Poland Tries to Manage Fiscal Balancing Act

Politics ♦ Published: July 18, 2013; 08:12 ♦ (Vindobona)

On the one hand, Poland´s government wants to keep an eye on the Maastricht Criteria. On the other hand, the economic growth would shrink even more without a fiscal stimulus.

Poland Tries to Manage Fiscal Balancing Act / Picture: © Vindobona.org

Finance Minister Jacek Rostowski thinks that the country needs both fiscal instruments. Rostowski underlines the necessity of structural austerity measures as well as the need to support the economy. Rostowski stressed that a budget deficit of 1% of GDP would stimulate the economy sustainably.

This week, Poland´s government has decided to increase its budget deficit by €…