
Total expenditures of state budget in Estonia in November last year reached 1.49 billion euros, increasing by 224.7 million euros, or 17.7 percent, compared with November 2023 year, mainly from external and domestic funds. Minister of Finance Jurgen Liga.
Photo: Mihkel Maripuu
The total volume of expenditures of public budget institutions in Estonia in November of last year reached 1.49 billion euros, increased by 224.7 million euros, or 17.7 percent, compared with November 2023 of the year, mainly from external and domestic savings.
“Expenditures affecting
the position of the state budget, that are expenditures without accounting for external funds and tax receipts. undertransfer, increased by 41.3 million euros in November 2024 of the year compared with November 2023 of the year. The increase was 5 percent, reaching 866.7 million euros.” – said in a reported BNS press release from analyst of the fiscal policy department of the Ministry of Finance Helin Kütt.
Internal subsidies of state budget institutions in November November 2024 were 43.3 million euros more than for the same period of the previous year. This includes a increase of 31.9 million euros in social benefits paid in November, due mainly to increased spending on old-age pensions.
Of the social benefits in November the family benefit for a multi-family decreased by 5.9 million euros, which is related to the enactment of the January 2024 law,by which the allowance for a family with three or more children is reduced to 450 euros per month from 650 euros per month, a benefit for a family with family and more children to 650 euros in a month from 850 euros.
Domestic targeted subsidies, which in November increased by 15 million euros, were primarily caused by subsidies for public transportation, which moved from operational subsidies to domestic subsidies.
Of the operational subsidies, that decreased by 1.78 million euros compared with the previous year, The decrease was caused by the Equalization Fund and support for local government. At the same time the Operational Allowances in Higher Education and Allowances AS Eesti Raudtee increased. Internal investment grants to recipients in November 2024 were 1.84 million euros fewer than in the previous year, as compared with the previous year the subsidies for the reconstruction of the network of main schools increased, developing the knowledge base of “green turnaround” and grants to the Entrepreneurship and Innovation Fund.
Foreign loans increased by 142.7 million euros compared with 2023 year. In difference from the previous year, grants to the Department of Agriculture registries and information increased the amount of targeted foreign funding.
Administrative expenditures in November 2024 year decreased by 13.6 percent, or by 13.6 million euros, mostly because of spending on defense. Spending on personnel in budget agencies was 7.2 million euros higher, than for the same period of the previous year, which gives an annual growth of 5.8 percent. The growth of the fund wages in the public sector in November was determined byincrease in the fund wages for teachers. Spending on labor wages also increased because of the increase in the benefits of special pension reserves.
In November 2024 year investments increased, mostly through investments in defense and vehicle purchases. Government budget agencies invested in November by 14,4 million euros more compared with the same period of the year, which corresponds to an annual increase of 21.4 percent. Investments in the first 11 months of this year increased by 34.7 percent compared with the same period last year, or by 193.7 million euros.
Financial expenditures have continually increased since October 2022 of the year due to the issue of bonds. In November 2024 year financial expenditures were 3 mn euros, or 18.5 percent, higher than the same period of the last year.
The transferred tax receipts in November increased by 27.9 million euros, or by 7.7 percent, primarily due to an increase in income tax on individuals, social security contributions and payments transferred to pension funds.