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Published: 10/26/2026

Assessment of budgetary documents for 2027 and 2028

The budget documents foresee a decline in the fiscal deficit for 2027 and 2028, which is necessary to ensure debt sustainability. However, the measures by which this is to be achieved have not been duly presented. Both the Fiscal Council’s and the Government’s no-policy-change scenarios indicate that the deficit will continue to increase. The aggregate net expenditure growth, which serves as the benchmark for the assessment of fiscal rules, is projected to exceed the commitment set out in the medium-term fiscal plan. The budget documents also fail to account for the potential negative impact of the planned expenditure constraints on economic activity. The Government should prepare a more credible budget proposal and a medium-term fiscal framework, incorporating clearly defined measures to ensure fiscal sustainability and support the strengthening of long-term economic potential.

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