The proposed budget rebalance for this year centers on technical adjustments to align with the new Regulation on the Organization and Operation of State Administration, speeding up capital investments, and addressing higher-than-expected revenue, according to the Ministry of Finance.
“Capital investments are progressing faster than initially planned, necessitating the reallocation of funds to projects with accelerated timelines. Additionally, the strong economic growth observed throughout 2024 and substantial revenue increases have prompted a need to revise the projections set by this year’s Budget Law,” stated the Ministry.
According to the revised budget projections, total revenues are anticipated to exceed the initial Budget Law estimates by approximately 56 million euros. Meanwhile, expenditures are expected to remain nearly the same, covering inherited obligations for former employees of “Radoje Dakić,” subsidies for companies employing individuals with disabilities, salaries for education sector employees, and the establishment of oil reserves.
“The planned budget deficit, in relation to Gross Domestic Product (GDP), has been adjusted due to the revised GDP forecast, which has increased from 7.0273 billion euros to 7.278 billion euros. The deficit is now projected to be 3.26 percent of GDP, a decrease of 0.09 percent,” the Ministry of Finance concluded.
