The rectifications to the Budget Law for 2007 were voted in first reading with the competition of communist MPs on Friday, while the opposition parliamentary groups abstained from voting.

The changes proposed by the Government foresee increasing budget revenues by 919.9 mln lei, the expenditures, by 1 bn 126.9 mln lei, and the budget deficit, by 207 mln lei. Thus, the rectified budget will be constituted of 13 bn 878.4 mln lei revenues, 14 bn 158.1 mln lei expenditures, and a deficit of 279 mln lei.

Increasing of budget revenues and expenditures was operated as a result of the extra collections to revenues registered in ten months this year. According to the authors of the draft, this dynamics will keep on further, and by the end of the year the state budget revenues will constitute 13.9 bn lei and will exceed by about 920 mln lei the planned figure.

The Government says that additional revenues were accumulated in particular from the extra collections under income taxes, including application of VAT, external trade activities and external operations.

Under the draft, 32% of the increased expenditures (370.5 mln lei) are to be used for funding expenditures intended for capital investments. About 430 mln lei will be used to cover the insufficiency in wage and pension payment to budget workers and military men; 123 mln lei will cover road rehabilitation; 92 mln lei will be used for the statutory fund of the state enterprise Calea Ferata a Moldovei (Railway Moldova), more than 69 mln lei will be used to serve the internal public debt.

In the process of discussing the rectifications to the budget, the opposition parliamentary groups exposed a number of objections to the draft proposed by the Government. According to the opposition representatives, the redistribution of expenditures was operated to the detriment of the localities governed by the opposition, and the allocations for the agricultural sector are miserable.

In the context, the opposition MPs pronounced in favour of increasing by 300 mln lei the expenditures intended for the Fund for farming subsidization, in particular, on the account of lowering the allocations intended for the central state bodies.

The draft is to be adopted in second reading.

The state budget law for this year was adopted by Parliament on 23 November 2006. The budget revenues were approved at 12 bn 88.5 mln lei, expenditures at 12 bn 161.4 mln lei with a budget deficit of 72.9 mln lei. // BASA-Press


Publication date: 03 December 2007   

Source:

Archive