Minister of Finance says he will not take charge of budget without lower deficit

Minister of Finance Eduard Janota warned on Monday that he would not draw up a budget for 2011 if the public deficit exceeded 4.8 percent of Gross Domestic Product. Mr. Janota has long been in charge of framing the country’s budget, now as minister and previously as deputy minister. The warning puts a major question over his continuation in the post if radical cost cutting or tax increases are not proceeded with. The public deficit climbed to 5.93 percent last year and is due to drop to 5.3 percent in 2010. The current caretaker government is due to step down after elections to the lower house at the end of May. But it could be forced to carry on if a new government is difficult to put together. The budget starts being drawn up in the summer.

Author: Chris Johnstone