Gov’t approves first draft of 2015 state budget

Georgia’s Government has approved the initial draft of the state budget for next year, setting revenues at almost 7.93 billion GEL and expenditures at 7.89 billion GEL.

At the Ministers Cabinet meeting today it was revealed the total budget of Georgia in 2015 will be 9.4 billion GEL. The draft of the state budget has already sent to Parliament for consideration and final approval.

The draft budget noted revenues and expenditures were up from this year’s projected levels, of 7.22 billion GEL in expenditures and 7.32 billion GEL in revenue.

Targeted tax revenues have been set at 7.46 billion GEL - 64 million GEL more than the forecast targeted this year.

Georgia’s Finance Minister Nodar Khaduri said the country’s economic growth this year and 2015 forecast had had been considered during the drafting period of the state budget.

The Government forecast economic growth next year to reach five percent. However, the gross domestic product (GDP) deflator, which is a measure of the level of prices, was forecast to reach four percent.

As for finance sources, the state budget will be financed by:

• Tax revenues valuing 7.46 billion GEL

• Grants worth 180 million GEL

• And other income worth 290 million GEL

Meanwhile, next year the Government’s reserve fund will increase by 20 million GEL and amount to 70 million GEL. The transfer amount to local self-governmental units will also increase by 54.1 million GEL and will amount to 850 million GEL.

Ten Governmental departments will have their funding increased next year, three will be offered less funds and five will remain the same.

See below how the Government planned to allocate funding to each Ministry in 2015:

• Ministry of Health, Labour and Social Protection

2015: 2.75 billion GEL

2014: 2.65 billion GEL

• Ministry of Regional Development and Infrastructure

2015: 955 million GEL

2014: 875 million GEL

• Ministry of Education and Science

2015: 828.9 million GEL

2014: 754.3 million

• Ministry of Defence

2015: 625 million GEL

2014: 660 million GEL

• Ministry of Internal Affairs

2015: 600 million GEL

2014: 570 million GEL

• Ministry of Agriculture

2015: 291 million GEL

2014: 265.5 million GEL

• Prison System Ministry

2015: 155 million GEL

2014: 157 million GEL

• Ministry of Energy

2015: 135 million GEL

2014: 114.6 million GEL

• Ministry of Economy and Sustainable Development

2015: 120 million GEL

2014: same

• Finance Ministry

2015: 100 million

GEL 2014: same

• Ministry of Foreign Affairs

2015: 100 million GEL

2014: 90 million GEL

• Ministry of Culture and Protection of Monuments

2015: 80 million GEL

2014: 85 million GEL

• Ministry of Justice

2015: 65 million GEL

2014: 60.5 million GEL

• Ministry of IDPs from the Occupied Territories, Accommodation and Refugees

2015: 60 million GEL

2014: 48 million GEL

• Ministry of Sport and Youth Affairs

2015: 55 million GEL

2014: same

• Ministry of Environment Protection

2015: 35 million GEL

2014: 31 million GEL

• State Ministry for European and Euro-Atlantic Integration

2015: 2.8 million GEL

2014: same

• State Ministry for Reintegration

2015: 1.3 million GEL

2014: same

• State Ministry for Diaspora Issues

2015: 90 million GEL

2014: same