Kazakhstan will live up to a new three-year budget in 2009 - 2011

/INTERFAX-KAZAKHSTAN, Astana, December 4, 08/ - The president of Kazakhstan Nursultan Nazarbayev signed the Law "On republican budget for 2009-2011", the press service of the head of the state reported on Thursday. As the message says, the law "reflects the basic indicators of social and economic development of Kazakhstan and aims at implementing the activities of the head of the State, noted in a message to the people of Kazakhstan on February 6, 2008". It was reported that the parliament for the first time in the history of the republic has adopted a three-year republican budget on November 26. The total charge of republican budget was approved for 2009 amounting to KZT3 trl. 432.2 bn., for 2010 - KZT3 trl. 856.4 bn., for 2011 - KZT3 trl. 992.5 bn. The current rate is KZT120.45/$1. Income part of the budget is approved in the following figures: for 2009 - amounting to KZT2 trl. 860.9 bn., for 2010 - amounting to KZT3 trl. 198.5 bn., for 2011 - KZT3 trl. 477.5 bn. At that, three-year budget deficit is approved in the following parameters: for 2009 - KZT517.3 bn. (or 3.4 % to forecast GDP) for 2010 - KZT657.8 bn. (3.5 % to GDP) and for 2011 - KZT514.9 bn. (2.4 % to GDP). As reported, unlike the original version of the republican budget draft, adopted document is more conservative because of crisis on the world markets and declining prices of main export commodities of Kazakhstan, including oil. In particular, among the major developments - the downgraded outlook on oil prices on the world market from $60 to $40 per barrel for 2009, and the price at $50 - for 2010-2011. As a result, forecast GDP growth, which is still based in Kazakhstan on export of hydrocarbon resources, reduced in 2009-2011 from 5-7 % a year (with KZT18 trl. in 2009, KZT20.8 trl. - in 2010 and KZT24.1 trl. - in 2011) in the original draft of the document to 2.7-4.1 % annually in the approved form. But at that, as Kazakhstan authorities had repeatedly said, all scheduled social expenditures for 2009-2011 were not affected. Thus, the budget saved plans on increasing the size of the basic pension payments from the current KZT4.210 (excluding introduced sine July 1, 2008 a monthly allowance of KZT1.200) to KZT5388 in 2009 and rising to KZT7820 in 2011. However, the minimum pension amount, which now stands at KZT7.900, according to the budget, will be increased to KZT9.875 in 2009 and up to KZT16.047 - in 2011. Monthly Calculation Index (MCI) in the budget is increased from the current KZT1168 to KZT1273 in 2009 and till KZT1478 in 2011. In general, as the head of the Kazakhstan Government Karim Massimov reported previously, Kazakhstan republican budget expenditures are only for the payment of pensions and benefits from KZT555 bn. in the current year to KZT1 trl. in 2011. At that, he said that within the frames of the three-year budget, the size of government social benefits and special state benefits will grow by 9 %. Since 2010, allowance in a single payment for the birth of a fourth child is planned to increase to 50 MCI and in 2.5 times - monthly benefits for child care upon achieving them one year. In addition, the budget saved plans on introducing in 2010 a special allowance to parents, guardians raising invalid children, amount of which is KZT14548 in 2010 and KZT15639 in 2011. In the health sector, expenses for the welfare and expansion of guaranteed free medical care are provided: in 2009 - KZT34 bn., in 2011 - KZT47 bn., in 2011 - KZT54 bn. As you know, in 2009 Kazakhstan will implement a new system of budget planning - the republican budget is formed and approved for three years. For Kazakhstan with a current population of more than 15.7 m. people, the republican budget is a main financial document, on which basis the state budget is formed, which in turn, includes the budgets of the regions. [2008-12-05]