Prime Minister Beata Szydło: Pro-community and pro-development budget for 2018

The Government adopted a draft budget act for 2018. This is a good, ambitious budget that implements our flagship programmes, inter alia, 500 Plus, Mieszkanie Plus and free medicines for senior citizens – said Prime Minister Beata Szydło at a press conference after the meeting of the Council of Ministers.

1 of 4
Photo: P. Tracz / Chancellery of the Prime Minister

Ambitious project

In the opinion of the President of the Council of Ministers this budget is pro-development and also ambitious and takes into account of the prosocial programmes. This is a good, ambitious budget which guarantees the implementation of our flagship programme Rodzina 500 Plus, the implementation of the Mieszkanie Plus programme, free medicines for senior citizens, takes into account the reform of education, the reform of the healthcare system and also the reform of the pension system. Naturally, it is focused on development and investment – stressed the Head of the Government.

As she reminded, since October the new retirement age would be applicable i.e. the return to the previous retirement age. This reform of the pension system will be effective for all 12 months of 2018 and this also will be a significant expense for the state budget – she added.

The Head of the Government stressed that all issues had been agreed. The funds will be allocated for investment, the funds for the disaster fund will be increased. Also, the funds for humanitarian aid have been guaranteed. The funds for humanitarian projects will be increased.

In the opinion of Deputy Prime Minister, Minister of Finance Mateusz Morawiecki, this is the budget which includes into the economic life millions of people who were in trouble, due to the lack of funds for living, due to poverty. This is the first budget which exceeded the amount of PLN 800 billion.

Budget for 2018

In the draft for 2018, planned income of the state budget is to amount to PLN 355.7 billion. The expenses are estimated at PLN 397.2 billion. The deficit of the public finance sector is to be at the level of 2.7% of GDP. As regards the expenses of the state budget, the funds are secured both for the continuation of the existing priority activities of the Government, as well as for the implementation of new tasks. The continuation of financing the Rodzina 500 Plus programme has been guaranteed. Moreover, the budget took into account the results of lowering the retirement age – 60 years for women and 65 years for men, the rise in the expenses for financing the defence needs of Poland, co-financing free medicines and medical devices for persons aged over 75, financing the package Mieszkanie Plus, financing the modernisation programme for the Police, Border Guard, State Fire Service and Government Protection Bureau in the years 2017-2020 as well as further increasing of the so-called tax-exempt amount. The level of tax income in 2018 will be affected by the continuation of the activities from 2017 as well as new activities to rebuild the tax income and strengthen the tax system.

See also