Draft budget rebalance adopted – expenses cut by 28.9 billion RSD

Government of Serbia has adopted the Draft Budget Rebalance today (April 16, 2009). It anticipates incomes in amount of 649.4 billion RSD and 719.9 billion RSD worth of expenses, so that the budget deficit will amount to 70.5 billion RSD.

The Minister of Finance, Diana Dragutinović, said that the incomes and expenses would be reduced by 49.4 billion RSD, ie 7.1%, and 28.9 billion RSD, ie 3.9%, respectively.

- The initially projected deficit amounted to 50 billion RSD, while the new one will be increased by about 20.5 billion RSD – she said at the press conference after the meeting of the Government of Serbia.

As she explained, the budget rebalance is based on the estimates that the gross national product will be 2% smaller than in 2008 and that inflation will amount to 10%.