GOVERNMENT APPROVES SUPPLEMENTAL BUDGET
admin1 – October 12, 2006 – 1:15pm

The Government gave its go-ahead to the supplemental budget 2006 in which revenues are projected at 75.244 billion denars and expenditures at 76.253 billion denars with a deficit of 0.6 percent of GDP as agreed upon with the IMF.

The supplemental budget is made because the realization of certain activities is mismatched with the budget beneficiaries' needs. The Ministry of Education will be approved more funds in the supplemental budget to pay for the heating of schools and settle utilities.

Money will also be allocated for executed court ruling payments, for agriculture, and for the Pension and Disability Insurance Fund given that the number of insurees who moved to the second private pension insurance pillar exceeded the projection.

Once it is rebalanced, this year's budget will increase by almost 100 million euros. The Government realized it needed additional 22 million euros for payment of executive court rulings, 10 million euros for the new sports arena, just as much for settling electricity and heating debts of certain ministries and 1.5 million euros for two installments of the agreement for Microsoft's license.

Finance Minister Trajko Slaveski does not expect any major problems in passing the supplemental budget considering that it already received a go-ahead from two government commissions.