BUSINESS IN SHORT

Budget deficit exceeds €2 billion

SLOVAKIA’S budget deficit increased to €2.078 billion at the end of May after standing at €1.480 billion at the end of April, the Finance Ministry reported on May 31. At the same point last year, the deficit had reached €832 million. The deficit for entire year of 2010 is now projected to reach €3.746 billion, the TASR newswire wrote.

SLOVAKIA’S budget deficit increased to €2.078 billion at the end of May after standing at €1.480 billion at the end of April, the Finance Ministry reported on May 31. At the same point last year, the deficit had reached €832 million. The deficit for entire year of 2010 is now projected to reach €3.746 billion, the TASR newswire wrote.

According to the ministry, budget revenues to May reached €3.958 billion or 31.6 percent of the projected €12.531 billion for 2010 as a whole. State expenditures were €6.036 billion, or 37.1 percent of the projected amount for the whole year, €16.277 billion. The global crisis had a significant impact on the Slovak economy last year, which shrank by 4.7 percent, causing the public-finance deficit to rise from the projected 2.1 percent to 6.8 percent of GDP.

The government has pledged to introduce a substantial consolidation of public finances for this year and beyond. According to the public administration budget for 2010-2012 passed by parliament in November 2009, the deficit should be reduced to 5.5 percent of GDP this year, to 4.2 percent in 2011, and below the 3-percent threshold set by the European Union in 2012.

Get daily Slovak news directly to your inbox

Top stories

How many people were infected in Volkswagen or U.S. Steel? Top companies mostly remain silent

Biggest employers have introduced measures, they do not want to talk about possible layoffs.

The Bratislava plant of Volkswagen maintained strict measures also in the summer.

News digest: Lockdown not out of the question, PM Matovič says

The overview of news from Wednesday, October 21, 2020.

PM Igor Matovič says lockdown is still in play.

A curfew for those who refuse testing? Lawyers and president have doubts

The government risks the Constitutional Court canceling the nationwide testing.

Illustrative stock photo

The cabinet approves plan for permanent kurzarbeit

The new fund is expected to be introduced from 2022.

Labour Minister Milan Krajniak