Bulgaria’s 2010 budget
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18 November 2009 | 06:48 | |
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The Bulgarian parliament has held an extraordinary session Tuesday to discuss the 2010 budget. The 2010 state budget was approved on first reading.
Trade unionists describe it as “a budget of panic” with worsening shortage of funds for healthcare and social policy assisting the people hardest hit by the crisis.
The strike that health workers planned to stage outside the National Assembly was cancelled.
The Bulgarian Socialist Party should not vote in favor of the 2010 budget, called Sergey Stanishev at a meeting of the party’s National Council.
In the night after the mayoral elections in Sofia, the Order, Law and Justice (OLJ) party promised to back the budget bill.
We made one of the biggest blunders in the newest Bulgarian history: leftist
I fear that despite you understand you will not acknowledge what has happened on Tuesday. We have made one of the biggest blunders in the newest Bulgarian history. This is what MP from Coalition for Bulgaria Angel Naydenov said in the Parliament, FOCUS News Agency reporter informed.
“This blunder can be seen in the refusal to defend the budget draft bill 2010. This blunder can be seen in the demonstration of rude trampling of the discussion. You do acknowledge it, probably intoxicated by the feeling that you are a majority and the power, however, it exists,” Naydenov said.
What you do is unacceptable.
Tsvetomira GEORGIEVA
I have never, on any occasion, prompted MPs so much to make a statement: speaker
None of the MPs who have asked to make a statement during yesterday’s debate on Budget 2010 have attended the session. This is what the speaker of the Bulgarian Parliament Tsetska Tsacheva said during the plenary session, FOCUS News Agency reporter informed.
Tsacheva said that yesterday (Tuesday) only the parliamentary group of the Movements for Rights and Freedoms (MRF) has tabled a list with the names of three MPs who wished to make statements. None of the other groups have tabled such a list, which has not allowed an order of the statements to be set up. The management of the National Assembly has tried Tuesday to get a list with the names of the people who wish to make statements, Tsacheva said.
“I have never, on any occasion, prompt MPs so much to make a statement,” she said. She added she if she has broken the rules by not giving the word the to MPs from the MRF then deputy speaker of the Parliament Hristo Biserov (MRF) would have make a remark.
Tsvetomira GEORGIEVA
MRF has tabled written application on making statement on Budget 2010, were not given the word
The parliamentary group of Movements for Rights and Freedom (MRF) has tabled a written application it will make a statement on Budget 2010. This is what Lyutvi Mestan said in the Parliament, FOCUS News Agency reporter informed.
Mestan explained the Rules on organization and activity of the National Assembly gives opportunity to raise hand or tabling written application to make a statement. Having in mind we have tabled written application, speaker of the Parliament has to issue a list of the number and the order of the MPs who want to make a statement and to call on them one by one.
“We, from the MRF cannot ask to make statements from our place because we know our place is the Parliament. There are two other groups before us- the party of Citizens for European Development of Bulgaria (CEDB) and the Coalition for Bulgaria. The biggest expected biggest discussion has not been held. MRF has been ready for the discussion,” Mestan.
Tsvetomira GEORGIEVA
We have said many times parliament does not operate efficiently and transparently: leftist
Sofia. The MPs from the parliamentary group of Coalition for Bulgaria did not take the floor during the discussion of the budget for the next year, because the governing party should take it first, Sergey Stanishev, chairman of the parliamentary group of Coalition for Bulgaria, said at a news briefing, cited by FOCUS News Agency.
He says according to the normal parliamentary practice the representatives of the movers are the first to take the floor and defend their proposal and then the opposition starts talking. However, today the MPs from Citizens for European Development of Bulgaria did not defend the draft budget in the plenary hall and that’s why Coalition for Bulgaria did not take the floor, he said.
Stanishev was not in the plenary hall when the budget was put to the vote, because he says there is no meaning in being present.
“In the recent months we have said many times the Bulgarian parliament does not operate efficiently and transparently. There are no discussions in it; there are no laws to adopt after serious discussions. The parliament has become an ordinary machine of voting for the governing coalition, more precisely for the government and prime minister,” said Stanishev.
Tsvetomira GEORGIEVA
This is the best budget in the whole EU: Bulgarian finance minister
The gravity of the situation is understood; all MPs admit it, Bulgarian Finance Minister Simeon Dyankov said in the parliament’s lobby, commenting on the adoption of the first reading of the 2010 budget without a debate, FOCUS News Agency reported.
He says this is the best budget in the entire EU and will enable Bulgaria to hold talks on ERM II accession in the shortest time.
We have already understood this is the only way for Bulgaria to handle and get out of the economic crisis as quickly as possible, said Dyankov and noted his ministry’s work on the budget preparation.
Asked whether the budget was censured, he said:
Adopting it [the budget] by vast majority is a big success for the government.
