Fiscal spending has to be reduced to 46% of GDP in the coming years, which is why structural reforms are necessary, Jarai said. Fiscal spending on economic stimulus measures should be moved to the forefront, he added, giving a positive assessment of lower spending on current expenditures and more spending on economic development through the New Szechenyi Plan.
Fiscal management that strives to reduce state debt by cutting budget deficits is on the right path, he said.
Jarai will be joined on the council by the head of the State Office (ASZ) Laszlo Domokos and by National Bank of Hungary (MNB) governor Andras Simor. Jarai will call meetings of the council, establish its agenda, head the body and represent it.
The council’s work will be supported by the apparatus of the ASZ and the MNB, contributing to making “the budget the best it can be”, Jarai said.
The Fiscal Council will meet in days, Jarai said. The body’s task will be to take stands on possible changes to the budget, not issue opinions on economic policy, he added.
Producing journalism that is worthy of the name is a costly business. For over 30 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.
