Thus, the cautious fiscal-budgetary policy will continue on the medium term, so that the budget deficit stands below 3% of GDP in 2024.
The adjustment trajectory undertaken through the 2021-2024 Convergence Program provides for a budget deficit (in ESA terms) no higher than 8.0% of GDP in 2021, 6.2% of GDP in 2022 and 4.4% of GDP in 2023, respectively. In structural terms, the budget deficit target is 7.35% of the GDP in 2021.
The bill also envisages staff spending at 8.8% of GDP in 2022, while for 2023, the budget balance is projected at 4.4% of GDP and staff expenditure at 8.2% of GDP.
The proposed cap on government debt, under the EU methodology, is 49.8% of GDP. This ceiling is mandatory for 2022, the finance ministry also said in its document.
In 2022, the cap on reimbursable financing, which can be contracted by the administrative-territorial units/subdivisions is in the amount of RON1.6 billion and the cap on drawings from reimbursable financing contracted, or to be contracted by the administrative-territorial units/subdivisions, is in the amount of RON2 billion each, the document reads.