1st August 2024, Skopje –GDP projection is realistic, though accompanied by risks. The significance of realistic projections resulting from the unrealistic GDP generates unrealistic expenditures in the budgets of the users, eventually being spent unproductively. This issue was addressed at today’s press conference by Minister of Finance, Gordana Dimitrieska-Kochoska.
“The first quarter and the second-quarter indicators suggested that projected growth of 3.4% under the initial Budget will not be attained. Therefore, the 2024 GDP growth forecast has been revised to 2.1%. We are taking up activities focused on capital expenditure execution, thereby insisting on implementation of projects, all to the end of boosting the economy. Economy is the priority, and we are striving towards it”, Dimitrieska-Kochocska highlighted.
The Minister addressed its importance since many of the Budget expenditures are dependent on the GDP percentage. On the other hand, as clarified at the press conference, there are users which are failing to execute budget funds, however there are budget users which due to inappropriate actions cause great harm to the budget, such as the payment of court rulings, with only the European Court for Human Rights’ rulings alone amounting to above EUR 3 million, as well as commitment fees amounting to EUR 27 million since 2017 onwards. Such actions, as Minister underscored, will not be tolerated.
“2024 Budget expenditures are higher due to which Supplementary Budget was prepared, in order for the money to be provided for all liabilities required by law, as well as servicing the respective arrears. Higher expenditures are being expected in the years to come, therefore when projecting the 2025 Budget, priorities are to be set, with funds being provided therefor”, Minister of Finance said.
She added that in the first half of this year, revenue collection was lower by 3.5% compared to the projections, however, sound revenue collection was recorded in July.
“By July inclusive, VAT revenue collection was higher by 20.8%, with corporate income tax and personal income tax revenue collection being higher by 20.1% and 18.1%, respectively. Guidelines have been given to the institutions under the competence of the Ministry of Finance, in view of undertaking certain measures aimed at providing better services and generating more efficient revenue collection”, Minister of Finance, Gordana Dimitrieska-Kochoska said.
