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Budget Deficit Forecast Slashed

Published onsdag 26 oktober 2005 kl 14.57

Sweden’s National Debt Office has slashed its forecasts for the government’s budget deficit in 2005 and 2006 due to higher than expected tax inflows from booming corporate profits.

Commenting, Prime Minister Goran Persson said the forecasts reflect a strong economic situation as well as lower public spending.

The Debt Office cut its forecast for the borrowing requirement to 1.25 billion dollars this year from a previous estimate of around 4 billion dollars and lowered its 2006 forecast to around 3 billion dollars from around 5 billion dollars.

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