"Despite the existing challenges, I believe that in 2023 we will have a higher economic growth, and the budget deficit can be further reduced”, - Irakli Kovzanadze, Chairman of the Budget and Committee stated after hearing the revised draft state budget for 2023.
Irakli Kovzanadze focused on the conservative scenario of budget planning - "despite the existing global political and economic challenges, let's try to take as realistic a scenario as possible. In my opinion, we will have a higher economic growth, which will give us the opportunity to further reduce the deficit.
I predicted double-digit growth at the end of 2021 and the start of this year, and I also urged that the deficit be reduced as much as possible. My forecasts proved to be accurate. Deficit reduction is necessary for the GEL exchange rate to remain stable, for inflation to decline, and for overall monetary and fiscal stability”, - Kovzanadze noted.
He also spoke about the main parameters of the 2023 budget. According to him, the government plans to spend 21 billion 154 million GEL next year.
"The salaries of public sector workers are rising by up to 10%, and raises of up to 20% are anticipated for troops and police officers. The pension for people in their 70s and older will rise by 65 GEL to 365 GEL as pensions rise. The pension for people under 70 will increase by 35 GEL to 295 GEL, and in the highland settlements it will be equal to 355 GEL. The pension for the same category of retirees in the highland settlements will be over 440 GEL. The highest increase in pensions will occur in 2023, when the state budget would grow by 494 million GEL. Therefore, the costs associated with moving in this direction are 3.4 billion GEL, or 16% of the state budget", - Kovzanadze stated.
