Business council questions Iceland’s budget plan

Iceland’s Business Council has raised concerns about the government’s budget bill, including a projected net borrowing balance of minus ISK 67 billion next year, mbl.is reported.

The council also argues that much of the planned reduction in government spending does not represent genuine cuts. Instead, it says, accumulated spending authorisations are being shifted several years into the future.

In its report, the council outlines ways to reduce public spending by ISK 110 billion over the longer term. The largest potential savings would come from selling state assets and bringing public-sector employee terms in line with those in the private sector.