New finance minister promises austere budget to prevent financial crisis

New Finance Minister Halina Wasilewska-Trenkner said yesterday that she will prepare an austere budget for 2002 to prevent the ballooning budget from sparking a financial crisis. "The scale of the budget shortfall is enormous. To keep to our planned deficit level we have to revise, re-analyze and if possible save expenditures worth some zl.40 billion," said Wasilewska-Trenkner. "Other ministers support this plan, but the devil is always in the details. So we cannot say that the talks will be short or easy. But at least there is the political will," she went on. Asked what she would do if ruling party politicians pressure her not to make unpopular spending cuts ahead of the September 23 elections, Wasilewska-Trenkner said: "If cuts are not wanted in one place, they will have to be made in another." The new finance minister also said this year's troubled budget needed further spending cuts of some zl.5 billion. She went on to say that she would be pressed for time to finish next year's draft by its constitutional deadline at the end of September. Analysts say this means that the cabinet may not pass its budget draft to parliament until after the elections. (Reuters)