Moldova's national public budget rectified

Chisinau, 18 April /MOLDPRES/ - The 2022 state budget expenses have been increased by 6.9 billion lei and the revenues – by 2.69 billion lei. The amendments are contained in the rectified draft of the laws on the national public budget, approved at a today’s cabinet meeting, the government’s communication and protocol department reported.   

According to Prime Minister Natalia Gavrilita, the government’s decision comes in the context of the energy and humanitarian crisis which hit the national economy.

„We go through extraordinary times, which require extraordinary decisions. In these conditions, the cabinet ruled to increase the public expenses to maintain the economic stability, the jobs and prevent the vulnerabilities. I think that it is right that, in crisis situation, the government increases the public expenses, help the citizens pay the invoices, backs the businesses and the farmers affected by the war’s consequences,’’ PM Natalia Gavrilita said at a news conference following the cabinet meeting.     

The draft on the rectification of the national public provides for a 2.45-billion-lei increase in expenses in the social protection sector. The financial resources will be used for the indexation and increase in pensions and social benefits, following the reformation of the Social Assistance Programme. Additionally, 65 million lei was allocated for financing the service, Personal assistance for people with disabilities and 111.8 million lei was earmarked for the nourishment of pupils in education institutions. 

Also, the new draft sees the growth of allocations for the payment of thermal and energy resources for the budgetary and public medical institutions. As much as 521 million lei of this sum will be distributed locally, for the payment of the thermal and energy services.  

Another 700 million lei was allocated for programmnes on supporting the business environment and the agriculture, of which 250 million lei was used for the supply of the national fund of development of agriculture and rural environment and the partial compensation of the excise duties on diesel. A sum of 200 million lei of this money will be distributed for the increase in the fund for energy efficiency and the fund for the development of Small- and Medium-sized Enterprises each.     

The allocations for capital expenses and investments increased by 16.8 per cent, including for the rehabilitation of roads, with 1.1 billion lei earmarked to this end. The volume of transfers to local budgets was increased by 906.6 million lei.    

At the same time, the draft provides for an increase by 2.69 billion lei of the revenues collected in the national public budget. According to PM Gavrilita, this is due to the increase in the revenues from taxes and duties and inflows of grants.     

„I think that a success of the government is the fact that we have found financing, in order to be able to increase allocations for economic agents, farmers and consumers. Through all these actions, we make sure that we preserve jobs and help the business people hit by the increase in prices in the extremely difficult conditions of a situation close to stagflation,’’ the prime minister specified.  

Following the amendments made, the national public budget for 2022 will have revenues worth about 84 billion lei and expenses amounting to 103.8 billion lei and the budget deficit will stand at 19.8 billion lei.     

Photo: Government