Public finances will be a challenge for the new government that is to emerge from Saturday's general election, said Ivan Šramko - chairman of the Budgetary Responsibility Council (RRZ), an independent fiscal watchdog - on Monday, as he issued a warning about the growth in the public finance deficit. "In line with the approved budget, the deficit should reach 0.49 percent of GDP this year. However, based on preliminary data we can say that the 2019 public finance deficit significantly exceeded the level of 1 percent of GDP, thereby confirming the risks we have identified. Similarly, a negative trend is being confirmed in 2020 as well, with the risks currently reaching almost 1.9 percent of GDP. If the new government fails to adopt any measures, the deficit could climb as hight as 2.4 percent of GDP," stated Šramko.
