Poland budget deficit will not exceed PLN 109 billion - FinMin

Maciej Kulczyński/PAP

Tadeusz Koscinski, the finance minister, has told PAP that the budget deficit will not exceed PLN 109 billion (EUR 24.37 billion) in 2020 despite the economic effects caused by the pandemic.

Speaking about the budget, Koscinski told PAP on Wednesday that "it will definitely not go above PLN 109 billion, but we will try to make the most of this limit in order to be prepared for an uncertain future."

"We do not want to spend this money but only want to build up reserves (...) so that we would not have to amend the (2021) budget in case there is a need for additional funds," Koscinski added.

The minister said that "the condition of public finances after October 2020 are good."

"Up to end of October, revenues were higher year on year despite the pandemic and recession in the second quarter. Tax revenues alone are close to last year's level," he added.

Poland's budget deficit at the end of October reached PLN 12.1 billion (EUR 2.71 billion) versus PLN 13.8 billion (EUR 3.08 billion) at the end of September, Finance Ministry data released on Wednesday showed.

The amendment to this year's budget raised the level of the possible 2020 deficit from the previously planned zero to PLN 109.3 billion (EUR 24.44 billion).