The challenge is huge - over the past three years, there have been unreasonable policies regarding the management of the country's public finances. This was said by the Minister of Finance Temenuzhka Petkova during a hearing in the National Assembly on the state of public finances before the preparation of the 2025 budget by the newly elected cabinet, as well as the goals that are set and the means with which they will be achieved. The submitters of the motion for the hearing are Yordan Tsonev, Elvan Gyurkas and Bayram Bayram from "DPS - New Beginning".
"We will continue to work to propose a budget with a deficit of up to 3 percent of the gross domestic product. The task is extremely difficult, during the debates it will become clear what measures we are proposing. The situation is very difficult and I will have to disappoint all the optimists," the minister also said.
Petkova presented an analysis of the Ministry of Finance experts on the management of public finances in the period 2022-2024, whose conclusion is that policies have been undertaken that have led to a rapid increase in expenses at a slower rate of revenue growth. Therefore, the 2025 budget will reflect all these policies in recent years.
"Pensions and salaries alone will form over 10 billion leva of the deficit," said the Finance Minister.
According to an analysis by the Ministry of Finance, budget revenues for January will be nearly 3.684 billion leva, and usual expenses and transfers would be 4.092 billion leva. This forms a deficit in the state budget of 407 million leva. For February, revenues are 2.267 billion. BGN and with the amount of usual expenses and transfers of BGN 4 billion, the deficit is about BGN 1.736 billion. For the month of March, revenues are BGN 3.063 billion, and expenses and transfers will be BGN 4.553 billion, which is why the deficit will amount to nearly BGN 1.491 billion.
The regular government withdrew the draft State Budget Act for 2025 from the caretaker government, committing to submit its own draft by February 14 of this year.
The management of public finances is currently operating under the terms of the so-called extension law, which provides that expenses this year shall not exceed the amount from the transitional year 2024. The period of validity of this principle, enshrined in the Public Finance Act, is until the end of March of this year.