Press Agency (PAP) that looking for savings was unavoidable, due to the low inflation rate, high interest rates and strong zloty. He added that the cuts would not affect the so-called fixed expenditure, as such a move would be impossible without passing an amendment to the budget bill. (Rzeczpospolita, p. A1) M.K.