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The Riigikogu passed at an additional sitting today with 61 votes in favour (35 votes against) the negative supplementary budget which was tied to a vote of confidence in the Government. 

The Act on Amendments to the Supplementary Budget of the Year 2009 Act and Associated Acts (432 SE), initiated by the Government on 18 February, will reduce the deficit of the government sector in 2009 by 8.006 billion kroons. The savings package contains decisions in the amount of circa 5.5 billion kroons which will not fail to have an impact on the budgets of the following years. As a general rule, savings on operating expenses amount to 7 per cent which includes both state authorities and the agencies who receive activity support from the state budget. The salary expenditure of teachers, internal security workers and culture workers is handled as an exception. Together with the share of the operating expenses frozen in the budget of 2009, savings on operating expenses constitute 10 per cent in the state budget. 

The Act reduces the amount of revenue by 9.63 billion kroons and the amount of expenditure by 6.57 billion kroons. According to the supplementary budget, the revenue of this year’s state budget will amount to 88.20 billion kroons and expenditure will be 91.89 billion kroons. 

The Minister of Finance Ivari Padar said in his report that the supplementary budget Act included amendment of twenty other Acts for the implementation of the measures of the whole government sector savings package. 

Prime Minister Andrus Ansip said in his brief speech that passing of the supplementary budget would support the reliability of the state and asked Members of the Riigikogu to support the passing of the Bill as an Act. 

The Riigikogu Press Service