Cyprus House plenary debates 2009 state budget

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The House plenary began here Tuesday a three-day debate on the 2009 state budget.

According to the Finance Minister Charilaos Stavrakis, the 2009 state budget, as it was presented to the House plenary on December 4, provides for 7.37 billion (bln) euros in expenditure, an 11% increase compared to 2008 and revenues worth of 6.3 bln euros, increased only by 1.6%.

The House observed a minute’s silence in memory of the late Cyprus President Tassos Papadopoulos who passed away on last Friday of lung cancer.

Ruling left-wing AKEL Parliamentary Spokesman Nicos Katsourides, speaking before the House Plenary, said that his party will vote for the budget and expressed his party’s conviction that the 2009 can be a positive year for Cyprus and its people.

“President Christofias’ objectives, pre-election commitments and vision are reflected in the state budget for 2009,” Katsourides pointed out, and added: “the 2009 state budget is the basis for development and prosperity in the coming years. It is the first budget which Christofias’ government tables and expresses the philosophy of the socio-economic policy that the government will follow the next five years”.

Katsourides also noted that the government presents a budget which can ensure a high rate growth for the coming years, it is socially sensitive and promotes social coherence and an even more just society.

Right wing Democratic Rally (DISY) President Nicos Anastasiades said that the state budget should have been a comprehensive strategy to help tackle the global financial crisis, which affects and will affect Cyprus even more. “This should have been the main target of this year’s budget, but unfortunately, this has been exactly its main weakness”, he said.

Saying that his party will not support the budget, