/ / News

Belarus’ senators approve budget execution bill

MINSK, 28 June (BelTA) – On 28 June Belarusian senators have passed the draft law approving the report on the government budget execution in 2012, BelTA has learnt.

Presenting the draft law, Deputy Finance Minister Maxim Yermolovich informed that in 2012 the receipts of the government budget were estimated at Br95.2 trillion, the expenditures at Br95.9 trillion. The deficit was 0.1% of GDP (or Br0.7 trillion). At the same time the consolidated budget had a surplus of 0.5% of GDP or Br2.8 trillion (the threshold deficit level is to remain under 3% of GDP). “All economic security indicators related to the budget execution are within the security band. In 2012 Belarus made all due payments to repay and service the public debt,” the Deputy Finance Minister said.

The execution of the government budget in 2012 was associated with painstaking work to remove the external and internal economic misbalances. The economy expanded, however the GDP growth slowed down. The foreign trade surplus was a record high, real disposable income of households increased, the retail trade was more vibrant compared to 2011, the profitability of products, works and services in the manufacturing industry also rose, the exchange rate of the Belarusian ruble stabilized. For a number of objective reasons the head of state revised some budget targets, which allowed making the budget more balanced.

The 2012 budget was formed by tax and non-tax revenues and non-repayable receipts. The receipts made up 100.2% and expenditures 99.9% of the yearly plan. The major targets of the spending policy were to maintain a high level of social services, enhance the stability and competitiveness of the national economy, guarantee fulfillment of financial obligations.

“The execution of the government budget in 2012 was a tough task. We managed to maintain a focus on social spending and increase the quality of budgetary services, provide the necessary assistance to domestic manufacturers. The budgetary policy meets the priorities set by the head of state, namely utter thrift and abolition of non-priority spending, gradual reduction of government involvement in the economy, raising investments and enhancing self-reliance of domestic companies, and strengthening social security,” Maxim Yermolovich said.