Gov't approves draft budget for 2023 with deficit at EUR 14.3 bln

Poland's budget deficit is likely to come to PLN 68 billion (EUR 14.3 billion) in 2023 under a budget bill approved by the government on Wednesday.

According to the draft budget, revenues are expected to reach PLN 604.7 billion (EUR 125.6 billion) and spending is planned not to exceed PLN 672.7 billion (EUR 139.7 billion).

The 2023 budget is based on an expected GDP growth rate of 1.7 percent against the previously assumed 3.2 percent, and an average annual CPI forecast hiked to 9.8 percent from 7.8 percent.

Under the budget bill, Poland's public debt will amount to 53.3 percent of GDP in 2023, down from 56.6 percent in 2021.

Poland's general government sector debt is expected at 4.5 percent of GDP in 2023 and unemployment is seen at 5.4 percent at the end of 2023.

The Ministry of Finance said in a statement on Wednesday that funds were secured in next year's budget to maintain the government's social programmes, to strengthen defence and begin financing projects under the National Recovery Plan.

The draft will now go to the Sejm, the lower house of the Polish parliament.