Increase in wages, minimum wages and pensions according to the Swiss formula

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He predicts total revenue and budget revenue in the amount of 1,336.3 billion dinars, which represents an increase of 45 billion dinars relative to the estimated amount of revenue for 2020. The budget for 2021 foresees total expenses and expenses by a amount of 1,514.8 billion dinars, was announced after the government session.

The projected deficit in 2021 amounts to three percent of GDP, while public debt at the general government level is declining and will remain at the 58.7 percent level until the end of the year. As of January 1, the budget foresees an increase in pensions according to the Swiss formula of 5.9 percent, the minimum wage by 6.6 percent, as well as an increase in the salaries of health employees in 5 percent, permanent employees in the public sector by 3.5 percent, and then as of April 1, 2021, the total increase for them will be 5 percent.

In 2021, fiscal policy measures are also planned on the revenue side, in order to further reduce the tax burden on wages, the announcement states. It is planned to increase the non-taxable part of the gross salary from 16,300 to 18,300 dinars from January 1. Capital expenditures amount to a total amount of 273.9 billion dinars, which represents 18.08 percent of total expenditures.

The government affirms that the package of economic measures to mitigate the consequences of the kovid-19 virus, during 2020, created the conditions for a faster economic recovery and the realization of dynamic growth in 2021. It is added that the expected recovery of the economy It will accelerate the entry of foreign direct investment, which will provide full coverage of the current account deficit in 2021.

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Let us remind you that Finance Minister Siniša Mali has already announced that the budget will include an increase in salaries in the public sector, an increase in pensions and an increase in the minimum wage by 6.6 percent.

“The budget for 2021 is one of the key budgets for us, due to the greatest global crisis in history, it is caused by the 2020 pandemic. We reacted by giving 5,800 million euros of aid, the State has assumed the greater weight of the crisis”. said the finance minister this week.

As he stated on that occasion, for next year GDP growth of six percent is expected, and the deficit under control, at the level of three percent of the budget.

“We have full macroeconomic control, according to the Maastricht criteria,” Mali emphasized.