Investments to be cut by USD 93 mln

TIRANA, June 28 – The new revised budget will cut investments by 9.3 billion lek (93 million dollars) for the remaining half of 2011, according to the draft law the Finance Ministry has prepared. Government says the forced cuts made to keep rising budget deficit in check will mostly affect investments in the health and education sectors while investments in road and water supply projects will remain unchanged. Total investments in the initial 2011 budget were projected at 82.5 billion lek but will drop to 73.2 billion lek under the new changes expected to be approved in Parliament by ruling majority next July. The Ministry of Finance says government spending for the second half of this year will be reduced by 16 billion lek (160 million U.S. dollars, 114 million Euros) following lower revenues and sharply increased spending during the first five months of this electoral year. An IMF mission to Albania suggested few days ago cutting the budget by 20 billion lek.