Minister of Finance B.Bolor attended “Minister’s time” meeting and delivered details to journalists in regards to submission of “the draft law of 2015 state budget amendments” and “the draft law of 2016 state budget” to parliament.
The government’s major approach for developing the draft law of 2016 state budget is to reduce expenditures. If the state keeps current state structure and personnel, the state budget will be MNT 8.7 trillion, which leads to budget deficit. Thus, 2016 state budget is currently revised to be MNT 7.8 trillion. As a result, balanced budget / volume of revenues/ are down and predicted to be MNT 6.9 trillion.
MNT 900 billion which falls short in the budget will be trimmed from current expenditures, including merging ministries and agencies which have similar services and structures. Particularly, Customs and Tax authorities are planned to be merged as National Registration Bureau is to be consolidated into National Statistics Agency and State Property Authority and Procurement Agency will be closed down. Moreover, positions of Deputy Ministers will be eliminated according to the draft law of 2015 state budget amendment. But, parliament will have a final say on whether to keep the positions, said Minister of Finance.
Matters of agencies being closed down and employees given lay off will be finalized according to the government’s regulations. 30% reduction in monthly salaries of high profile statesmen will be made as 10% decrease in state administrative employees is arranged. Also, the Minister added: “The wage will not be increased next year.”
As developing 2016 state budget, the government expects to increase revenues volume by intensifying investment activities of mega mining projects. Mining revenues are estimated in the state budget based on minimum prices of commodities forecasted by international organizations.
After merging state authorities and agencies, vacant assets and properties will be liquidated and added into the state budget.
Moreover, the adoption of “Transparency in Economic Law” by parliament in August, 2015 leads to additional tax revenues in the state budget.
As we make realistic estimations of revenues and expenditures in the state budget, we are able to balance the budget and bring positive results starting in 2017 if the state budget is approved as planned. Next year parliament election will take place so that politicians should be aware of economic difficulties and not to promote their campaign with matters related to wage increase, said Minister of Finance.
Media and Public Relations Department, the Government of Mongolia.
Minister of Finance B.Bolor attended “Minister’s time” meeting and delivered details to journalists in regards to submission of “the draft law of 2015 state budget amendments” and “the draft law of 2016 state budget” to parliament.
The government’s major approach for developing the draft law of 2016 state budget is to reduce expenditures. If the state keeps current state structure and personnel, the state budget will be MNT 8.7 trillion, which leads to budget deficit. Thus, 2016 state budget is currently revised to be MNT 7.8 trillion. As a result, balanced budget / volume of revenues/ are down and predicted to be MNT 6.9 trillion.
MNT 900 billion which falls short in the budget will be trimmed from current expenditures, including merging ministries and agencies which have similar services and structures. Particularly, Customs and Tax authorities are planned to be merged as National Registration Bureau is to be consolidated into National Statistics Agency and State Property Authority and Procurement Agency will be closed down. Moreover, positions of Deputy Ministers will be eliminated according to the draft law of 2015 state budget amendment. But, parliament will have a final say on whether to keep the positions, said Minister of Finance.
Matters of agencies being closed down and employees given lay off will be finalized according to the government’s regulations. 30% reduction in monthly salaries of high profile statesmen will be made as 10% decrease in state administrative employees is arranged. Also, the Minister added: “The wage will not be increased next year.”
As developing 2016 state budget, the government expects to increase revenues volume by intensifying investment activities of mega mining projects. Mining revenues are estimated in the state budget based on minimum prices of commodities forecasted by international organizations.
After merging state authorities and agencies, vacant assets and properties will be liquidated and added into the state budget.
Moreover, the adoption of “Transparency in Economic Law” by parliament in August, 2015 leads to additional tax revenues in the state budget.
As we make realistic estimations of revenues and expenditures in the state budget, we are able to balance the budget and bring positive results starting in 2017 if the state budget is approved as planned. Next year parliament election will take place so that politicians should be aware of economic difficulties and not to promote their campaign with matters related to wage increase, said Minister of Finance.
Media and Public Relations Department, the Government of Mongolia.