Government continues to prepare budgets for 2025 and 2026

SLOVENIA, July 1 - In accordance with the adopted fiscal framework for the period 2025–2027, budget expenditure could amount to around EUR 17.1 billion in both years. For 2025, this would be EUR 1.27 billion more than planned in the 2025 budget adopted last year.

The two draft budgets follow the medium-term objective of public debt sustainability and keeping the general government deficit below 3% of gross domestic product.

In the next two years, the focus will remain on measures to deal with the consequences of last year's floods and to strengthen economic growth and development, supported in particular by European funds under the Recovery and Resilience Plan (RRP).  The reforms set out in the RRP will also be pursued.

In addition to the EUR 17.1 billion in expenditure or funding from the breakdown, funds are also available in the budget for the implementation of projects. These funds are available to finance specific types of projects, in accordance with the rules governing the creation of individual budget funds.

The main source of financing for flood recovery in 2025 and 2026 will come from the Fund for the Reconstruction of Slovenia. In addition to domestic resources, projects will also receive support from the European Union Solidarity Fund. Another important budget fund that is not visible in the breakdown is the RRP Fund.

By 15 August 2024, budget users, in cooperation with the Ministry of Finance, will prepare proposals for their financial plans according to the breakdown adopted today. While the breakdown may be subject to further changes (in the part related to European funds and the RRP), the total expenditure should remain unchanged.

As usual, the budget documents will be finally approved by the Government in September, as they have to be submitted to the National Assembly by 1 October 2024.