The Parliament keeps discussing the draft changes to the State Budget.
Today, the Agrarian Issues, the Environmental Protection and Natural Resources, the EU Integration and the Regional Policy and Self-Government Committees discussed the Draft, introduced by the First Deputy Finance Minister, Giorgi Kakauridze. He stressed the current economic processes, allowing the Government to introduce the changes to the Budget in terms of the increased incomes.
The budget, as is known, was planned during the pandemic under the absence of the expectations of the immediate restoration of the economy.
“Since March, we witness the positive dynamics and achieved the rapid restoration of the economy in April – economic growth achieved 5%, while the index for the same period of 2020 was 11.5%. It entailed the changes to the Budget, which increase the incomes by 1 175 ml GEL and taxes by 1 114.3 ml GEL. The changes cover three directions: reduction of the budget deficit, facilitation of economic restoration, including the acceleration of the infrastructural projects, and financing of the agriculture and implementation of new projects in the manufacturer sectors; and COVID management and relevant healthcare remedies”, - the reporter noted.
The key priority in this period was to reduce the deficit, and the offered changes allow the reduction from 7.6% to 6.9%, which gives the opportunity to reduce the debt by 54.6%. Extra incomes – over 1 billion – allow the healthcare remedies and increase of the assets for some Ministries, aiming at the financing of the economy-support programs.
The changes envisage the financing of the infrastructural projects, agriculture and manufacturer sector, including: “Development of Production”, “Facilitation of Tourism”, “Uniform Agricultural Project”, “Facilitation of Harvest”, “Renewed Regions” etc.
The Committee approved the changes.