Economy
Posted: 1 week ago

State Budget to Spend 1.766 billion GEL to Serve External Debts in 2020

The state budget will spend 1.350 million GEL on serving external debts in 2020. The figure has increased by 30 million GEL compared to the previous budget bill following the GEL exchange rate devaluation.

The budget bill’s explanatory card reads that the 30 million GEL was added after the changes in interchange rates of the currencies in which our external debts are denominated.

Correction also applies to the amount for covering and serving internal debts. This indicator has increased by 26 million GEL compared to the initial bill, after the National Bank increased the monetary policy rate by 200 base point. Ultimately, the 2020 state budget will direct 416 million GEL for serving and covering the internal state obligations.

It should be noted that the internal debts plan, under the revised budget bill, rose by 0.5 billion GEL to 900 million GEL. In 2020, the Government plans to take 200 million GEL internal debt. The internal debt forecast exceeds the revised budget bill by 300 million GEL.

As to external debts, the Government plans to take 867 million GEL in 2020, up 13 million GEL compared to the initial budget bill, including the budget support credits will amount to 685 million GEL and investment credits will total 182 million GEL.

Based on the submitted document, the state debt amount at the end of 2020 will be 23 434.9 million GEL, including external state debts will amount to 17 968.1 million GEL and internal state debts will total 5 466.9 million GEL.