The Government will continue implementing measures aimed at reducing the deficit. The budget deficit won’t be higher than last year’s, despite the potential corrections with the rebalancing, Macedonian Finance Minister Gordana Dimitrieska-Kochoska told a press conference Wednesday, stressing that fiscal consolidation remains a key priority.
In response to a reporter’s question after the press conference, Dimitireska-Kochoska noted that projections for the budget revision are ongoing, but that the direction of the policies is clear – control of spending and maintaining a stable deficit.
“We are currently working on the projections for the rebalance. We waited until May to see the situation and then make the projections. Of course, it is possible that there will be certain corrections as a result of the measures within the excise duties on oil and oil derivatives. So there may be certain deviations, but consolidation means that we will not have a budget deficit larger than last year. We are working very carefully on spending and liabilities are being serviced in a timely manner,” said the finance minister.
Dimitrieska-Kochoska adds that public spending is yielding results, pointing to the growth of the economy and the need to direct funds to where they are most needed.
“When we talk about public spending, it is important to look at its structure, as well as the fact that today we have 3.1, or 3.3 percent GDP growth, including seasonal adjustments. We can conclude that the funds spent in the past period were correctly directed,” noted the minister.
Regarding fiscal policy, she reiterated that the Government will continue with measures to reduce the deficit.
“In that direction, we will continue to work on fiscal consolidation, which means reducing the budget deficit, in conditions of a changing economic situation. We are looking at what challenges we are facing within the framework of the economic crisis, and at the same time we will work on directing funds where they are most needed in order to achieve positive results,” noted Minister Dimitrieska-Kochoska.
