FISCAL COUNCIL: Deficit of 8, 5%, public debt totals 71% of GDP

September 30, the Fiscal Council warned that Serbia’s budget deficit in 2014could total 8, 5% of gross domestic product which is more than planned.

- At the end of August, the country’s budget deficit reached RSD 122 billion which points out at exceeding this year’s planned deficit, the Fiscal Council announced.

As it was stated, "when still non-transparent expenditures of the state“below the line “are calculated in the deficit, total 2014 deficit could exceed planned RSD 286 billion and reach 310-315billion, i.e. some 8,5 percent of GDP”.

According to the Fiscal Council data, Serbia’s public debt at the end of August totaled EUR 22,4 billion, i.e. some 71 % of GDP and it as of the beginning of the year, it has increased for more than EUR 1,6 billion.

Country’s public debt, as it was explained, is higher than the Ministry of Finance announced (EUR 21, 9 billion) because the Fiscal Council comprises within liabilities both public debt of local self-governance and the Fund for Development.

August’s public debt increase of some EUR 900 m is a consequence of withdrawal of the first line of UAE loan of one billion dollars.

- By the end of the year, public debt could reach EUR 23 billion, i.e. exceed72% of GDP – the Fiscal Council announced.