According to the revision bill, presented by MEDIAFAX last week, the Government will increase the budgets of several ministries, in order to finance investments and eliminate debts incurred by state enterprises, but will give less resources to the Ministry of Environment and the Ministry of Finance.
The revision will be achieved with derogation from the fiscal responsibility law, following negotiations with the International Monetary Fund and the European commission, Boc said.
The budget revision increases total expenses at the consolidated general budget by 2.98 billion lei (EUR703 million), thus exceeding the RON194.4 billion ceiling approved by the Parliament for 2011. The revision will supplement both the expenditures and revenues at the general consolidated budget, while leaving the government’s budget deficit target unchanged at 4.4% of the gross domestic product.
The revision has overall expenditures supplemented by RON2.98 billion, of which RON735.5 million represent subsidies, RON236.6 million will be allocated for social assistance services, RON442.3 million for other transfers and RON12 million for other expenses.
Additionally, the bill stipulates more funds for various goods and services (RON433.2 million), capital expenses (RON320.8 million), the reserve fund (RON228 million), expenses with subsidies (RON220.8 million), expenses with social assistance (RON116.3 million) and expenses with other transfers (RON116.7 million).