Anticipating the changes in the National Budget 2021, the Minister of Finance, Mrs. Xiomara Maduro, informed the Parliament in the “Fall Memorandum 2021” on the changes presented after the National Budget 2021 was approved.
It is essential to mention that the anticipated deficit for 2021 is 140 million lower. The expected budget deficit of 762 million is now 622 million florins.
The decrease is due to the slight increase in Government revenue caused by the decline in expenses because of policy changes and an unexpected positive result. The increase in Government revenue is thanks to the changes in ground lease policy which had positive results.
In addition, some expenses are not included, namely:
- to cover the AZV and SVB deficit,
- Salary Subsidy (which is lower than anticipated),
- TIO expenses, since it will not be introduced in 2021.
Some other changes also lowered the expenses, namely:
- food package costs;
- products and services;
- PPP Project of Watty Vos Blvd and Green Corridor;
- the postponement of the installation of the Ombudsman.
This week, the law concept for the changes in the National Budget 2021 was sent to the Advisory Council for advice. Once the Government receives its corresponding advice, they will make the eventual changes and send it to the Parliament for approval before the end of the year.
