Republic
08.12.2005
The draft law “On the budget of the Republic of Belarus in 2006” is socially oriented like the one in 2005 and intends to develop and ensure social guarantees of people, BelTA has been told in the president’s press service.
According to the bill, in 2006 the budget expenditures will amount to Br26,64 trillion, revenues – Br25,51 trillion, or 24.2 per cent and 26.4 per cent more from this year. With regard to GDP expenditures will increase by 1.41 per cent (from 34.58 per cent to 36 per cent). In absolute terms budget expenditures in 2006 will go up by Br5,2 trillion, revenues – Br5,33 trillion. The expected deficit of the budget will account for Br1,13 trillion (or 1.5 per cent to GDP).
The draft law aims to reduce the tax load on the country’s economy which is projected at 1.3 per cent to GDP. Thus, about Br1 trillion will remain at disposal of economic entities. This will be achieved mainly by dint of abolishing the duty to local specialized budgetary housing-investment funds created by the oblast and Minsk city councils of deputies, the duty to finance expenditures to maintain and repair housing resources, duty on natural persons for crossing the state border of the Republic of Belarus via the border crossing points.
The republican budget consolidates the funds of local specialized budgetary road funds and the environmental funds, state funds of assistance to employment and construction science development, social security fund of the ministry of labour and social security.
In 2006 the government will continue the policy aimed at improving the quality of life of citizens of Belarus.
Thus, expenditures on education, healthcare and social policy in 2006 will surge by 17.6 per cent (or by Br1,74 trillion to make Br11,64 trillion (or 15.7 per cent to GDP). About 44 per cent of the republican expenses will be spent on these purposes.
Investment in healthcare will be up by 11.3 per cent and education – by 21.9 per cent as against 2005.
Expenditures on social policy will account for Br9,9 trillion or 17.7 per cent more over the expected level in 2005.
Of them expenses to pay pensions, welfare benefits and other payments will account for Br9,33 trillion (94.2 per cent of the total expenses on social policy), or Br1,5 trillion more from 2005; benefits to citizens and families raising children - Br221 billion or Br8,63 billion more than in 2005; to provide housing – Br212,32 billion or Br28,48 billion more.
The budget allocates Br30,6 billion /15 per cent more than in 2005/ on providing participants of the Great Patriotic War with vouchers for recuperation and treatment in sanatoria and health facilities.
In 2006 the republican budget will authorize funds for treatment and recuperation of some 5,9 thousand disabled people under 18 years old.
Some Br2,4 billion will be aimed at providing disabled people with technical means of social rehabilitation.
Besides, the program to mitigate the Chernobyl consequences envisages Br7 billion worth of interest-free loans for construction or purchase of housing for disabled people whose disability is attributed to the Chernobyl disaster. These expenses will be financed from the republican budget.
In 2006 the republican budget plans to allocate over Br2,36 trillion /in 2005 – Br1,77 trillion/ on the village revival program including Br1,91 trillion – from the republican fund on support of agricultural manufacturers.
The republican budget 2006 stipulates expenditures on culture, sports, physical training and mass media at the total amount of Br367,93 billion /or 35.8 per cent increase over 2005 /.
The bill has been worded in a new budgetary classification.
According to the new classification, the sources for forming of specialized budgetary funds and social security fund have been included into the budgetary revenues.
The new classification of expenditures cuts downs the number of articles and sub-articles of the functional classification of budgetary expenditures tagging them to the main functions and spheres of the state activity.
The foresaid amendments seeks to reflect more precisely budgetary expenditures in major areas, increase transparency of operations with budgetary funds, bring the budgetary classification in line with international standards on record and statistics of state finances.