Government spending

The caretaker Cabinet will draft a revision of the 2021 State budget and will submit it to the next  Parliament, Bulgarian Finance Minister Assen Vassilev told reporters here on Friday after the first meeting of an advisory board with his Ministry that focused on the effectiveness of spending of public funds.

The Recommendation on the Excessive Deficit Procedure in the case of Romania was adopted on Friday at the Meeting of the Economic and Financial Affairs Council (ECOFIN), in Luxembourg, and our country's commitment is to return to a budget deficit up to 3% of GDP by 2024, according to a press release from the Ministry of Finance.

The European Council on Friday adopted a recommendation under the excessive deficit procedure for Romania that Romania should put an end to the excessive deficit situation by 2024 at the latest. "The Council found that an extension to the current deadline for Romania to correct its public deficit would be important in order not to compromise the economic recovery after the COVID-19 pandemic.

Romania will manage to decrease this year from a budget deficit of 9.2 pct of GDP in 2020 to 5.4 pct of GDP, said Andrei Radulescu, director of macroeconomic analysis at Banca Transilvania (BT), at the 17th edition of the event "Meeting with the economic press", in central Predeal.

The Turkish central government registered a budget deficit of 7.5 billion Turkish liras (some $880 million) in January-May, the Treasury and Finance Ministry announced on June 15. 

The figure improved from a deficit of 90 billion Turkish liras (some $10.5 billion) in the same period last year.

The consolidated general budget deficit has gone up to 1.81% of the Gross Domestic Product (GDP), after four months in this year, with a significant growth from the first three months, when the budgetary execution ended with a deficit of 1.28% of the GDP.

Romania will record economic growth of between 6 and 7% in 2021, Daniel Daianu, chairman of the Fiscal Council said on Wednesday, adding that there is an economic rebound, there is public investment spending of 5.5% of the Gross Domestic Product (GDP), more than in 2020. "I believe that, indeed, the growth will be between 6 and 7% in 2021. It might as well be 7%.

Ljubljana – The government expects that this year’s budget expenditure will be EUR 800 million higher than planned in the current budget documents. It says that the situation regarding Covid-19 had deteriorated significantly since the budgeting process was completed.

The global economy is set to grow by 4.7% this year thanks to a stronger-than-expected recovery in the United States, a report by the UN Conference on Trade and Development (UNCTAD) said on Thursday, revising up its previous forecast of 4.3%.

If the epidemic or pandemic takes a turn to the worse, the implementation of Bulgaria's budget will be at risk and the country's debt will soar more than expected. Such a forecast made the BNB in its traditional edition Economic Review, quoted by Capital newspaper.