The Committee discussed the Bill on State Budget 2021, introduced by the First Deputy Finance Minister, Giorgi Kakuridze, stating that the economic parameters have been drastically changed in spring. Providing the positive economic trends, the changes to the budget have been developed simultaneously to the economic restoration.
“The export-import, VAT-payer circulations, financial sector, net money transfers and other economic indices have been increased. Totally, the economic growth achieved 44.8% in April and was maintained in May, further increasing by 25.8%. In all, the economic growth according to 5 months constitutes 11.5%”.
As he added, the changes are oriented to 3 main objectives: reduction of the deficit, economic restoration, and pandemic management.
As the reporter also noted, despite the increased expenditure part, the changes reduce the deficit to 6.9% of GDP and the state debt to 54% of GDP. “It is a market scenario, implying 7.7% economic growth, though we cherish the optimistic expectations for further growth”, - the reporter noted.
The budget incomes are being increased by 1 bl. 175 ml GEL, and other incomes – by 250 ml. GEL. The budget assignments constitute 19 98.8 ml. GEL, which compared to the approved plan is increased by 1 114.2 ml. GEL. He also dwelt on the changes to the budgets of the Ministries and state organizations.
The Committee approved the Bill.
