Following a meeting with the Prime Minister and members of the LPK board on Thursday, V. Janulevičius addressed journalists regarding national economic strategy. He noted that while previous administrations, such as ELTA, emphasized social welfare—a crucial element for the populace—the initial distribution of resources proved unsustainable, being largely financed by debt.
Addressing the current fiscal path, Janulevičius relayed guidance from the prime minister. He stated that the immediate focus must be on stabilizing the economy and generating revenue before any proportional expansion of services can occur. Janulevičius cautioned against an exclusive focus on social policy without a corresponding economic foundation.
He warned that if this trend continues, the national debt, which has reportedly risen to 43% of GDP, risks further escalation without a clear return on investment. Furthermore, he pointed out that expenditures related to defense must also be accounted for within the overall budgetary framework. The discussion touched upon the original promise of growth and stability.
According to Janulevičius, the current strategy requires a shift in focus, moving away from solely welfare spending toward robust economic earnings to ensure sustainable fiscal management moving forward.
Topics: #prime #minister #promise
