Luis Márquez Méndez announced on Sunday on SIC that the 2023 budget surplus will be higher than the government's target. “It is the second year in democracy that there has been a budget surplus,” the commentator said, noting that there was significant assistance from inflation, but praising the government that “did not waste the opportunity.”
Luis Márquez Méndez said Sunday on SIC that the 2023 budget surplus will range from 1% to 1.1% of GDP, while the government's target was 0.8%.
“It is the second year in a democracy that there has been a budget surplus,” said the commentator, noting that there was a lot of help from inflation, but praising the government of António Costa, which “did not waste the opportunity.”
Where will this surplus be applied? Fernando Medina had announced the creation of a sovereign wealth fund to respond to future “worst-case scenarios.” Investing in major businesses (infrastructure) and compensating for losses of EU funds.
When Ukraine enters the EU, Portugal will lose Brussels' money. The commentator said that Portugal will no longer receive EU money and must prepare for this, which is why Medina's idea must continue. “Personally, I think this fund should move forward,” he said of the fund, informally called the “City Fund,” which will be created using the budget surplus. But with the fall of the government, the fund may fall by the wayside.
The goal of the Medina Fund was to collect surpluses of $2.65 billion in 2023 and add new road concessions worth $1.5 billion annually.
Public debt will be less than 100% of GDP, that is, less than the target set by the government.
