The additional budget proposal, signed by President Recep Tayyip Erdoğan, submitted to the Parliament. Within the scope of the additional budget, it is foreseen to spend 880.5 billion liras, or 50.8 billion dollars, until the end of the year.
14 percent of this amount will be used by state-owned enterprises that import natural gas and coal.
In addition, with the proposal, President Recep Tayyip Erdoğan's salary will be increased by 40.4 percent, and the President's salary will be increased to 141,453 TL.
THE NEED FOR INCREASE IS OCCURED
With the proposal of the law, an additional appropriation of 880 billion liras will be allocated to the general and special administrative budgets. Again, according to the proposal, the budget revenue estimate will increase by 1.08 trillion liras. Almost all of the income increase will come from tax revenues. With the amendment made, the 2022 budget deficit forecast, which was previously estimated to be approximately 280 billion liras, will decrease to approximately 80 billion liras.
In the general justification of the proposal, "As a result of the economic and geopolitical developments in the world and in our country, significant increases have occurred in the general price level, thus the need for an increase in budget appropriations has arisen," it was stated.
REASON: INFLATION!
Among the reasons are resource transfers to Petroleum Pipeline Corporation in order not to reflect the increase in natural gas and electricity prices to consumers, increases in salaries and wages of public officials due to inflation, increases in the purchase of goods and services, especially in pensions, health, education and security, and to farmers engaged in grain production. additional input cost support paid, increases in disaster, interest and other expenses are shown.
BUDGET RESERVED TO SALARY INCREASE
According to the proposal, 16.8 billion TL personnel expenses, 86.7 billion TL goods and services purchase expenses, 89.4 billion TL interest expenses, 421 billion TL current transfers, 74.1 billion TL capital expenditures, 13.6 billion TL of the newly added expenses. TL 140 billion will be allocated for capital transfers, TL 140 billion for lending expenses and TL 38.9 billion for reserve appropriations.
76 BILLION TL RESERVED TO INTEREST
Looking at the details, capital transfers of 120.5 billion liras to Petroleum Pipeline Corporation (BOTAŞ) and the Turkish Hard Coal Institution, 14.5 billion liras assignment expenses to BOTAŞ and EÜAŞ, and an estimated 40 billion liras allocated for currency protected deposits came to the fore. An additional 44 billion liras is allocated to domestic debt interest expenses, and an additional 32 billion liras to foreign debt interest expenses. Before the supplementary budget, in 2022, it was foreseen that the budget expenditures would be 1.75 trillion liras, the budget revenues would be 1.47 trillion liras and the budget deficit would be 278.4 billion liras.