Budget, Estonia, Financial Services, Legislation

The revenue is planned to grow by 7% as compared to this year and expenditures 6%.

Government sector's fiscal position will have a structural surplus of 0.8% of gross domestic product. The nominal deficit is 0.5%.

Finance Minister Jürgen Ligi stated in the parliament that the Estonian state lives according to its abilities. He said that there is no need for the state to take a loan to cover the nominal deficit, according to forecasts, the government sector will reach a nominal surplus in 2016.

The keywords for 2015 budget are increase of defence expenditures to 2.05% of GDP, or by 28 mln euros; increase of internal security funding by 5.3%; increase of public sector payroll funds by at least 3%; increase of social protection sphere expenditures by 7.2%, including increase of child support and pensions and introduction of free school lunches for high school students. Income tax will fall from 21 to 20% and unemployment insurance tax from 3 to 2.4%.

Amendments to the state budget law can be submitted till November 5.