Andorra's Deficit To Grow In 2016

Andorra plans to allow its deficit to drift in 2016, according to budget projections newly announced by the Government.

Jordi Cinca, Andorra's Finance Minister, presented the figures for the year ahead, which foresee revenues decreasing by one percent to EUR395m (USD425m) and a 0.2 percent increase in operating expenses, to EUR423m.

The announcement comes despite a number of reforms in recent years to buoy the territory's finances, as it looks to reinvent itself and diversify its economy away from financial services in particular. The jurisdiction introduced personal income tax at the start of the year and a general indirect tax and a corporation tax in 2009.