Dutch budget deficit much bigger than estimated
The budget deficit for 2015 is much greater than projected by the cabinet. This is revealed in the annual state budget which will be presented on .
This ceremony, to mark the opening of parliament, traditionally falls on the third Tuesday in September. The queen delivers a speech from the throne outlining the government’s policies for the coming year and the finance minister presents his budget.
Leaking parts of the budget has also become something of a tradition in recent years.
The cabinet had previously calculated that the deficit would be reduced to 0.9 percent by 2015, but the budget is now based on a figure of 1.8 percent. In the short term too, the deficit is much higher than expected: 2.9. percent next year.
European Union regulations do not allow national deficits of more than three percent.
The Macro-Economic Studies published by the Netherlands Bureau for Economic Policy Analysis CPB indicate that the economy will grow by only one percent next year. Unemployment will increase more than expected. Spending power will fall by one percent on average, as opposed to the 1.25 percent predicted in June.
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