The growth prognoses for the GNP are good. In spite of the dioxin crisis, the faith of company managers has grown considerably over the past six months. The interest rate keeps on giving a positive impulse for economic activity even though the Belgian National Bank expects investments to grow less rapidly. Consumer faith remains string as well. On the contrary, employment prospects remain favourable.
Recent evolutions confirm the existing trends.
Inflation is expected to remain under control in the coming year. The interest rate will probably rise slightly. The millennium effect is very likely to push up the interest rate in the first half of the year 2000, whereas this figure is expected to be lower in the second half of that year. These resources are divided over the regions and communities by means of a certain calculation laid down in the Funding Act. Regional taxes Regional taxes are taxes of which the level is determined by the Flemish authorities and going directly to the Flemish authorities.