30th August 2016, Lider – Financing and Budget Parliamentary Commission commenced the debate on Supplementary Budget, aimed at ensuring funds for damage compensation for the floods that took place on 6th August. Additional funds in the amount of EUR 36.4 million to fully compensate the flood-caused damages is proposed to be provided in the Supplementary Budget.
At the Financing and Budget Parliamentary Commission, Minister of Finance, Kiril Minoski, elaborated that the Government, taking into account the immensity of the natural disaster that happened on 6th August and the devastating floods in terms of the number of affected households and the level of damages caused, adopted decision to ensure full assistance for those having suffered from the flooding, which also means 100% compensation to the citizens in the flood-affected regions.
– Additional funds in the amount of Denar 2,240 million are to be provided under the modifications and amendments to 2016 Budget of the Republic of Macedonia as permanent reserves aimed at overcoming the consequences caused by the natural disaster. Additional funds earmarked to repair the damages are provided partly from the savings at certain positions at the budget users, as well as by increasing the budget deficit, Minoski pointed out.
He also added that the Government, with support by the World Bank, UNDP and the European Commission, launched the analysis according to the methodology of the so-called Post Disaster Recovery Assessment, aimed not only at assisting in creating a comprehensive analysis of the costs incurred due to the devastating floods, but also at assisting in designing measures at short-, medium- and long-term which the Government is to undertake so as to minimize the damages that would occur as a result of natural disaster, if they happen in future.
– I would like to remind the MPs of the images from the disastrous floods, leaving thousands of citizens literary without anything. Not only Supplementary Budget will be discussed in the Parliament in the next few days, but also the destiny of the thousands of citizens who need help, Minoski underlined.
Marjanco Nikolov from SDSM pointed out that should the Government cut 1.2% of the budget expenditures, funds for damage compensation to the citizens would be provided, without thereby increasing the budget deficit.
– I will mention several positions where expenditures could be cut within the Supplementary Budget. Expenditures in the position construction and reconstruction of administrative building of the Common Service Agency could have been cut, expenditures in the position economic promotion could have been revised downward, however, the elections are coming and there is a need to do marketing, expenditures in the position for building beaches in the Ministry of Transport and Communications could have been reduced, the people do not feel like going to the beach now, Nikolov stated.
Krsto Mukoski from VMRO DPMNE said that opposition SDSM request to stop some of the procurement procedures was a political trick, since should the government terminate the procurement procedures entering the advanced phase and having concluded contract therefore, it would have to pay penalties.
– This Supplementary Budget is earmarked, it is aimed at compensating the citizens, and this is why the MPs should support it, Mukoski underlined.
Budget revenues will remain the same within the Supplementary Budget, as projected at Denar 174,291 million. Expenditures will be increased from Denar 195,472 million to Denar 197,410 million, while budget deficit will also be increased from 3.6% to 4%, amounting to Denar 23,119 million, instead of the initially projected Denar 21,181 million.
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