Romania's Parliament approves 2017 budget

Romania’s state budget for this year was approved yesterday in the Parliament with 208 votes for and 105 votes against. Prime Minister Sorin Grindeanu said that the budget deficit will remain within the limit of 3% of the GDP. He added that the budget project is meant to give a signal of stability to investors, given that the Government allotted an extra RON 10 million (EUR 2.2 million) for investments, compared to last year. The Health Ministry gets a budget of RON 33.8 billion (EUR 7.5 billion), up RON 3.5 billion compared to 2016, as well as commitment appropriations (amounts committed but not paid) of RON 3.9 billion. This represents 4.15% of the GDP. The Education Ministry is allocated a budget of RON 25 billion (EUR 5.5 billion), up RON 3.3 billion compared to 2016, namely 3.1% of the GDP. The commitment appropriations amount to some RON 580 million. The Labor and Social Protection Ministry gets a budget of RON 79.7 billion (EUR 17.7 billion), or 9.8% of the GDP. The money will be used to finance the increases in the gross minimum wage, and the minimum pension, and to finance the “First Rent” and “First Wage” programs. In the case of the Development Ministry, the budget amounts to RON 6.9 billion (EUR 1.5 billion), namely 0.85% of the GDP, less by RON 1.4 billion compared to 2016. Besides that, the commitment appropriations amount to RON 30 billion (EUR 6.6 billion). The money will be used to build 2,500 kindergartens and 2,000 schools, to provide running water, sewage services, medical services in rural areas, and for the construction of 70 apartment blocks, according to the Government. editor@romania-insider.com