Estonia Finance Ministry lowers GDP growth forecast

Published: 27 February 2004 y., Friday
The Estonian Finance Ministry has lowered its GDP growth forecast for 2004 to 5.3% from 5.6%, Finance Minister Taavi Veskimagi said at a press conference Wednesday. The ministry is less optimistic about the rate of global economic growth than it was six months ago, he said. Revenue is expected to be higher than forecast in 2004. The budget envisages tax and excises revenue of 38.79 billion krooni, but the ministry's new forecast puts the figure at 39.63 billion krooni. Amendments to the budget will probably not be ready before the fall because Estonia must wait for the impact that joining the EU will have on the economy, and put together a clear idea of the potential in the new conditions. The 2004 budget envisages a deficit of 70 million krooni, or 0.06% of GDP. Revenue is planned at 47.62 billion krooni and spending at 47.69 million. GDP is forecast at 120.4 billion krooni, up 5.6%. The Bank of Estonia forecasts GDP growth of 5.2%. The Estonian kroon is tied to the euro at 15.64664 krooni/EUR1.
Šaltinis: Interfax/BNS
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