The Government of Flanders has set itself the target of achieving a balanced budget by 2027, but that looks set to be a tough task, given the latest multiannual forecasts, presented on Friday.
According to the projections, the year 2027 would end with a small deficit of €80 million, which would then balloon to more than €300 million by 2029.
"The balance will not be given to us as a gift," Flemish Budget Minister Ben Weyts (N-VA) observed.
For starters, the figures for next year are less encouraging than those taken into account at the time of the government agreement at the end of September.
For 2025, it had already appeared that things would be a bit more complicated than expected. For example, less tax will be transferred from the federal government.
In September, Flanders was forecasting a deficit of €3.03 billion for 2025, but the projection is now €3.13 billion.
The current forecasts are a deficit of €1.6 billion in 2026 and €80 million in 2027. This would appear to be close to breakeven, but the figures then move deeper into the red, with a deficit of €221 million projected for 2028, and almost €308 million for 2029.
Decisions taken at federal level may also have "a major impact," in a context of economic and geopolitical insecurity, Ben Weyts noted. "We will have to keep our cool and exercise caution."
