Prime Minister Kubilius: a budget of responsibility and solidarity adopted

Seimas has adopted the 2010 budget today. The Government had approved on measures to cut budget expenditure and raise the revenue, which resulted in cutting the budget deficit by more than LTL 2 billion (down to LTL 4,930 million, or 5.9% of GDP).

Appropriations for state budget appropriation managers and programme implementation have been cut by approximately 33% in the 2010 budget, including 23% cuts in public administration expenditure, 10% reductions of salary appropriations for public servants, politicians, public officials, and municipal servants, 5% reductions of salary appropriations for teachers, military servants, and employees in the social sector and culture, and 2% cuts in salary appropriations for statutory officials.

Furthermore, the number of budget appropriation managers shall be reduced as of 2010 by 30 as compared to 2009. All the measures have reduced the planned national budget expenditure by LTL 1,581 million as against the 2009 budget reviewed in July 2009.

The 2010 budget revenue, including funds from the European Union and other sources of international financial support, will amount to LTL 24,398.9 million. Planned 2010 national budget appropriations total LTL 29,328.8 million.

EU assistance funds, which at this difficult time of the economic recession will be invested in all the segments of the economy with a view to maintaining business and jobs and healthy economy, will amount to LTL 7,891.9 million, which is LTL 1,474.5 million up on 2009.

Today, Prime Minister Andrius Kubilius has pointed out that the next year budget is not delighting, but it is down to earth and not lying about the situation in Lithuania. According to the Prime Minister, this budget reflects our responsibility and our solidarity with the countrymen who live an uneasy life now.

Following the adoption of the budget, first Prime Minister has thanked the Lithuanian people, “who have a really heavy burden of coping with this crisis, caused by the faults of us all, and the previous governments, and, of course, the global crisis. People who have difficulties facing current problems, but who see that indeed the decisions must be made”.

“I certainly understand that there are people who are in such a difficult situation that they go to the streets to express their protest - they have the right and possibility. I would particularly like to address the elderly women and pensioners to thank them for their support to our policy expressed during today’s rally. Their poster read: “We are for the saving policy”, – said the Prime Minister.

The Prime Minister has also expressed his appreciation to the Finance Minister Ingrida Šimonytė and the entire ministry, as well as to Speaker of the Seimas Irena Degutienė for well-organized work, and to President Dalia Grybauskaite for the support which is of utmost importance at this difficult period of time not only for the Government, the Seimas, but for Lithuania as a whole.