Portugal proposes 2023 budget to fight 'adverse scenarios'

LISBON: The Portuguese government has proposed its 2023 budget to counter the "most adverse" scenarios of the global financial crisis.

The budget, which will be discussed in Parliament on October 26-27 with the final vote scheduled for November 25, aims to protect income, promote investment, ensure sound accounts, and reduce the budget deficit and public debt, reports Xinhua news agency.

Delivered by Finance Minister Fernando Medina, the proposal has five priorities:

The first is to reinforce income, as the government expects to add in 2023 around 3.73 billion euros in income, pensions, social benefits as well as youth and birth support with tax reduction.

The second is to mitigate price and interest rises, including limiting the increase in rents and freezing public transport prices.

Thirdly, the government plans to invest 2.1 billion euros to accelerate energy and climate transition.

The fourth involves investment and innovation to stimulate capitalization and tax relief.

The fifth priority is to strengthen fiscal credibility with an aim to reduce public debt to 110.8 per cent of GDP in 2023.