Draft 2005 Budget Prioritises Defense, Social Security
On October 1, the Cabinet submitted a draft of the 2005 budget to the the Parliament. The government plans to increase expenditures by 7% compared with 2004.
According to the 2005 draft budget expenditures are raised up to 2.1 billion Lari (approximately USD 1.15 billion), while the tax revenues are expected to reach 1.7 billion Lari (this figure does not include revenues from foreign financial aid). Georgian Prime Minister Zurab Zhvania said at a news briefing on October 1 that ?the total amount of grants is not yet defined.?
Zhvania said that the budget has two priorities: defense and security and social protection. The government intends to fully cover the salary and pension backlog and to increase minimal monthly salaries to the subsistence level ? 115 Lari (USD 63).
