site.btaEconomic Policy Committee Approves State Budget Extension on First Reading

The National Assembly Committee on Economic Policy and Innovation approved on first reading a Council of Ministers motion to extend the timeframe for implementing the state budget for 2022. The committee voted 12 "in favour", with 8 abstentions, to recommend to the full house to extend the validity of provisions of the 2022 State Budget Act, the 2022 Public Social Insurance Budget Act and the 2022 National Health Insurance Fund Budget Act.

The government-sponsored bill seeks to preserve all current policies and the conservative approach to incomes set in this year's state budget scheme, the Finance Ministry said.

Caretaker Economy Minister Nikola Stoyanov said that all activities of the Ministry of Economy will be financed the way they have been financed up until now. He said extension is the best solution. Stoyanov's view was supported by Innovation and Growth Minister Alexander Pulev.

BSP for Bulgaria MP Rumen Gechev said that changes can be made between the first and second readings of the bill. He noted that the Finance Ministry has said they have several draft versions of a 2023 state budget. "There is perhaps no precedent internationally for a situation where no draft budget is moved, only an extension proposal without any numbers at all," Gechev argued. He sees wrong messages sent to the public and Parliament. "We will support the budget on first reading, because we believe that adopting a budget is more important than electing a government," he said.

Daniel Lorer (Continue the Change) said the government has a duty to propose a new budget for next year.

Martin Dimitrov (Democratic Bulgaria) said the motion to extend the period for the implementation of the 2022 budget is against the law. "The caretaker government should have consulted the National Assembly," Dimitrov insisted. According to him, the normal way to go would be to take the three budget versions drafted by the Finance Ministry and discuss them with the legislature.