Economy
Hungary PM to unveil 2012 budget details today
János Lázár, head of the ruling Fidesz party’s parliamentary group, said last Friday that the PM and the EcoMin will inform the caucuses about the 2012 budget today. While there was no consultation between the cabinet and the caucus, he said he is certain that the progressive tax regime will not be restored (there will be a flat 16% personal income tax from next year, although some other measures will effectively result in more than one PIT rate.)Zsigmond Járai, Chairman of the Fiscal Council, announced last week that the Council reviewed the 2012 budget bill, found it credible and has not raised any fundamental objections to its implementation. He also underlined that there are "serious risks posed" to the 2012 budget.Péter Szijjártó, spokesman for the Prime Minister, said last Friday that Matolcsy will announce his recommendations on wage hikes and compensations on 28 September.
The budget bill should be submitted to Parliament on 30 September. This means that if the government sticks to the original schedule we will learn this Friday what macroeconomic assumptions and reserve projection the 2012 budget is based on. These data will show whether the revenue targets are well-founded, how much money the state will distribute in what areas and what will be left of the Széll Kálmán Plan, a package of reform measures that mesmerized investors in the spring.
What we know about the 2012 budget so far:
The budget bill should be submitted to Parliament on 30 September. This means that if the government sticks to the original schedule we will learn this Friday what macroeconomic assumptions and reserve projection the 2012 budget is based on. These data will show whether the revenue targets are well-founded, how much money the state will distribute in what areas and what will be left of the Széll Kálmán Plan, a package of reform measures that mesmerized investors in the spring.
What we know about the 2012 budget so far:
