Favourable economic conditions are allowing the government to relax temporary austerity measures. The government plans expect deficit only next year, and in 2019 a surplus is expected. A modest one, around 100 million. But of course, it will happen only if economic odds remain favourable.
It is a nominal balance of budget, but what about structural? That remains a problem, as the government practically refrains from any permanent, structural adjustments.
And that is the problem the newly established Fiscal Council warns about in its first assessment. The council draws attention to the lack of permanent measures, and suggests the government should prepare an additional list of measures in value of two-tenths of gross domestic product; in other words, they expect 80 million spent on additional measures.
Yet the Fiscal Council showed some leniency to the government, which has until now claimed strictly adhering to fiscal rule. The Fiscal Council allows the possibility it will be done in next two years. The Fiscal Council has reached similar conclusions as the European Commission.
Z. B., Radio Slovenija; translated by G. K.