• Thursday, 27 June 2024

Supplementary budget aims to maintain stability and support the economy, says Besimi

Supplementary budget aims to maintain stability and support the economy, says Besimi
Skopje, 13 June 2022 (MIA) – The proposed supplementary budget has been designed to meet two main goals, namely maintaining of macroeconomic stability, which is considered key for further growth and development of the economy, and supporting of the economy to pre-pandemic levels as well as maintaining of social security, Finance Minister Fatmir Besimi said speaking at the Parliament’s Financing and Budget Committee on Monday. Under the document, according to him, support targeted for the citizens and companies to overcome the challenges stemming from the new global crises should be realized. It will be achieved through anti-crisis measures, rise in pensions and minimum wage, increased support for social categories and growth of farmers’ subsidies so as to stimulate domestic production, Besimi said. “An ambitious investment agenda in infrastructure of over one billion euros should be implemented in order to stimulate economic growth in the middle of an economic slowdown and fiscal sustainability and maintaining of macroeconomic stability,” the Finance Minister told MPs. Funding for anti-crisis measures is also planned under the supplementary budget, adopted by the government in May, as well as other measures for targeted support to cushion the crisis, according to Besimi. “The first stimulus package included general measures to slow down the inflation spiral. The coming measures will focus more on certain target groups, hit the hardest by the crisis. This has been recommended by the international financial institutions, including IMF and the World Bank and also the European Union,” he said. Total revenues are planned at 245.8 billion denars, 2.9% up compared to the budget’s initial projections. The planned level of tax revenues is up five percent compared to the budget. Total planned expenditures are at 288.5 billion denars, up 5.9% compared to the initial 2022 projections. Salary payment expenditures are projected at 33.2 billion denars, including the new job control effects, public administration optimization, as well as the effect from aligning the pays of employees in institutions using taxpayers’ money with the minimum wage. Under the budget revision, current transfers are planned at 189.7 billion denars, nearly 19 billion denars up compared to the 2022 plan. Moreover, additional 3.2 billion denars will be provided to subsidize farmers in order to stimulate yields and cushion price pressure on basic foodstuffs. Transfers to local self-government units will increase to increase pays for kindergarten and school staff starting from September 2022. Pensions will also rise. The Parliament’s Financing and Budget Committee on Monday kicked off debates on the supplementary budget. The organization of trade unions of Macedonia has said it will propose an amendment demanding that money should be secured to increase public sector salaries by 2,806 denars