“No one gave us loans” — Jamshid Kuchkarov on the previous budget deficit

“No one gave us loans” — Jamshid Kuchkarov on the previous budget deficit

Deputy Prime Minister and Minister of Economy and Finance, Jamshid Kuchkarov, spoke in parliament about why the state budget was executed with a surplus in previous years. According to him, the main reason for the surplus was that no one provided loans to finance the budget deficit. At that time, there were no reforms, the soum was not freely convertible, and the tax policy was underdeveloped.

Kuchkarov also noted that a budget deficit of around 3% is considered normal and helps stimulate economic growth, but if loans are taken while the economy does not grow, this is wrong. The deficit ensures a moderate increase in public debt and reduces the risk of default or bankruptcy.