IMF approves budget austerity measures

The International Monetary Fund (IMF) has given its approval for Economy Minister, Jerzy Hausner's program of budget cuts focused on social and administrative spending. "It is a decisive step," said an IMF representative, Susan Schandler, who added that the Fund hopes the program will win the support of the government as well. "When you consider the state of the public finances, Poland has no way out and must implement these reforms. It is also the best moment considering the economic revival," she said. Finance Minister, Andrzej Raczko said at a press conference yesterday that he is against the plan to curb the budget deficit by using the NBP's revaluation reserves. "We need to think about a long- term solution and not rely on miracles," Raczko said. (Rzeczpospolita, p. B2)