Veselina YORDANOVA
First reading of national budget bill adopted
The first reading of the national budget bill has been adopted without debates, FOCUS News Agency reports.
179 MPs voted. 135 voted in favor and 44 against. No MPs abstained.
Nobody, except for Democrats for Strong Bulgaria leader Ivan Kostov, participated in the debate.
Veselina YORDANOVA
The Blue Coalition ready to support government’s draft budget
Sofia. Blue Coalition is ready to support the government’s draft budget, said coalition’s co-chairman Ivan Kostov, cited by FOCUS News Agency.
The budget enables the country to walk the way to its ERMII accession, he added.
He says the budget provides measures to protect the country’s energy security.
We have reached an agreement to reduce the deadline for VAT refunding, said the MP.
We see there are guarantees for the construction of highways despite the extremely hard situation, he said.
Tsvetomira GEORGIEVA
Main priority in 2010 budget is all Bulgarians’ higher purchasing power
The main priority in the 2010 budget is all Bulgarians’ higher purchasing power, Finance Minister Simeon Dyankov said in the parliament, cited by FOCUS News Agency.
The draft budget for 2010 is hard, the hardest one in 10 years because of the extravagance of the three-party coalition, which brought the state to deficit at the end of its term in office, said Dyankov.
It is hard because it is adopted in the height of the economic crisis, he added.
The minster says the government is trying to balance the 2009 budget and achieve a balanced 2010 budget.
Veselina YORDANOVA
Decreasing budget resources entail determining priority areas: PM
The decreasing budget resources entail determining priority areas, Prime Minister Boyko Borisov said in the parliament, FOCUS News Agency reported.
The priorities in the budget are: social insurance, education – 4.2% of GDP, environmental preservation – 1.6% of GDP, transport and communications – 3.2% of GDP, healthcare – 4.2% of GDP, police and internal security – 2% of GDP.
Next year the government will have less finance available to implement sector policies, the prime minister said.
Health and education systems will be restructured. The administration will be slashed by 15%. The planned drop in the administrative expenses will make it possible to internally redistribute salaries, he added.
Tsvetomira GEORGIEVA
Bulgarian PM attends budget discussion in parliament
Bulgarian Prime Minister Boyko Borisov has arrived in the National Assembly to attend the 2010 budget discussion, as the parliamentary group of Coalition for Bulgaria called for presence, FOCUS News Agency reported.
Maya Manolova opposed the decision to vote on a long list of deputy ministers and experts who should be allowed in the plenary hall for the discussion, saying that would turn the parliament into a cinema hall.
“We miss one major figure who is supposed to be present at the adoption of his first budget,” she said, referring to the prime minister.
Tsvetomira GEORGIEVA
Bulgarian parliament to discuss first reading of 2010 Budget Bill
At an extraordinary session on Tuesday the Bulgarian parliament is to discuss the first reading of the 2010 Budget Bill. The decision for today’s session was made on Friday at the proposal of the Council of Ministers.
The 2010 budget envisages gross domestic product (GDP) of more than BGN 63 million.
The expenses under the consolidated fiscal program are projected to be BGN 26,4 billion, which is 19% less than the 2009 figures and BGN 435 million more than the expected fulfillment by December 31, 2009.
The budget plans a rise in the tax rates on some excisable goods, preserves the rates of the other direct and indirect taxes, and slashes the general social security burden by 2%.
The income from direct taxes is projected to drop by 20%, with the biggest drop being in the incomes from social and health insurance and incomes from corporate taxes.
The 2010 non-tax incomes are forecast to be BGN 3,4 billion, which is 11% less than the 2009 program. In 2010 the grants, with European ones accounting for most of them, are 32% less than in 2009.
The expenses on the social sector are 36.7% of all expenses in 2010, or 15.1% of GDP. In comparison with 2009 there is an increase of 2.3%.
The public spending on education in the recent years has been more than 4.0% of GDP. The 2010 budget plans spending of 4.2% of GDP.
The public spending on healthcare retains its 2009 level of 4.2% of GDP, with its nominal amount being BGN 2,6 billion.
The 2010 budget predicts expenses on environmental preservation of 1.6% of GDP compared to 1.3% of GDP in 2009.
The target expenses in 2010 amount to 3.1% of GDP. In 2009 they were 3.0% of GDP.
The capital expenditures under the consolidated fiscal program total 6.1% of GDP, 3.0% national budget investments and 3.1% European funds included.
In 2010 the government plans to preserve the direct tax rates, push up the indirect taxes on some excisable goods and cut social security burden in an effort to provide the best incentive to save jobs amid economic recession. As a result of the delayed crisis fallout in Bulgaria the 2010 budget predicts the national economy will shrink by 2% in real figures.