The draft budget law for 2020, adopted by the PiS government on Monday, reached the lower house of parliament (the Sejm) on Friday. The project assumes zero-deficit with revenue and spending balanced at 435.3 billion zlotys, which is roughly 5 bln more than it was planned in September.
The draft bill on 2020 balanced budget was already adopted by the government in September. However, in line with a rule of discontinuation, parliament of the new term cannot proceed with passing bills that had been submitted, but not adopted in the previous term.
Just like the budget bill from September, the one adopted on Monday also envisages that the state income and expenses will be equal, and thereby making the budget balanced. "The budget for the year 2020 is to be balanced. Income and expenses are to be equal at 435.3 billion zlotys," said Prime Minister Mateusz Morawiecki at a press conference on Monday, after the cabinet meeting.
The head of the government explained that the draft budget bill has been slightly changed, among other things, health care spending has been increased.
Furthermore, compared to the September's version, the bill assumes the overall balance to be higher by 5 bln zlotys.
According to EU methodology, the public sector deficit in 2020 is to equal 1.2 percent of GDP. In real terms, Polish economy is expected to grow by 3.7 percent, with average inflation at 2.5 percent.
The project also assumes 7.1 bln zlotys to be paid to the 2020 budget by the National Bank of Poland (NBP).
Autor: gf / Źródło: TVN24 News in English, PAP
Źródło zdjęcia głównego: Adam-dalekie-pole/Wikipedia (CC BY-SA 3.0)/ Ministerstwo Finansów