Budget, Financial Services, Investments, Legislation, Lithuania

Based on the revised 2015-2017 Government Investment Programme draft, EUR 1.44 billion will be allocated for the state capital investment in 2015, or by EUR 1.7 million more than previously intended. National defence funding was increased by EUR 2.9 million, public safety by EUR 1.4 million, education by EUR 1.3 million, health care by EUR 0.9 million and culture by EUR 0.2 million. Capital investment for other areas was not increased or was reduced to finance different spheres.

State budget revenue in the revised 2015 draft budget totals EUR 7.97 billion, while appropriations for expenditure and purchases amount to EUR 8.32 billion. Appropriations surpass revenue by EUR 342.4 million.

State budget revenue and appropriations, including the funds of the European Union and other international financial aid, have increased by EUR 17 million.

According to Prime Minister Algirdas Butkevicius, the Coalition Government has proposed to raise the salaries of the lowest earning employees of budgetary institutions from 1 March 2015. The step will require EUR 12.6 million. Furthermore, the minimum monthly salaries will be increased from 1 July to EUR 325, this will require EUR 14.4 million. In addition, EUR 8.7 million will be provided in compensations to dairy producers.

The prime minister noted that the Government continues to enhance self-government. The share of personal income tax allocated to municipalities has been increased and will stand at 72.8 percent. Municipal revenue for financing independent functions will grow by EUR 16.8 million in 2015.

Finally, EUR 116 million will be additionally provided for the national defence and EUR 52 million for the compensation of pensions reduced during the financial crisis.