Moldovan government approves draft state budget law for 2020

Chisinau, 27 November /MOLDPRES/ - The cabinet of ministers, at a today’s meeting, approved the draft state budget law for 2020, with revenues worth 44.1 billion lei and expenses amounting to an estimated sum of 51.5 billion lei, with a budget deficit of 7.4 billion lei.  

The draft state budget law for 2020 is built on a 3.8-per cent economic growth, an average annual inflation of 5.7 per cent, nine-per cent increase in exports and a 7.1-per cent growth of imports. At the same time, next year, the average monthly salary will amount, according to estimations, to 7,953 lei, up by 8.7 per cent against the year before.      

”The budget forecast for 2020 is pretty balanced, realistic and put increased emphasis on the investment component,” Finance Minister Serghei Puscuta said at the cabinet meeting.  

The spending will increase as a result of new programmes of expenses in the social protection sector. Among the measures due to be undertaken to this end, there are the increase in the quantum of benefit for the cold period of the year, increase in the quantum of state social allocations for disabled and elderly people, providing a one-off assistance worth 700 lei to the beneficiaries of pensions and state social allocations, pensions’ indexation twice a year.    

At the same time, the current spending programmes will be ensured financially: the road fund (1.7 billion lei, including transfers to local budgets), national fund for the development of agriculture and rural development (one billion lei); national regional development fund (220 million lei), energy efficiency fund (80 million lei). Allocations worth 70 million lei are provided for the implementation of the First Home state programme, of which 50 million - for the honouring of the state guarantees within the programme.  

The draft state budget for 2020 sees a considerable increase in the investment component. Thus, next year, about 72 projects financed from external sources will be carried out; most important of them regard the development of roads’ infrastructure.

The estimations for the 2020 National Public Budget, which includes the state budget, state social insurances budget, mandatory health insurances account and the budget of local public administrations, provide for an about 8.9-per cent and, respectively, 10.2-per cent increase in revenues and expenses. The overall revenues of the national public budget are estimated at 69.2 billion lei and the expenses – at 76.6 billion lei. In these conditions, the budget deficit is forecast at 7.3 billion lei.    

At the same time, the cabinet today approved the draft law on the state social insurances budget for 2020 and the draft law on the mandatory health insurances accounts for 2020. The state social insurances budget and the mandatory health insurances accounts will be balanced, without recording a deficit or a surplus. Revenues worth 23.4 billion lei are expected at the state social insurances budget and 8.3 billion lei – in the mandatory health insurances accounts.

The concerned documents are to be considered and adopted by the parliament.