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Economy
29 October, 2026 / 23:43
/ 1 hour ago

Moldovan finance minister says cold-season compensation might be covered by savings from public spending's optimization

Authorities are looking for resources to finance the compensation payments provided to the population during the cold season, and one of the solutions under consideration is redirecting money saved through the optimization of public spending. At the Cutia Neagră (Black Box) programme, broadcast on TV8 channel, Finance Minister Victoria Belous said that the authorities were analyzing each category of expenditure, in order to identify resources that can be used to support citizens.

According to the minister, providing compensation is a priority amid the energy crisis and rising prices. Approximately 500 million lei are needed for a single month of this support, while funding sources for next year have not yet been definitively established.

„Covering or granting allowances for the cold season, these compensations, represents something we consider very important, as many citizens need support during this cold period, taking into account the energy crisis we are going through and rising prices,” Victoria Belous said.

The minister noted that the authorities were awaiting responses from external partners regarding the possibility of receiving financial support.

„Our partners are considering the matter, and we hope they will soon provide a clear answer regarding the amount, whether they will offer us assistance, and in what form. Nevertheless, we expect some positive responses. We are awaiting their answers,” Victoria Belous said.

At the same time, the Finance Ministry is examining next year’s state budget revenues and expenditures, in order to identify resources to cover priority needs.



Reductions in procurement, repairs and events

To free up budgetary resources, ministries and other institutions funded from the state budget have been instructed to review their expenditures and eliminate the ones that are not indispensable. According to Victoria Belous, there is no single reduction rate applied to all institutions, as the potential for savings differs depending on each institution’s needs and legal obligations.

The measures under consideration include limiting purchases of furniture and computer equipment, carrying out repairs only when necessary, reducing transportation and fuel expenses, as well as reviewing budgets allocated for events and other activities that have not been officially approved or are not considered priorities.

„We are examining every expenditure item and asking ourselves whether we can do without certain expenses,” the minister said.

A smaller budget for concerts is planned for next year, while the purchase of vehicles is expected to be carried out only in urgent cases. At the same time, institutions are reassessing the need for certain services and information systems, including in the context of technological developments that may change how activities are conducted.

The optimization measures concern institutions funded from the state budget, including ministries, the parliament, and the Presidency. Local public authorities manage their budgets independently, Belous noted.

Hiring and bonuses under review

Another area of savings concerns personnel expenses. According to the minister, more institutions have been instructed to develop staff reduction plans, but the measures do not automatically involve dismissing employees. First and foremost, the authorities are trying not to lift the moratorium on vacant positions and are reassessing the need for each new employment.

The options under consideration include avoiding the extension of employment contracts after employees reach retirement age, where possible, and reviewing institutional structures as part of reorganizations. The granting of annual and one-time bonuses in the public sector is also being analyzed.

Victoria Belous said that some ministries have already abandoned planned employments, but she did not provide a consolidated figure for the savings achieved. The minister explained that reorganizations take time, because they involve drafting and approving new structures, as well as consultations.

The minister emphasized that the spending optimization exercise would continue during the preparation of next year’s budget, with the authorities prioritizing expenditures considered essential.

Energy compensation will also be provided during the 2026–2027 cold season for five months, from November to March. Registration for the government’s Ajutor la contor (Meter Help) programme will start on November 2 on the www. compensatii.gov.md platform, while applications may also be submitted with the help of social workers or specialists from the Unified Service Provision Centers (CUPS).

The authorities estimate that approximately 2.5 billion lei will be needed to pay energy compensation. Finance Minister Victoria Belous has earlier said that the optimal budget for this programme could reach 3–3.2 billion lei, which would allow greater support to be provided to a larger number of citizens. The government is currently seeking additional sources of funding, including grants from external partners.

During the previous season, approximately 620,000 households received support, while for this winter, the authorities estimate that the number of beneficiaries could increase to around 670,000 households.

The amount of compensation will be determined individually, based on each family’s energy vulnerability, while the final number of beneficiaries will also depend on the available financial resources.


 
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