Spectator on facebook

Spectator on facebook

INESS: State costs the public around Sk125,000 annually

Operating the country costs the public Sk342 per day, which amounts to around Sk125,000 annually, according to the INESS Economic Institute.

Operating the country costs the public Sk342 per day, which amounts to around Sk125,000 annually, according to the INESS Economic Institute.

The institute concluded that public administration expenditures went up again by 11.8 percent this year, which is significantly more than the anticipated inflation for this year, the SITA newswire wrote.

The institute interprets this development as an expansion of the public sphere to the detriment of private entities. INESS assumes that high growth of revenues from tax and compulsory payments into insurance funds, which could reach 11.6 percent, creates room for cutting the share of the public finance deficit, even despite higher public expenditures.

INESS stresses that this growth will not last forever. Moreover, if economic growth weakens, too, there will be no funds for further increases in public expenditures, which is why the institute recommends that the government cut expenditures, taking into consideration growing deficits of the first state-run pension pillar, as well. The institute also evaluated the state budget for this year. INESS points to some disproportions, for example direct payments to farmers are higher support for people in material need.

Moreover, the state spends more money on rural development than on universities. The institute also elaborated a project entitled "The State's Wasting of Money," which points to ineffective use of public funds. INESS pointed out that over the last six months, the state used around Sk9.6 billion ineffectively, according to information published in media. SITA

The processing of personal data is subject to our Privacy Policy and the Cookie Policy. Before submitting your e-mail address, please make sure to acquaint yourself with these documents.

Top stories

Youngest Slovak village is a "communist dream come true” Photo

Dedina Mládeže (The Youth Village) was a mere experiment during the communist era. Now, the still inhabited village has morphed into an open-air museum.

Dedina Mládeže

Revitalised industrial building offers work, entertainment and housing

Mlynica is an excellent example of successful conversion of unused industrial building.


What are the reasons behind low wages in Slovakia?

The average wage costs per Slovak employee accounts for only 44 percent of the EU average.

How to keep politics and sports separate

FIFA, may not be a government, but they and the events they put on are undeniably political and embody all the worst things about globalisation.

Saudi Arabia Crown Prince Mohammed bin Salman, FIFA President Gianni Infantino and Russian President Vladimir Putin (left to right) stand for the anthem prior to the match between Russia and Saudi Arabia which opened the 2018 soccer World Cup in Russia.