March 31 (SeeNews) - Montenegro's government adopted the 2021 draft budget envisaging a deficit equivalent to 3% of the projected gross domestic product (GDP), prime minister Zdravko Krivokapic said on Wednesday.
The budget is restrictive in some parts, as the government targets 3% budget deficit, Krivokapic told a news conference, as seen in a video file posted on the YouTube channel of the Montenegrin government.
The draft budget targets revenues of 1.880 billion euro ($2.2 billion), up 14.7% compared to last year, and expenses of 2.019 billion euro, down 2.2%, the government said in a separate statement late on Tuesday.
Current budget spending is planned at 1.815.8 billion euro, while the capital budget expenses are planned at 203.5 million euro.
"The depth of the economic crisis and the weak diversification of the economy required the implementation of decisive fiscal adjustment measures to ensure a reduction of the budget deficit and public debt," the government said.
Montenegro reported a record-high budget deficit of 419.5 million euro in 2020, compared to a deficit of 143.3 million euro in 2019.
($ = 0.8528 euro)