[Merab Bregadze]

Irakli Alasania, calls an economic group of the government for debates. In his words, by passing 2011 budget project, the state relieved from  the responsibility of helping  the citizens in Georgia. Alasania stated  that  intensifying of social crisis more  is a result of economic policy of “National Movement”.  

The experts denote that the next year budget project is more  relevant  to  the current economic reality than to the present year budget which was changed several times during 2010. In the budget project, the total deficit is decreased up to 4% in the budget project. As a result,  the   need of borrowing foreign debts  will  be reduced.

Leader of “ Free Democrats” said that  the budget project has been presented by irresponsible state. In his words the budget project is extra optimistic and is reduced by 31 million laris compared with the last year.  In Alasania’s  assessment,  the part of the income ( 6 billion and 960 million laris) is raised artificially in such a great way that its sequestration can be expected.

“ Sums of pensions are not raised and help for the population below the  poverty line is not increased when  in Georgia, the number of vulnerable people overdid 1 million and 800 thousands. The state helps only every forth of them daily with 72 tetris. The state can no longer control the inflation processes.  

Prices have catastrophically raised on grocery products and drugs necessary for the life. Only this year, bread’s price raised averagely by  20 tetris, sugar – by 70-80 tetris. In return, the expenses of maintaining the bureaucratic machinery  are increased in  return and   so called other expenses too. It is unknown on what the government is going to spend 900 million laris”. – says Alasania. 

Also in his words 2011 budget does not envisage the raise of number of insured people. In addition, as Alasania explains, financing of some important programs is reducing.

“The state rejects the guaranteed  medical service of people aged from 5-60. Urgent medical aid for the contingent and treatment of infectious, oncological and heart diseases will not be financed again either.  Financing of very important projects of education has also decreased.

Besides, according to the leader of “ Free Democrats”, foreign and home debts has increased three times  for  the last three years and accounts for about 10 billion laris. 

“The present budget project convinces us that according to 2011 budget project, the state avoided responsibility of caring for its own population and their social state. More  intensifying of social crisis is a result of economic policy of “National Movement”.  

We want to remind you that under Georgian legislation, the government presented 2011 budget project in the parliament at the beginning of October.  The sum of the next year budget is a little lower than 2010 budget, but financing of high priority spheres is increased. These are: health care and social insurance, education, regional infrastructures and economic projects. As per the project of   financing plan 2011, the deficit is diminished from 6 to almost 4 percent.   

“The health care sphere is the most financed among the priorities and it makes up the quarter part of the budget expenses. But is still unknown, on what 2 billion  laris will be spent on, except for pensions or the population below the poverty line. This uncertainty will be explained by assignment of a new minister of Health Care and Social Security because it plans to look through the expenses structure. – says a Parliamentary Secretary of  State -  Giorgi Khuroshvili

Besides the social sphere, the financing of education sphere is going to be  increased by 16 million laris but the budget of the Ministry of Agriculture will be increased almost four times. Also financing of infrastructural projects will be raised. This will be managed mainly by the freeze of material-technical expenses of the State Machinery.  It means that salaries will not be raised in any ministry and budget sums will not be spent on new cars or on any other equipment.

In David Narmania’s opinion- an economic expert- the budget priorities determined by the government is mainly unchangeable, however, the raise of financing the Agriculture, points to the priority of this branch. 

“The following  course set by the power to finance infrastructural projects and to contribute to economic growth and employment  with it -  is a  priority that  is also maintained. I have seen several new programs – among them there are certain changes in financing the Ministry of agriculture” – declares  David Narmania while talking on Radio “Tavisupleba.

David Narmania and other experts note also that the project of the  next year budget is more relevant to current economic reality, than to the present year budget which was changed several times during 2010.