Sejm to debate austerity budget today, with final vote possible this week

The Sejm may pass the government's 2002 austerity budget plan as soon as Friday, after the public finance committee finished its first review of the draft yesterday. The lower house is due to debate the committee's amendments to the budget bill today, possibly sending it back to the public finances panel with further changes. It is then expected to review the final changes at a late Friday session and possibly vote then. Ministers set the 2002 central government budget deficit at zl.40 billion, or 5.2% of gross domestic product (GDP), up from last year's zl.33 billion, 4.5% of GDP. The modest deficit increase is smaller than previously anticipated, following broad spending cutbacks and some tax increases to boost revenues. The 2002 budget draft envisages central government spending at zl.183.97 billion and revenues at zl.143.97 billion. "I do not expect changes in the revenues or spending levels larger than 1.5% after committee proposals are included," public finance committee head Mieczysalw Czerniawski said. (Reuters)