ECONOMY FINANCE&BANKING

Labour, education, health ministries to get largest share of first national budget revision

The first national budget revision suggested this year by the Finance Ministry indicates an increase by 2.92 billion lei of the Government’s aggregate revenues and a similar increase in the Government’s outlays, with the ministries of labour, finance, home affairs, education and health to get the largest share.

“The draft posted on the website of the Finance Ministry reads keeping the 2016 cash budget deficit at 2.8 percent of the Gross Domestic Product (GDP) and at 2.905 percent of the GDP the deficit according to ESA terms. The document secures additional funds for healthcare and education spending, the amounts needed to implement legislative measures approved this year and to continue feasible investment projects, with the money provided to cover the works that could be carried through by the end of the year,” the Finance Ministry said in a press statement released on Friday.

It says the revision draft is the outcome of talks with the main public employers.

 

Labor Ministry gets bulk of the money at budget revision – 2.80 bln lei

 

The Ministry of Labour, Family, Social Protection and the Elderly receives the bulk of the amount made available at this year’s first budget revision, specifically 2.80 billion lei that will be directed to social assistance, informs a release of the Public Finance Ministry.

Of the 2.80 billion lei, 1.4 billion are assigned for full payment of social assistance benefits (child-rearing allowances, welfare, child care benefits, allowances for the disabled); according to the Ministry, 1.42 billion lei represent the balancing subsidy to the state social security budget.

The minimum child-rearing allowance increased as of July 1 to 85 percent of the nationwide gross minimum wage, specifically to 1,063 lei (the minimum wage is 1,250 lei) from 600 lei and the parents who opted for a one-year parental leave can reconsider their decision to take the extended two-year leave. The cap on the child-rearing allowance was also removed so that the mother will collect 85 percent of her net earnings.

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