The public finance deficit for last year is significantly lower than expected. According to the Statistical Office it is 4.9 percent of GDP compared to 6.4 percent. According to experts, this was influenced by two factors - reimbursement of energy aid and a significant increase in social spending. However, next year, despite the consolidation announced by the government, our public debt will be higher again - an estimated 6 percent of GDP.
The chairman of the Council for Budgetary Responsibility, Ján Tóth, notes that the deficit figures have resolved a methodological dispute that existed between the Budgetary Council, together with the European Commission and the Ministry of Finance, in connection with the recording of refunds of energy aid.
"It turns out that if the methodology is used correctly, the deficit for last year is much lower than the calculated deficit this year. Lower expenditures in the state budget, as well as better management of entities in public administration, were also positive," thinks Tóth.
According to economist Matej Horňák, the lower deficit for 2023 was also due to a significant increase in spending in the social sector. However, helping people is the priority for the Social Democrats, as Finance Minister Ladislav Kamenický has said many times in the past.
"Slovakia is one of the few countries that still helps households with energy today, and we stand behind it. We are criticised for it, but I will put up with it because I think we have to help people.
In order to get money from the European Union - now especially 6 billion from the Recovery Plan - we have to fulfil several rules, but also consolidate public money. The Budgetary Council chair Jan Toth again," said Kamenický.
"It is important for us that the government applies national spending limits, which could guarantee that public finances will be permanently restored," concludes Tóth.
RTVS, Štefánia Kačalková
