Romania's Government to increase expenses on higher budget revenues

The second budget amendment from this year, which the Government plans to approve on Friday, will provide wage increases for doctors, extra funds for heating and municipalities as well as money for transport projects. The budget deficit target will be maintained at 1.86%, similar to the one in the first budget amendment from this year. It will be a positive amendment, as the budget revenues have increased more than estimated, which means that the Government has more money to spend, according to Prime Minister Victor Ponta, cited by local Profit.ro. The budget revenue collection has mostly increased due to the activity of Romania’s Tax Authority ANAF, Ponta said. Last year, Romania has negotiated with the International Monetary Fund and the European Commission a budget deficit of 2.5% of the GDP, but closed the year with a 1.5% deficit of the GDP, as the Government didn’t allocate money for investments. The Government has been facing the same difficulties this year, as public investments remained low while the state budget recorded a surplus in the first eight months. editor@romania-insider.com