Fiscal Council: Freezing Public Sector Pay in 2021 is Justified Choice

Fiscal Council: Fiscal Strategy for 2019 Does Not See Low Economic Growth as the Biggest Problem

In the report "Effects of Health Crisis on 2020 Fiscal and Economic Trends and Recommendations for 2021 Fiscal Policy," the Fiscal Council said "the state no longer possesses available resources for a strong intervention, because it had made an irrational decision to borrow over EUR600 million to pay EUR100 to every adult in the country."

"Under the circumstances, the state deficit will reach a record seven percent of GDP, and the public debt will grow to over 60 percent of GDP by the end of the year," the Fiscal Council reported, adding that the public debt increase was primarily the consequence of an excessive pay raise in the public sector of nearly 10 percent, with which the country entered 2020.