BELGIAN GOVERNMENT TO CUT FINANCIAL REQUIREMENT

  Belgian Prime Minister Wilfried
  Martens announced to Parliament a plan to reduce the 1987
  government financing requirement by 20.6 billion francs.
      He said this will enable the requirement to be held to
  419.7 billion francs, against the previous government target of
  417.8 billion, or eight pct of gross national product.
      Martens said following a lowering of government estimates
  of 1987 nominal GNP growth and a re-estimation by government
  departments of 1987 spending, the government calculated that
  unless action was taken, the requirement would exceed the
  target by 22.5 billion francs.
      Martens said the plan involved raising non-fiscal receipts
  by 5.8 billion francs and reducing spending by 14.3 billion.
  The remaining 0.5 billion francs will be raised through
  treasury operations.
      Martens said the money is being found through a series of
  small economies and confirmed that it includes the raising of
  two billion francs through the sale of part of the government's
  50 pct holding in the gas company Distrigaz.
      Last year, the government announced a major program
  designed to cut 1987 spending by 195 billion francs.
      The program was designed to get Belgium out of what the
  government said was a "snowball effect" under which the
  government constantly borrowed more to finance budget deficits
  which were due largely to the cost of servicing and repaying
  existing debt.
      In 1986, the government financing requirement is estimated
  at 561 billion francs or 11.0 pct of GNP.
  

