Higher budget deficit seen

From left: SERC officials Liew Sang Yee , Lee Heng Giue, Lee Soon Thye and Goh Kong Jun at the Press Conference yesterday on the Quarterly Economy Tracker for the Third Quarter of 2018. - Low Boon Tat/The Star

KUALA LUMPUR: The budget deficit target for 2019 could be raised to 3% of gross domestic product (GDP) from the targeted 2.8% this year, Socio-Economic Research Centre’s (SERC) executive director Lee Heng Guie (pic) says.

“I believe the deficit will be at a slightly higher level than the 2.8% mainly due to the lower revenue outlook collections. This is in spite of a cut or a rationalisation of government spending. There is no issue for the 2.8% this year, but we will have to see for next year,” Lee said at SERC’s quarterly economy tracker.