The amount intended to finance the budget deficit from the placement of government securities, by the end of 2021, will be reduced by a third - from 7.36 billion to 5 billion lei.
This is provided for by the corresponding government-approved amendments to the state budget for 2021. In the materials of the Ministry of Finance to the draft amendments to the state budget for 2021, it is said that the changes, among other things, stipulate a decrease in the amount intended to finance the budget deficit from the placement of government securities by the end of 2021 by 2 billion 358.5 million lei (-32%) - from 7 billion 358.5 million to 5 billion lei. It is envisaged that, in general, the deficit of the 2021 state budget will decrease by 2 billion 454.7 million lei (-16.8%) - from 14 billion 592.7 million to 12 billion 138 million lei (5.23% of GDP). At the same time, of the total amount, the main component of the state budget deficit for 2021 will amount to 8 billion 807.5 million lei, or 72.6% (down by 3 billion 474.1 million lei), and projects financed from external sources - 3 billion 330.5 million lei, or 27.4% (up by 1 billion 019.4 million lei). At the same time, it is planned to change the structure of funding sources for the state budget deficit due to the revision of loan receipts, issuance of government securities in the domestic market and other sources of funding. It is assumed that in the structure of sources of financing the state budget deficit, the internal public debt will decrease by 2 billion 313.5 lei (-32.8%) - from 7 billion 048.5 million to 4 billion 735 million lei due to a decrease in the issue of government securities in the primary market by 2 billion 358.5 million lei (-32%) - from 7 billion 358.5 million to 5 billion lei, as well as a decrease in internal state guarantees for the Prima Casa project by 45 million lei - from 50 million to 5 million lei. At the same time, external financing, relative to the amount approved earlier in the budget, increases by 486.1 million lei (+ 4.7%) - from 10 billion 357.5 million to 10 billion 843.6 million lei. At the same time, the amount of loans to support the budget will grow by 379.6 million lei (+ 6.4%) - from 5 billion 918.5 million to 6 billion 298.1 million lei, and the loans to finance projects financed from external sources will increase by 106.5 million lei (+ 2.4%) - from 4 billion 439 million to 4 billion 545.5 million lei. According to the Ministry of Finance, financing to support the budget will be increased due to the receipt of special drawing rights from the IMF worth about 4 billion 202.1 million lei (equivalent to $235.62 million), as well as at the expense of 466.8 million lei allocated by the World Bank (the equivalent of $26.04 million) for the "Emergency COVID-19 Response Project", as well as 307.6 million lei (equivalent to $17.49 million) for the Tax Administration Modernization Project (TAMP). At the same time, the IMF financing was excluded from the new program estimated 3 billion 346.3 million lei, which is yet to be approved, as well as the World Bank financing under the Economic Governance Program (DPO) - 909.5 million lei. The proceeds from the loan to support the State Enterprise “Railway of Moldova” in order to increase its authorized capital were reduced by 319.7 million lei. In addition, all loan proceeds were revalued based on the updated exchange rate. // 01.10.2021 – InfoMarket
