Lithuanian parliament approves 2019 budget despite opposition

0 Comment(s)Print E-mail Xinhua, December 12, 2018
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VILNIUS, Dec. 11 (Xinhua) -- Lithuania's parliament passed on Tuesday the law on the 2019 state budget despite calls by the opposition to postpone the vote for at least one week.

"I did not come here to fight or to hand out Christmas gifts. I am here to present a balanced budget aimed at structural reforms and poverty reduction," Finance Minister Vilius Sapoka said during the parliamentary debate.

According to Sapoka, reforms planned in the budget will increase the country's GDP in the medium term and will allow it to create new jobs.

"Reforms are the instruments which allow us to implement our strategic goals, such as reducing labor taxation, promoting innovation and investment, increasing people's income and economic security, ensuring the sustainability of the pension system, reducing shadow economy activities, and increasing the efficiency of the health and education sectors," Sapoka said.

There were 84 votes in favor of the budget, 41 against and 5 abstentions. The law was supported by the ruling Lithuanian Farmers and Greens Union (LVZS) and its coalition partners, the Social Democratic Party (SDP) and the Order and Justice Party (PTT).

"It is already the third budget submitted by this government and I believe it is the best. Every person working in Lithuania will acknowledge this," Prime Minister Saulius Skvernelis noted after the vote.

Lithuania's 2019 state budget will amount to 10.6 billion euros and the deficit be around 1.1 billion euros.

Representatives of the conservative opposition criticized the budget, claiming that it lacks proposals for reforms in the state sector. They also argued that the planned tax reform will open a hole in the state's 2019 coffers.

"I am surprised by the reforms we are discussing here as the main document submitted to parliament's autumn session does not meet the expectations of the state and its people," Andrius Kubilius, a conservative lawmaker, was quoted as saying by local media.

In his opinion, the draft budget fails to deliver essential changes that would increase efficiency in the state sector, to which the "protests by teachers and other public sector workers serve as a proof."

Back in November, teachers organized by Lithuanian Education Employees' Trade Union started an indefinite strike, which is already in its fifth week, protesting against the government's remuneration reform.

On Sunday, Lithuania's teachers and people supporting them held a protest rally in the capital Vilnius demanding, among other issues, that the government suspend the adoption of the tax reform and the budget. (1 euro = 1.13 U.S. dollars) Enditem

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