Governments Failing Budget Discipline

If there were an administrative penalty for failing to comply with the law, then Parliament, as well as the Government, should have been penalised in recent years for breaking the law. Delays in adopting the budget lead to delays in implementing major investment projects. Hence the tensions with international development partners, as well as the hasty implementation of some measures, on the principle of “whatever happens”. Last but not least, the Republic of Moldova undertook to carry out reforms upon signing the Association Agreement. These reforms cannot be implemented without money. The money comes from European partners, also through budget support. No budget – no reforms! Let us not forget the fiscal-budgetary policy, which is traditionally adopted together with the State Budget Law. It describes the provisions that will make up the law in terms of taxes, duties, excise duties and the business environment. And if this year the delay in adopting this law was less than 2 weeks, the adoption of the 2016 budget recorded a record delay.