Fico: Next Year's Budget Brings No New Taxes or Levies

Bratislava, 5 October (TASR) - The 2027 general government budget approved by the government on Monday is good news, and if also passed by Parliament, it will serve as another stabilising factor for both the coalition and Slovakia, said Premier Robert Fico (Smer-SD) following the government session on the same day, highlighting the fact that the budget doesn't entail any further increases in taxes or mandatory levies.
"I think that putting together the 2027 budget on this basis and under the circumstances that we can see around us was somewhat of a miracle," said the prime minister, stressing that the budget is fully in line with the European Commission's (EC) fiscal rules. "We feel that investors trust us, because government bonds continue to perform well. At the same time, tax collection has improved, which is extremely important for the budget as such," he added.
General government revenues are expected to reach €63.343 billion next year, while expenditures are projected at €70.786 billion, resulting in a deficit of €7.443 billion, or 4.94 percent of gross domestic product (GDP). According to Fico, the government is delivering on its promise to reduce the deficit by 0.5 percent of GDP each year.
As regards public debt, Fico said that it's not as high as in other countries, and in some cases only half as high.
The prime minister also welcomed the fact that the budget includes funds to compensate for high energy prices, meaning that gas, heating and electricity prices for households won't increase in 2027. If the €250 million allocated in the budget for energy assistance is insufficient, the government will seek additional funds, he said.
Fico also stressed that that "huge additional expenditures" are being allocated to education and health care, and he also highlighted the €100 million earmarked for drought measures. The project involving a new nuclear power plant at Jaslovske Bohunice (Trnava region) has been allocated €100 million, said Fico, reiterating that he'll do all it takes to make the construction process irreversible during his government's term.
At the same time, the prime minister admitted that his government has a slim majority in Parliament. "In reality, it's 76 MPs, plus we'll seek the support of every single MP who is interested in working with us," he said.
Fico also touched on the discounts on rail transport introduced on 1 October in response to high fuel prices. "We feel that the public is starting to use public transport more. And that's exactly what we wanted," he said, admitting that, in the past, he believed that cutting excise duties or VAT, particularly in connection with foodstuffs, was the right path. "However, it turned out that this isn't the case. We have to look for more effective decisions," added Fico.