The Polish budget deficit reached PLN 12 bn (EUR 2.68 bn) after the first 10 months of 2020, Tadeusz Kościński, the Finance Minister told the Polish Press Agency (PAP) on Wednesday.
The country’s total revenues were up by 3.3 percent, but tax revenues dropped by 1.2 percent in January-October compared to the same period of the previous year, the minister said.
“The country’s budget deficit reached PLN 12 bn (EUR 2.68 bn) after October,” he said.
According to the minister, the budget revenues started to rise in July following a slump caused by the SARS-CoV-2 coronavirus pandemic, but the growth rate began to subside in September.
Value-added tax (VAT) revenues inched down by 0.1 percent, personal income tax (PIT) takings dropped by 4.9 percent whereas corporate income tax (CIT) revenues increased by 1.0 percent year/year in the first 10 months of 2020, the minister added.
Poland has had to amend its budget law due to the effects of the COVID-19 pandemic and was forced to scrap plans for a no-deficit budget this year. According to the amendment, the deficit is expected to shoot up to PLN 109.3 bn (EUR 24.48 bn) in 2020 owing to dented revenues and huge government spending.