Moldovan finance minister replies on diminishing public debt

20:22 | 22.04.2019 Category: Economic

Chisinau, 22 April /MOLDPRES/ – Finance Minister, Ion Chicu, responds to "politically disinterested" persons who "are still worried about the evolution of public debt," that in the first quarter public debt diminished "both as an absolute figure (by MDL 164 million) and as a share of the Gross Domestic Product (GDP) (from 27.4 per cent to 24.9 per cent)".

It is that quarter when, according to those individuals, "to pay wages and increased pensions, Government had to borrow massively," writes Ion Chicu, on his Facebook page. He added that there will be contracted loans only for infrastructure investments. "No cent is borrowed for current consumption. The salaries, pensions, and other benefits will be paid in due time. Moreover, it is planned a possible reduction of tax burden by tax and tariffs cuts," specified Minister of Finance.

According to the Ministry of Finance's data, the state debt balance amounted to MDL 51 billion 848.6 million, with MDL 163.9 million less compared to the end of 2018. As of 31 March, 54.8 per cent of the debt represents the debt of the external state and 45.2 per cent of the domestic one. The state debt per total accounted for 24.9 per cent of GDP, the lowest level in recent 03 years.

The GDP projected for 2019 is MDL 207.9 billion, compared to MDL 190 billion in 2018.

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