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Government Finalises Budget Proposal

The government plans to spend 39 billion euros next year. Nearly 100 million of this has been set aside for various ways to aid the poor, including boosts in housing benefits and more spending on pensioners.

The Green League and the Left Alliance say that spending on the poor is not nearly enough. Both opposition parties want the state to increase many benefits to the unemployed, including monthly allowance, employment suppport and study grants.

The political tension also appears to heating up between the governing parties. On Wednesday Prime Minister Matti Vanhanen was clearly irritated by comments on the budget proceedings made by SDP Chairman Eero Heinäluoma.

He had urged the Prime Minister to close government ranks during the critical budget talks. Vanhanen responded by charging that rows over budgeted road projects had come from within SDP ranks.

Key ministers were locked in debate at separate talks before the two-day budget deliberations. The first clues on the outcome will come on Thursday. Parliament will vote on the proposals before Christmas.

YLE24