• Thursday, 04 July 2024

Besimi: Budget savings, reallocation provides for EUR 61 million to deal with energy and proce crisis

Besimi: Budget savings, reallocation provides for EUR 61 million to deal with energy and proce crisis
Skopje, 1 November 2022 (MIA) – With savings in the budget and reallocation of funds among budget beneficiaries, we secured an additional Mden 3.75 billion (EUR 61 million) to deal with the energy crisis, i.e. funds for ESM, for domestic energy production and overcoming the consequences of the energy crisis, says Finance Minister Fatmir Besimi. With the decision on reallocation of funds among  budget beneficiaries and among funds, which was adopted on Tuesday in the Parliament, a total of Mden 5.15 billion are reallocated, secured on the basis of savings on non-priority items and items where there is less realization than planned , as well as from funds that were not realized in programs according to the CAPEF mechanism. “The purpose of the reallocation is to respond to the challenges of the current energy and price crisis. Therefore, the largest part of the reallocated funds, Mden 3.75 billion, is aimed at the program for measures to deal with COVID-19 and other anti-crisis measures, i.e. they will be directed to ESM for the production of electricity from domestic capacities, which enables a lower price for end consumers on the regulated market, i.e. households and about 70 thousand companies, as well as funds for new anti-crisis measures,” the Ministry of Finance said. The decision also provides for additional funds for municipalities, for environmental projects, etc. In addition, Mden 2.25 million are provided for the improvement of conditions in penitentiary institutions, Mden 200 million in the economic zones to support investments and for construction activities, additional funds for environmental protection are provided in several subprograms, including Mden 60 million for measures to control and eradicate African swine fever. “Mden 20 million have also been provided for the protection of Lake Dojran Lake, i.e. necessary funds for electricity for smooth functioning of the hydro system of Lake Dojran. Funds are provided through savings, among other , through reduction of non-productive spending by several budget beneficiaries, such as the reduction of contractual services, purchase of vehicles, furniture, travel expenses, etc.” said the Finance Ministry. The Ministry adds that the decision is just a continuation of what the Government has been undertaking since the beginning of the crisis, and decisions are made based on in-depth analyzes of the situation and according to indicated needs. The 2022 budget revision, notes the Finance Ministry,  provided Mden 4.7 billion for the energy crisis, and Tuesday’s decision provides additional Mden 3.75 billion, which will be used to respond to the challenges of the energy and price crisis, to be able to come out of the crisis with the least consequences.