Moldovan Parliament adopts in first reading amendments to the Law on the 2022 State Budget, increasing its deficit by 28.1% to 19.39 billion lei.
The amendments were dictated by the impact on the national economy of the energy crisis, the geopolitical situation and the large flow of refugees from the neighboring country. Within the adjustment of the state budget for the current year, it is proposed to increase the revenue side by 2 billion 634.9 million lei (+5.3%) - from 50 billion 066 million 602.7 thousand lei to 52 billion 701 million 472 thousand lei and the expenditure side by 6 billion 884.9 million lei (+10.6%) - from 65 billion 202 million 602.7 to 72 billion 087 million 472 thousand lei. Accordingly, the budget deficit will rise by 4 billion 250 million lei (+28.1%), from 15 billion 136 million to 19 billion 386 million lei and will amount to about 7.1% of GDP. The main changes in revenues include an increase of initially planned taxes and fees by 1 billion 273.2 million lei (+2.7%) to 47 billion 942.4 million lei and grant revenues by 1.9 times to 2 billion 453.7 million lei. Other revenues will grow by 221.1 million lei (+10.7%) to 2,283.6 million lei and the amount of transfers between the state budget and local budgets will increase by 28.2% to 21.8 million lei. The sum of foreign credits proceeds to support the Moldovan budget in 2022 is expected to increase by 5 billion 449 million lei (the equivalent of $288.8 million), and the proceeds of credits for projects financed from foreign sources will increase by 3 billion 196 million lei. The expenditures on "Social Protection" (+2.45 billion lei), "General Public Services" (+2.007 billion lei), "Economic Services" (+1.185 billion lei) and "Education" (+738.2 million lei) will increase most of all. According to the updated macroeconomic forecast, the GDP growth forecast was reduced from 4.5% to 0.3%. The inflation rate is expected to be 15.7%. Exports are projected to increase by 4.5%, imports - by 6.9%, the growth of average wages in the economy - by 15.1%. //22.04.2022 - InfoMarket.
