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Budget 2024, the share of spending increases for the military and social protection, decreases for health and housing
Written by SOT.COM.AL 15 Nëntor 2023
In the 2024 budget, an increase in the share of spending on the military and social protection compared to total budget spending is foreseen, while spending on health and housing will decrease. Funds for economic and environmental issues do not change. Official data from the Ministry of Finance show that defense (army) spending will account for 5.6% of total budget spending in 2024 with an expansion of 0.7 percentage points compared to the initial budget of 2023.
Expenditures for social protection increase their weight by 0.4% in total budget expenditures, reaching 29.4% next year from 29% this year.
On the other hand, it can be seen that health expenses have a lower weight in the 2024 budget than in the current year. They will account for 9.4 percent of total budget expenditures with a decrease of 0.2 percentage points compared to this year. The biggest decrease is the expenses for housing and community amenities by 1.3 percentage points compared to the current year's budget.
Economic issues and environmental protection have the same weight in relation to general expenses in 2024 as well, while expenses for public education services increase the weight by 0.2 percent in the total budget expenses next year.
Another item "Unclassified Expenditures" which occupies more than a quarter of the general budget expenditures has a modest reduction in weight next year, going to 23.3% in 2024 from 2r.7 percent that is currently.
Total public expenditures for 2024 are programmed at the level of 735.9 billion ALL or 30.2% of GDP, with a decrease of 0.2 percentage points compared to the previous year.
Personnel expenses for 2024 reflect the current cost of Public Administration, as well as the new salary increase policy starting July 1 next year. The fund for the continuation of salary increases starting from July 1, 2024 is planned in the amount of 11 billion ALL and includes salary increases for employees of the health system, education, employees with ranks and public administration employees. The total expenses for salaries in the Public Administration are planned in the amount of ALL 119.7 billion or 4.9% of GDP.
Operating and maintenance expenses for the central government for the year 2024 (not including the expenses incurred by public institutions, which have as a source of financing revenues outside the limit), are estimated at 63.2 billion ALL or about 2.6% of the GDP. Financial support for the farmers' scheme, maintenance of national roads, maintenance of IT systems, schemes for economic development support and support for education and sports are programmed in this item.
Local budget expenditures for 2024 are estimated at 71.1 billion ALL, with an increase of 10.4% more than the 2023 budget. These expenditures for 2024 account for 2.9% of GDP from 2.3% in 2024. 2013. for salary increase. In total, in 2024, the grant from the state budget for local government will be in the amount of 36.5 billion ALL.
The expenses of the special funds, which includes the total expenses for the Social Insurance Funds, Health and the compensation in value of the former owners, are planned in the amount of 249 billion ALL or 10.2% of the GDP. The level of expenditures for the Social Insurance Scheme for 2024 is expected to be 178 billion ALL or 7.3% of GDP.
From this fund, the level of 4.1 billion ALL and 3.6 billion ALL for the end-of-year bonus for pensioners is foreseen for pension indexation. Meanwhile, the expenses of the Health Care Insurance Scheme for 2024 are estimated at 58 billion ALL or 2.4% of GDP./Monitor