Quaden warns of Belgian budget deficit in 2003

BELGIUM - Guy Quaden, governor of the Belgian National Bank, has warned that Belgium may return to a budget deficit next year if the government eases spending controls to help it win elections.

"In 2003, I will be very vigilant not only about inflation but also about the public deficit. 2003 is an electoral year, and there is a problem of financing the reduction in corporate taxes," Quaden told reporters.

The European Commission said in April it expects Belgium to post a surplus of 0.2% of its