Romanian Govt Approves 4th Budget Revision This Yr – Sources

The revision includes cutting expenses of more than 2 billion lei (EUR1=RON 3.7933) from 18 ministries and public institutions, and the funds will be mainly redirected to the Labor Ministry for pensions and state aid, sources close to the matter told MEDIAFAX on Monday.

Thus, the Education Ministry’s budget will be subject to a cut of RON570 million, the Ministry of Agriculture’s budget will be cut by RON430 million, the Ministry of Transports will shed off RON420 million from its expenses, the Defense Ministry expenses will be reduced by RON200 million, the Ministry for Development, Public Works and Housing’s budget will be cut by RON166 million, while the Ministry of Environment’s budget will be RON100 million lower.

Also, the total expenses of Government General Secretariat will be down RON30 million, the Ministry of Foreign Affairs down RON25 million, the National Sanitary Veterinary Authority and Food Safety down RON20 million, the Romanian Television Company down RON19.5 million, the Prime Minister’s Chancellery down RON15 million, the Senate down RON13 million, the expenses of the Ministry for Small and Medium Sized Enterprises, Commerce, Tourism and Liberal Professions will be down RON10 million, the Chamber of Deputies down RON10 million, the Service for Protection and Security with RON10 million, the Ministry for Communications and Information Technology down RON6 million, the High Court of Justice down RON5 million, while the budget of the Academy of Scientists in Romania will be down RON2.8 million.

The funds will mainly go to the Labor Ministry, with around RON1 billion, to pay social care rights for December. Also, the Health Ministry will receive RON70 million for payments to the staff in the public healthcare sector, the Public Ministry with receive RON10 million to ensure its current expenses by year-end, the Romanian privatization Authority AVAS will receive RON2.2 million, to pay wages in the defense sector, while Economy Ministry will receive RON314.5 million, to pay interests of the direct internal debt, fees and other internal loans related costs.

The remaining RON570 million will go for decentralized expenses in counties, communes, cities, towns and sectors in Bucharest capital city.

The redirection of funds will have no impact upon the budget deficit.

Early September, the Romanian Government approved this year’s third budget revision, maintaining the budget deficit limit at 2.3% of gross domestic product, but increased its GDP forecast to RON495 billion from RON475 billion.