Parliament Approves 2025 State Budget: Focus on Salary Increases, Social Support, and Economic Growth

Parliament Approves 2025 State Budget: Focus on Salary Increases, Social Support, and Economic Growth

Politics

The parliament approved the draft state budget for 2025 in its first reading today. The proposed budget includes salary increases for more public sector workers, energy compensation provisions, and a rise in social benefits, CE Report quotes MOLDPRES

Finance Minister Victoria Belous presented the draft during the parliament's plenary session. She emphasized that the 2025 budget is focused on social support.

"The budget outlines a clear vision from the government to increase citizens' incomes while investing more in infrastructure, education, healthcare, and social services. The solidarity with our people is the defining feature of this budget. Despite limited resources due to the ongoing war in Ukraine, the government has managed to achieve economic growth, reduce the budget deficit, which is projected to reach up to 4%, and maintain stability," said Minister Belous.

The draft budget includes a 15% salary increase for healthcare workers and a 9% raise for teachers. Police officers, border guards, emergency responders, firefighters, National Probation Inspectorate employees, and penitentiary system workers will also receive higher wages. This will benefit approximately 170,000 public sector employees and 50,000 healthcare workers. The minimum salary in the public sector will rise to 5,500 lei.

Additionally, the minimum pension for those with 40 years of service is set to increase to 3,300 lei, effective from May 1, 2025. Starting April 1, 2025, pensions and other social benefits will be indexed by 6.1%.

For the coming year, state budget revenues are expected to reach 71.55 billion lei, a 6.8% increase over the 2024 projections. Authorities attribute this revenue boost to economic recovery, fiscal and customs policy measures, and improved revenue management.

On the expenditure side, the planned budget for 2025 totals 85.44 billion lei, an increase of 4.1% compared to 2024. Capital investments will grow by 18%, with 12 new projects planned.

Social protection for citizens will receive 20.7 billion lei, accounting for 24.3% of the total state budget expenditures. The one-time childbirth allowance will rise to 21,350 lei, and monthly payments to rehabilitated victims of political repression (1917-1990) will be increased. To enhance the social benefits for war veterans, 120 million lei is allocated. Energy compensation for vulnerable consumers during the winter period is also included in the budget.

The education sector will receive 23% of the state budget, nearly 20 billion lei. Starting September 1, 2025, over 205 million lei will be allocated for free meals for students in grades V-IX. Another 147 million lei is earmarked for buses, computers, and furniture for model schools across Moldova. Technical projects for the renovation of 15 additional schools will also be funded.

In the economic sector, 9.1 billion lei is allocated, representing 10.7% of the total state budget. A significant portion, 88%, will go toward programs aimed at developing the economy. For example, 4.1 billion lei is designated for transport, including the repair and maintenance of local and national roads. Additionally, seven projects financed by external sources will be implemented, while 3.1 billion lei will be allocated to agriculture and 176 million lei to support small and medium-sized enterprises.

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