The Parliament of Moldova adopted in the second reading the draft Law on the state budget for 2023 with a deficit of 18 billion 327.3 million lei.
It is worth noting that the second reading of the bill was supplemented by a number of amendments initiated by the deputies of parliament and received a positive conclusion from the government. However, the changes were made through the redistribution of budget funds, without adjusting the overall budget indicators - revenues, expenditures and deficits. In total, the deputies put forward 16 amendments, which involve additional expenses for the budget in the amount of 2.6 billion lei, but the government fully or partially supported 11 amendments, and did not approve 5. For example, an amendment was supported to allocate 40 million lei for the implementation of the National Afforestation Program and 500 thousand lei for the provision of the National Bureau for the Implementation of Environmental Projects, while the government did not support requests for additional costs of local authorities in the amount of about 2.4 billion lei, which are not substantiated and the source of their funding is not indicated, etc. As previously reported, the revenue part of the state budget next year will amount to 64 billion 868 million 382.2 thousand lei (+5.5 billion lei, or an increase of 9.3%, compared with the revised figures for 2022), the expenditure part - 83 billion 195 million 682.2 thousand lei (+9.3 billion lei, or an increase of 12.5%), and the deficit - 18 billion 327.3 million lei (+3.7 billion lei, or an increase of 25.6%). The state budget deficit in the amount of more than 18.3 billion lei is planned to be covered mainly through external loans, which are planned to be received on concession terms, at a low interest rate. In the structure of state budget revenues for 2023, the largest share will traditionally fall on taxes and duties - over 56.9 billion lei, or 87.8% (+4.97 billion lei, or + 9.6%). At the same time, it is planned to receive more than 34.1 billion lei from VAT (+4.48 billion lei, or + 15.1%). In the form of grants, the 2023 budget is expected to receive 5 billion 505.3 million lei, which is 19.4% (894.1 million lei) more than the adjusted indicator for 2022 and will amount to 8.5% of the total amount of income in 2023. Herewith, it is planned to receive grants to support the budget in the amount of 4 billion 322.4 million lei (the equivalent of 186 million euros and $17 million). In addition, in 2023, Moldova plans to receive grants to finance projects from external sources in the amount of 1 billion 182.9 million lei (the equivalent of $59.1 million). Moldova also plans to receive external loans in 2023 to support the budget and implement projects financed from external sources, totaling 18 billion 651.5 million lei (the equivalent of $932.1 million). Meanwhile, it is planned to receive external loans for budget support for 12 billion 548 million lei (equivalent to $627.1 million), and for the implementation of projects financed from external sources - 6 billion 103.5 million lei (equivalent to $305 million). VAT will be the most important source of revenues, accounting for more than half of their total. The largest part of the spending will go to social spending, raising wages and pensions, paying compensation to reduce energy vulnerability, and introducing other important programs. The main policy measures envisaged in the draft state budget for 2023 are: providing compensation to pay energy bills; granting a monthly allowance to state employees in the amount of 1,300 lei; providing compensation payments to people whose monthly salary will be less than 4,000 lei; implementation of the First Home program; START for Youth and PARE 1+1 programs; ensuring an increase in financial norms for the nutrition of children and students in educational institutions; increase in scholarships for schoolchildren, students and athletes; support for the activities of theaters, circus and concert organizations, etc. Of the total state budget expenditures for 2023, about 51.1% are transfers to other budgets: the state social insurance budget; Compulsory Medical Insurance Fund, local public authorities, which is 42 billion lei. In 2023, 154 projects financed from external sources will be implemented, their costs are estimated at 4.5 billion lei. The state budget for 2023 was drawn up taking into account the numerous crises that our country is experiencing. The main economic law for the next year is based on new forecasts of macroeconomic indicators agreed with IMF experts, according to which in 2023 GDP growth is expected by 2% - up to 308.8 billion lei, average annual inflation - 15.7%, export growth - by 1.4%, imports - by 3.2%, an increase in the average salary - by 13.8% - up to 11,700 lei. //22.12.2022 — InfoMarket.
