Lawmakers pass 2012 draft state budget in two readings

The MPs of the ruling alliance adopted the 2012 draft state budget in the first and second readings. The Communist group did not take part in the voting. They left the assembly hall, arguing their proposals weren’t taken into account, Info-Prim Neo reports. Minister of Finance Veaceslav Negruta said the draft state budget law for next year derived from concrete economic conditions and the budgetary-fiscal policy designed to ensure the macroeconomic stability. “The goal is to reach a balance between the taxation burden borne by those who pay taxes to the budget and the necessities of those who use public money from the state budget. Currently, the budgetary spending is much larger than the possibilities offered by the revenues,” said the minister. The state budget provides for incomes of 21.36 billion lei, an increase of 11.9% on last year, and for an expenditure of 22.16 billion lei. The deficit will be 797 million lei and is to be covered with money obtained from the sale of state securities, from foreign sources and from the privatization of public patrimony. Grants of about 2.4 billion lei are projected to be obtained in 2012. 981 million lei will be used to support the budget. Approximately 1.3 billion lei will be earmarked for allocations for the population, mainly for pensions, allowances for servicemen and police officers and student awards. The public amenities and water supply will consume 71.3% of the capital investments planned for 2012. A sum of 997 million will be used for road management. 106 million lei will be transferred to the local public authorities. 23.3 million lei will go to extend the system for providing state guaranteed legal assistance, 30 million lei – to maintain public order, for defense and national security and for reforming the bodies of the Ministry of the Interior. An additional 12.8 million lei will be allocated for maintaining the penitentiary institutions. A sum of 32 million lei was allocated for purchasing school buses for general education institutions, 12 million lei for buying textbooks in a centralized way, while 10 million lei for instituting a new program for studying Romanian in the education system. About 2.2 billion lei will be transferred from the state budget to the mandatory health insurance funds. The childbirth allowance will be raised by 300 lei, while the social benefits will total 48.6 million lei. The road fund will represent 1.25 billion lei, which will be used to maintain and repair the roads. The revenues of the 2012 national public budget, which includes the state budget, the state social insurance budget, the mandatory health insurance funds and the budgets of the territorial-administrative units, add up to 34.6 billion lei, while the expenditure – to 35.4 billion lei. The deficit will constitute 0.9% of the GDP in 2012, a 1.9% decrease compared with this year’s deficit projected at 1.9%. The 2012 draft state budget will be adopted in third, final reading next week.

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