Paperjam explained that the lead candidate of the CSV, Claude Wiseler, is using the old accounting standards of the Luxembourg government to make the claim (without social security and local councils), while the government calculates the budget according to the European accounting rules. These include the central administration, social security and local councils.
The DP finance minister Pierre Gramegna stated that central administration will have a deficit of -€890 million, but indicated that by 2021, the deficit would be divided by 10.
Wiseler countered that this would not leave the next government much flexibility, as the deficit was not brought down despite high economic growth. While Gramegna said that this deficit was due to high levels of investments, the CSV MP notes that “in terms of percentage to GDP, the levels of investment are not higher than during the last three governments.”
By justifiying the budget deficit through an increase in population which needs increased investments, the current government was increasing the dependency on high growth levels, Wiseler explained. That dependency would have to be financed by debt.
Wiseler said that the CSV would not conduct such “irresponsible and unsustainable policies”.