PM Emil Boc To Redraft Budget

The newly nominated Executive is to redraft the state budget and the social security budget for 2009, which was designed by the liberal government it replaces after the November 30 elections.

The current team does not yet have a clear evaluation of how the 2008 budget was executed and will get in January the prognosis for the economic evolution in 2009, governmental sources said.

The past liberal government approved the 2009 budget plan in October, but the Parliament did not pass a vote on it. It planned for state revenues to arrive at 38.6% of the GDP, or 223.4 billion lei, and for expenses to rise at 40.6%, or 235.1 billion lei. In other words, the previous government planned for a 2% budget deficit, while forecasting a 6% growth rate for the economy.

The GDP was put at 578.5 billion lei.

According to sources, the newly appointed government of the social democrats and liberal democrats coalition plans for a 1.7% budget deficit, with both revenues and expenses shrunk at 32.5% of GDP and 34.2% of GDP, respectively. (Mediafax)
 

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