/ world today news/ Despite the many criticisms and comments about the state’s staggering indebtedness in 2015, this will not be a record, the “Sega” newspaper reports in tomorrow’s issue.
The record was actually set last year, because with the 2014 budget update, it was practically decided to increase the ceiling for the new debt for the second time and it reached BGN 8.9 billion. So it turns out that in just two years – 2014 and 2015 – the governments will burden the Bulgarian taxpayers with the payment of a total of 17 billion BGN of new taxes. It is precisely because of this bad trend that in the coming years only the interest on the servicing of government loans, not counting the repayment installments, will exceed the colossal amount of BGN 1 billion.
However, some of the new loans are used to pay off the old ones, so nominally the state debt next year will not grow by the 8.1 billion BGN planned for withdrawal, but by less. The Finance Ministry expects this year to end with a total of BGN 22.5 billion in liabilities to external and internal creditors, and according to the just adopted budget at the end of 2015, Bulgaria will have a maximum of BGN 24.5 billion in total debt.
The parliament approved the main financial plan of the state for next year on the night of Saturday almost without debate, in the absence of the BSP and with the votes of only 106 deputies. Four were against and six abstained.
Budget 2015 predicts a modest growth of the economy – only 0.8%, a weak increase in revenues and an increase in expenses, with which the deficit in the treasury will be exactly 3% of GDP – which is the ceiling according to European rules. Part of the new debt of BGN 8.1 billion will go to fill this 3% excess of revenues over expenses.
Revenues in the treasury are expected to be over BGN 18.2 billion, expenses – a little over BGN 9 billion, and transfers – BGN 10.4 billion. Estimated tax revenues are BGN 16.6 billion. Bulgaria’s contribution to the budget of the EU will be close to a billion – BGN 979,872 million.
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