Mikloš recommends budget restrictions

THE COUNCIL of Economic Ministers, headed by Deputy PM Ivan Mikloš, on April 15 recommended that cabinet approve spending cuts and income-side measures to prevent the state budget from missing its deficit target by an feared Sk26 billion. However, cabinet ministers have largely resisted the suggestions. The cabinet is to discuss the proposal at its session on April 24.

The Finance Ministry earlier said that inflated income expectations in the 2002 state budget plan, and unforeseen expenditures such as a pension rise, could increase the planned year-end deficit from 3.5 per cent of GDP to 5.5 per cent.

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