Skvernel sees threats of a bigger budget deficit: will have to devise tax increases or new



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“We have something essential: 7 percent. GDP deficit. This means a rather difficult situation in 2022. Already 5 percent. The deficit was on the brink and the European Commission had to sufficiently demonstrate the draft budget that we maintained those conditions. , that we were financially sustainable and that we had a “blessing.” 7 percent. presupposes runaway debt growth and major problems in the 2022 budget, “S. Skvernelis told reporters.

According to him, this may require a tax increase.

“It will be necessary to raise taxes or create new ones and reduce public sector financing if the soaring debt growth does not want to turn us into a rather dangerous whirlwind,” said the former prime minister.

“But apparently the government has no other option, its responsibility, its will,” he added, saying that he would not vote for the budget project, which exceeds 7%. deficit ».

Mr. Skvernel also had a negative opinion on the removal of the DNA plan from the budget for the review.

“It makes me ill to say that there is no DNA plan left, because in any case, the Resuscitation Fund has not disappeared, to doubt that this is the case is a complete misunderstanding. In any case, there will be no other option but to go back to the budget law throughout the year. (…) When the plan is withdrawn, it is practically impossible to prepare projects, announce bids and carry out all public procurement procedures within 4-5 months of approval in March-June, so that money simply does not it can be used, ”he said.

The improved project, which was approved by the government on Wednesday, has a cost of 15.825 million euros, including financial support from the EU and other international support. 11,252 million euros of income. euros.

Expenses exceed revenues of $ 4.573 billion. euros. Total revenue from the state budget, compared to the previous version of the state budget project, decreased by 132.8 million. euros.

Most of the additional funds: 933.5 million. It is planned to manage the consequences of the COVID-19 pandemic.

The general government deficit is expected to reach 7% in 2021. GDP and will be 2.1 percent. P. GDP is higher than in the original version. According to the Ministry of Finance, the structural deficit of the general government in 2021 will amount to 6.4 percent. GDP.

General government debt in 2021 will amount to 51.9 percent. GDP and will be 1.7 percent. P. GDP is higher than the general government debt formed in the preliminary draft budget.

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