GOVERNMENT ADOPTS AMENDMENTS TO STATE BUDGET UNDER ITS OWN RESPONSIBILITY

On Wednesday, the Premier Chicu Government approved amendments to the Law on the 2020 State Budget under its own responsibility. The changes are related mainly with social initiatives.

The amendments pertain to raising salaries for health workers, repayment of lump-sum allowances of 700 lei to low-income pensioners, increase of the Agriculture Development Fund by 100 million lei, an increase of the Fund for the security of credits given to small and medium enterprises (SMEs).

The amendments include the building up of transfers from the State Budget to the Social Budget (+469.6 million lei) and to the Fund for compulsory health insurance (+428 million lei).

These changes are increasing the Budget's expenditure side by one billion lei - up to 55.6 billion (+2.4%) And the revenue side will grow by 52.4 million lei - up to 37.8 billion lei. Budget deficit will thus exceed 17 billion lei. It is expected that the state debt will reach 78.4 billion lei by December 31, 2020 i.e. up 2.2% against the Budget-projected figure, or 36.9% GDP. For sources of covering the expenditures, the Government fingers at the European Union assistance (2.18 billion lei) and revenues from privatization of the public property.

According to the legislation in force, the approval of laws by assuming responsibility by the Government before the Parliament presupposes the presentation of bills concerned at a parliament plenary meeting. If deputies do not lodge with the Parliament a draft Resolution on a vote of no confidence in the Government within subsequent 72 hours, the laws enter into force.