2017 State Budget Reaches Parliament

Government submits final draft of state budget for 2017 to Parliament for approval.

Daniela Budu, 01.02.2017, 13:21

The Romanian Government has adopted the draft laws on the state budget and social security budget for 2017. The law relies on an expected 12 billion-euro hike in Romanias GDP as compared to the previous year. Finance Minister Viorel Stefan explains:

Viorel Stefan: “The main macroeconomic forecast we used in drawing up the budget for 2017 are an economic growth rate of 5.2%, a budget deficit of 3%, revenues standing at 56.6 billion euros and spending at 62 billion euros. We estimate an inflation rate of 1.4% and an unemployment rate of 4.3%.

According to Viorel Stefan, the budget for healthcare has seen a significant increase. The priority of the Health Ministry for 2017 is to allot an additional 155 million euros for subsidized and free medicine, building regional hospitals, fitting each county hospital with a computed tomography scanner, purchasing mandatory vaccines for children and fitting seven hospitals with linear accelerators for cancer treatment.

Finance Minister Viorel Stefan says an additional 1.4 billion euros have been allotted to the Labour Ministry as compared to 2016, in order to help sustain two important decisions, namely increasing the national minimum wage to 320 euros starting February 1 and increasing pensions starting this spring.

The Transport Ministry got an additional 60% funding as compared to the previous year for the construction of new motorways and wrapping up construction works for a new subway line in Bucharest. The Culture Ministry will get additional funds too, as salaries of employees working in performing arts institutions will also be increased. The state budget for this year also observes Romanias commitment towards its international partners in NATO, regarding the allotment of 2% of the countrys GDP to the field of defence.

(translated by: Vlad Palcu)