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Economists warn against state spending

Eight renowned Slovak economists have signed a petition calling on the Dzurinda government not to increase state spending in the run-up to elections, expected to be scheduled for late September.

The economists singled out a proposed pension rise, an increase in family allowances, and payments for children whose fathers don’t pay child support.

“Any new government will have to deal with the existing situation. The worse it is, the more cruel the restrictions that will have to be adopted,” the petition said.

The government has been warned that its loose fiscal policy may lead to a deficit that is 5.5 per cent of GDP, rather than the target 3.5 per cent.

Compiled by Tom Nicholson from press reports.
The Slovak Spectator cannot vouch for the accuracy of the information presented in its Flash News postings.

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