After a resounding victory in the election, opposition parties in Czechoslovakia hope to cut the 2022 budget deficit by reducing it after election victory

After a resounding victory in the election, opposition parties in Czechoslovakia hope to cut the 202 ...

a top party leader said on Sunday that opposition parties seeking to form opposition aimed to rework the 2022 budget to keep the planned deficit below 300 billion crowns ($13.72 billion)

Petr Fiala, a member of the centre-right coalition Together, which defeated Prime Minister Andrej Babis' ruling ANO party in an Oct. 8-9 election and proposes to form re-election with the Pirate/Mayors group, told czech television that they would reject the current administration's budget proposals.

That means the budget is unlikely to be approved before year-end, causing the country to revert to an interim approach that limits discretionary spending. Fiala said a provisional budget for up to two months would not pose ill effects.

In 2022, Babis' government expects a 376.6 billion crown deficit, similar to the record gap seen in 2020 after the outbreak of the coronavirus epidemic and the anticipated gap in 2021 as spending remains high.

"A deficit like this is not feasible," Fiala said. "We have to rely on a proviso budget, but it's in everyone'' s best interests to have the amended budget approved as soon as possible," he added. He added that changes could be completed in weeks.

When asked if the 2022 deficit could be under 300 billion crowns, Fiala said he would like ministries to seek operational savings of around 6%, which 'would reduce the deficit by almost 100 billion dollars'.

Fiala said the parties that will form the future administration did not want to raise taxes as part of their intentions.

Babis' administration has faced criticism for raising budget deficits and state debt with a record income tax cut, pension and public wage hikes, along with epidemic expenditures. ($1 = 21.8710 Czech crowns)

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