"Our outlook is very similar to the Bank of Lithuania's. In spring forecast we reduced economic growth rate from 4.3% of GDP to 3.4%, i.e. by 0.9%, which is a substantial reduction. It corresponds to the economic realities of the present day that we attempted to evaluate without rose-tinted glasses," the finance minister told the media after the Government's meeting and sitting on Friday.
Next year the Government is projecting to collect around EUR 6.34 billion in taxes, i.e. to receive by 6% more revenue from taxes than planned in 2014. According to the finance minister, tax collections planned for 2015 are "somewhat arduous but very realistic".
As reported, it is provided that total consolidated income of the state and municipal budgets (including funds from the European Union (EU) and other international aid, which amount to nearly EUR 2.321 billion) in 2015 will account for around EUR 9.215 billion, or 5.9% more than it is planned to receive this year. The state budget deficit will stand at around EUR 342.4 million (on cash basis), while the planned public sector deficit is 1.2% of GDP.
"It is no secret that we planned for budget sector deficit to stand at 0.9% of GDP next year. However, we have to acknowledge that we will not manage to achieve this due to various reasons. At the moment three draft budgets that were approved would suggest 1.2% of GDP deficit," Sadzius said.
The minister claimed he trusts the Lithuanian economy which "will continue growing the fastest in Europe".
