FinMin puts October fiscal deficit at Ft 46 bln
Tuesday, October 18, 2005, 14:01
The Finance Ministry said Tuesday it forecasts a GFS general government deficit, excluding local councils, of Ft 46 billion in October. The forecast would bring the ten-month deficit to Ft 1,105.5 billion, equivalent to 5.0% of expected annual GDP, and 10.3% over the full-year deficit target of Ft 1,022.7 billion. In September, the GFS general government deficit was Ft 63 billion, and the nine-month deficit was Ft 1,059.5 billion, The Finance Ministry raised the full-year cash flow-based deficit forecast from 4.6% to 5% of GDP in 2005 late September. The ministry also upped the ESA95, pension reform-adjusted deficit forecast, from 3.6% to 6.1% of GDP for 2005, and from 2.9% to 4.7% of GDP for 2006. The upward revision came after the EU statistical office said it would not approve Hungary's plan to account state motorway construction off-budget. In its October forecast the ministry calculates with a Ft 2.7 billion central budget deficit, a Ft 47.1 billion deficit in the social insurance funds and a Ft 3.8 billion surplus in separate state funds.