Parliament approves 2023 State Budget

2022-11-14 12:00:34

Ulaanbaatar /MONTSAME/. The State Great Hural of Mongolia has approved the 2023 State Budget.

More specifically, at the plenary session of the State Great Hural on November 11, the fourth discussion took place for the bills on the 2023 State Budget, the 2023 Budget for the Social Insurance Fund, and the 2023 Budget for the Health Insurance Fund.

The government's budget policy for 2023 is directed towards the following objectives, aiming to implement state austerity policy, promote the New Revival Policy, reduce the import pressure and stabilize the macroeconomy through the optimal distribution of resources.

-With the Law on Austerity being implemented for the first time in this budget, there is a chance to save MNT 1 trillion by refraining from making new investments and cutting back on extravagance.

-The budget deficit was approved to be decreased from the target level of MNT -1,906.8 billion or 3.6 percent of GDP to MNT 481.1 billion or 2.6 percent of GDP by stabilizing the economy, guaranteeing macroeconomic balance, and enforcing fiscal discipline at all levels.

-Budget reforms in the health and education sectors will be enforced while supporting the investment and business climate through tax policy.

-The ongoing major projects in the mining and industrial sector will be completed by implementing the New Revival Policy and new projects in the energy sector will commence.

-Ulaanbaatar city’s public transportation fleet reform, service quality difficulties, and congestion will all be fully addressed.

-The tax and salary measures that encourage urban to rural migration will be taken.

-The economy will stabilize and inflation will drop to single digits at the end of the year with the execution of the 2023 budget policy.

As stipulated in the Law on Procedure of the Plenary Session of the State Great Hural, the State Budget must be approved by a majority vote or the votes of more than 39 members. In accordance with the law, the 2023 State Budget of Mongolia was approved with the support of 50 members, or 81 percent of the 62 members of Parliament who were present during the vote.

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