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The budget fell short of the plan

Annual allocations for state budget expenditures in the first half of the year were met at 47.6 percent, including 23.5 percent for externally funded projects, Logos Press reported.
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The budget fell short of the plan

According to the Finance Ministry, the state budget’s revenue execution rate amounted to 48.8 per cent. Expenses were executed in the amount of 44,369.5 million lei, including expenses related to projects financed from external sources – in the amount of 953.4 million lei.

At the same time, compared to the same period of 2024, the execution of expenditures increased by 6,822.8 million lei, or by 18.2%, while for projects financed from external sources, the executed expenditures decreased by 286.1 million lei, or by 23.1%. The central public authorities are limited in their ability to efficiently utilize resources for projects financed from external sources, the authors of the report explain the situation.

More than 50% of the annual forecasts were fulfilled in the expenditure items in the fields of social protection (62.8%), education (53.7%) and culture, sports, youth, cults and recreation (51.0%). In other areas, the level of expenditure fulfillment ranged from 24.5% (environmental protection) to 47.0% (public order and national security).

In functional terms, as compared to the first half of 2024, there was an increase in expenditures in all fields, the most significant of which was in the field of social protection (+2,388.5 million lei, or by 19.4%). This increase was due to the increase in the amount of cash payments to vulnerable population groups – energy consumers, introduction of compensations for energy bills, establishment of lump-sum payments to support some categories of population.

In the first half of the year, expenses for national defense (+317.4 million lei or by 74.3%); housing and communal services (+174.8 million lei or by 75.1%); economic services (+1,038.2 million lei or by 28.4%); health care (+571.8 million lei or by 27.3%) increased. lei or by 27.3%); culture, sports, youth, cults and recreation (+163.2 million lei or by 23.5%); public order and national security (+531.7 million lei or by 16.6%) and education (+1,368.1 million lei or by 14.5%).

During the first half of 2025, grants worth 2,796.8 million lei (equivalent to $158.7 million) were disbursed, which is by 2,287.8 million lei (equivalent to $130.1 million) more than in the same period of 2024, mainly due to the volume of grants provided in the form of budgetary support for energy sustainability measures.

Grants for budget support amounted to LE 2,624.5 million (equivalent to $149.0 million), while those for externally financed projects amounted to LE 172.3 million (equivalent to $9.7 million).


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