MPs Adopted the 2021 Budget Framework with a Deficit of BGN 5bn

Парламент бюджет Менда Стоянова

Parliament adopted the 2021 state budget framework at second reading. 94 MPs voted in favor and 69 voted against. BGN 5,484 billion will be the deficit in the Treasury next year.

The budget foresees revenues in the amount of BGN 27.051 billion, expenditures in the amount of BGN 15.817 billion and budgetary relations (transfers) in the amount of BGN 15.268 billion. GDP growth of 2.5 % is set.

Together with the revenues and expenditures of the Consolidated Fiscal Program (the state budget together with the budgets of municipalities, the judiciary, the health fund and the State Social Security, etc.) the deficit in 2021 will be smaller – BGN 4.9 billion.

 A buffer of BGN 600 million is planned in case the situation with the COVID-19 pandemic deteriorates and leads to the need for emergency provision of resources.

BSP did not support the proposed budget because, according to the Socialists, it violates financial stability and will put the state in a financial debt spiral.

The majority rejected the BSP's proposal to increase revenues by BGN 1.34 billion and expenditures by more than BGN 500 million, which the left said would reduce the deficit. The BSP's proposal to increase funding for higher education and science was also not accepted.

The budget of the Council of Ministers was voted to be nearly BGN 67 million as the maximum amount of commitments for expenditures that can be made in 2021.

BGN 1.5 million revenue and BGN 83 million costs are recorded in the budget of the National Assembly.

The President's Administration's budget provides for approximately BGN 9 million in costs.

BSP leader Korneliya Ninova insisted on stopping the budget vote because it did not include cabinet measures to help those affected by the restrictive measures because of the epidemic. She pointed out that these measures will probably be included because they will be transferred between individual items and asked what will be done on those items from which it will be taken.

"Stop voting on this budget, Bulgarians need support, everyone should feel the care of the state. And she needs management with common sense, predictability, calm and security," Ninova announced.

The Socialists have called for police salaries to rise by 30%, not just 15%, even though money is being poured into an unreformed system. MP Ivan Ivanov announced that it will eventually end up "like last year" and the salaries will be raised with the requested amount belatedly with a decision of the government. "Stop being stubborn, do it now. They will keep you safe and you will be glad you helped them," he said.

In the end, the MPs accepted the government’s ddraft, in which the personnel costs in the Ministry of Interior for 2021 are BGN 1.813 billion.

The MRF's proposal to set up a state platform for donations with BGN 1 million from the budget was rejected.

The idea of Dora Yankova from the left to allocate BGN 3 million was also for repairing and renovating by centers for protection of women subjected to domestic violence was not accepted either.

The Chairwoman of the National Assembly Tsveta Karayancheva announced she would vote in support of the idea.


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