Andorra la VellaThe Minister of Finance of Andorra, Ramon Lladóshas presented the general budget project for 2025, highlighting the importance of maintaining financial sustainability and controlling the deficit.
In his speech, Lladós has underlined the four rules that the Government must follow when drawing up the budgets, with two of them listed as “strong rules” for its great impact in the short and long term.
Among these rules, the minister explained that Government cannot exceed a debt of 40% of GDP, with forecasts for this 2025 placing the percentage at 32%, after a debt of 34% this year.
With the surpluses of recent years, we have created a reserve to gradually reduce the debt. We have to be very careful with these metrics, and in fact we are a reference at European level”
In addition, the minister recalled that the draft budget cannot provide for a deficit greater than 1% of GDP. Although a debt of 34.8% is expected, Lladós has highlighted the difference between the projected deficit and the final settlement, indicating that forecasts point to future improvement.
Regarding income, the Minister of Finance has emphasized that “the majority of revenue comes from indirect taxes” and that, despite the increase in the median wage by 4.7%, it is expected that this gradual increase will contribute to improving the purchasing power of wage earners.
Finally, he highlighted that sectors such as tourism continue to grow, although at a more stable pace than in the post-pandemic era. “There is business initiative, wage earners are growing”emphasizing the good economic health of the country and the Government’s commitment to the responsible and balanced management of resources.