Behind the scenes of the government’s first budget preparations

Today the government held a working meeting on the draft budget for 2024. Tomorrow the draft must be adopted, but the final corrections must be made before the meeting. – Even today, the ministries presented their budgetary needs during the government working meeting. We are generally satisfied with what has been planned for us, although, of course, we still see the possibility of minor corrections – admits an interlocutor from one of the ministries. As he points out, the work on the budget is very intense. – We received the finance bill for examination on Saturday around midnight. For its part, the bill relating to the budget arrived on Sunday around 10 p.m. Today, the work was still in progress during the government working meeting, adds our interlocutor.

The project builds on the project prepared by the government of Mateusz Morawiecki, which provides for the implementation of certain electoral promises of the coalition. – This is why the deficit had to increase, even if there are also some savings – says one of our interlocutors.

Generally speaking, our interlocutors from the various ministries say they are satisfied with the results, even if some of them, in consultation with the Ministry of Finance, still have to make corrections.

The most significant changes are the 30% increases announced by Donald Tusk in his presentation. for teachers and 20 percent increases for the budget plus the “Active Mom” ​​program.

The government must adopt the bill tomorrow and it will be submitted to the Sejm, so the first reading will take place this week. Work on this document will be continued by the parliamentary committees during the break between Christmas and New Year, so that it can be quickly adopted in early January and sent to the Senate so that it can be sent to Andrzej Duda for signature at the end of January . The coalition will therefore have to modify the law this year, it will be prepared within a few months.

In constructing the budget, the impact on the deficit of the entire public finance sector will not be the only one to be significant. According to our information, the authors of the project want this deficit calculated according to the European methodology to be no higher, and preferably lower than that of this year. And according to European Commission forecasts, this figure could reach 5.8 percent, although unofficial estimates are slightly lower. The question of whether the deficit thus calculated will be lower is important from the point of view of the European Commission which will impose the excessive deficit procedure on Poland next year. In such a case, when, despite exceeding the Maastricht criterion, 3%. GDP, the deficit decreases from year to year, does not increase in relation to GDP, the Commission’s approach is less restrictive.

Leave a Comment