Ruth Vang presents budget proposal for 2025 with projected deficit in Denmark

Ruth Vang, the Minister of Finance, presented the budget proposal for 2025 earlier today. The proposed budget is projected to show a deficit of 83 million Danish krónur.

Additionally, the law concerning the Economic Fund will be amended, increasing the amounts stated in the law by 100 million krónur, before the contributions from the aquaculture and maritime industries. This adjustment is expected to add an additional 200 million krónur to the state treasury for 2025.

The total revenue for 2025 is estimated to be 7 billion and 436 million krónur, while expenditures for operations, law enforcement, and loans are expected to reach 7 billion and 519 million krónur. Thus, the deficit will stand at 83 million krónur.

In contrast to the upcoming budget, this year’s deficit is expected to be significantly larger than previously estimated, with the Finance Ministry anticipating the state treasury will face around 200 million krónur in deficits for 2024.

A major investment for 2025 includes the Suðuroy Tunnel, for which 100 million krónur has been allocated. An additional 100 million krónur will be set aside for the project in both 2026 and 2027.

The budget proposal will be subject to its first reading in parliament on Wednesday, after which it will proceed to the finance committee.