Albania’s 2009 budget deficit widens to 40 billion Lek

TIRANA, August 28؁lbania’s consolidated budget deficit totaled 39.92 billion Lek (302.2 million euro) in the first seven months of the year, higher than the gap of 32.5 billion Lek expected for the period by the government, the Finance Ministry said.
Revenues totaled 171.5 billion Lek through July, 11.8% below plan, the ministry said in a statement. Spending totaled 211.37 billion Lek, 4.5% lower than planned.
Albania had a budget deficit of 5.56 billion Lek in the first seven months of 2008.
Albania has forecast a budget deficit of 54.91 billion Lek for this year, equivalent to 4.2% of its projected gross domestic product (GDP). The country ended last year with a budget gap of 57.5 billion Lek, or 5.7% of GDP, after a shortfall of 34.1 billion Lek a year earlier.
Ardian Fullani, Bank of Albania governor, has issued a warning that excessive government spending is threatening the country’s macroeconomic stability and urged the government to closely monitor its budget deficit.