The Slovenian parliament on Wednesday passed budget plans for
2023 and 2024 that will strongly increase the deficit next year,
due to spending aimed at reducing the impact of energy crisis,
Trend reports citing Xinhua.
Slovenia’s budget deficit is due to increase to 5.3 percent of
gross domestic product (GDP) next year, up from less than 4 percent
in 2022. Meanwhile, it should ease to 2.6 percent in 2024, the
The deficit is mainly a consequence of the conflict in Ukraine,
which is “the main reason for the energy crisis and consequently
for stubborn and high inflation in Europe,” Finance Minister Klemen
Bostjancic told parliament, when presenting the budget plans.
The government will next year spend some 1.2 billion euros (1.24
billion U.S. dollars) on measures that will ease the burden of high
energy costs on companies and the population, he said.
Budget spending will reach 16.7 billion euros next year, and
fall to 15.5 billion in 2024, while budget income is foreseen at
13.4 billion euros in 2023, and 13.8 billion in 2024. The 2023
budget spending will be the highest in Slovenia’s history, and well
above the spending of 14.6 billion euros planned for 2022.
The government hopes that its 2023 measures aimed at easing the
impact of the energy crisis will help towards the reduction of
inflation. This year, inflation in Slovenia has reached the highest
level in over 20 years, standing at 10 percent year-on-year in
October, up from 3.5 percent a year ago.
(1 euro = 1.04 U.S. dollars)
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