The government has submitted a draft budget amendment to the Fiscal Council, the finance ministry said on Friday.
The prolonged war and the energy crisis will be in its second year in 2023, posing a threat to Hungarian families, the economy and jobs, the statement said. “As a result, the most important task for next year is to protect Hungarian families and jobs, preserve the value of pensions, maintain the utility reduction scheme and guarantee the security of the country,” it said.
“These achievements can be preserved next year by amending the budget,” it added. Hungary’s energy bill will increase from 7 billion forints (EUR 17.5m) to 17 billion forints next year but by increasing the allocation for the utility fee protection scheme, the necessary resources will be guaranteed up to the level of average consumption, the ministry said.
Despite the difficulties, the budget will maintain family support measures and even expand them by offering tax exemption until age 30 to mothers. Additionally, the budget will guaarantee a 15 percent pension increase from next January.
The government maintains the goal to improve balance indicators and next year’s budget consequently includes a reduced deficit and public debt.
The aim is to prevent an economic decline and maintain growth. Hungary’s economy could grow by over 4 percent this year and it is projected to grow by 1.5 percent in 2023, the ministry said.