On September 26, the EC endorsed the CP, highlighting continuing risks and calling for strict implementation. The Council of Economics and Finance Ministers of the European Union will make its decision on October 10.
These deficit numbers include for the first time the budget of motorway construction-related expenditures, a practice adopted by the authorities in their September CP (as recommended by recent staff reports and the fiscal ROSC). These expenditures amount to 0.6, 0.9, and 0.1 percent of GDP through 2006 to 2008.
The authorities’ growth estimates have not yet incorporated the recent deceleration. Their growth projections and that of staff are broadly similar—slower growth in 2007 and 2008 relative to 2006 and a rise thereafter.