2015 adjusted budget submitted by the Ministry of Finance is designed for a 2% annual economic growth and 3% inflation.
According to Finance Minister Nodar Khaduri, the budget cuts will not affect social obligations, and will be carried out mainly at the expense of administrative costs. In addition, the Minister of Agriculture of Georgia Otar Danelia says that projects carried out in the framework of the program of co-financing and concessional lending will not be restricted. However, the Ministry of Agriculture has not yet decided the amount the budget of the department will be reduced.
A situation is more clear regarding the Environment Ministry which will miss GEL 2 million in 2015. According to the Minister Gigla Agulashvili , savings will be achieved not only by administrative, but also capital costs. Ministry of Justice will have to economize too – mainly at the expense of infrastructure projects. For example, the Ministry refuses to build Houses of Justice in several regions of the country.
“We are doing everything in order not to reduce the salaries of employees, but for sure we’ll have to give up an idea of increasing in staff,” – says the Minister of Justice Tea Tsulukiani. The Ministry of Education plans to reduce costs by means of signing long-term contracts. “The main task is not to harm the programs and not to stop working. Therefore, we will sign long-term contracts that will allow to distribute payments for the projects so that the part of them fall on 2016, “- the Minister of Education Tamar Sanikidze notes.
Ministry of Refugees will save money at the expense of infrastructure projects, in particular, it abandons plans to build new offices in two cities. “Our employees work there in very poor conditions, and we were going to build new offices, but obviously we will have to postpone these projects. At the same time I can say that it will not affect housing programs for refugees, “- the Minister for Refugees Sozar Subari points out.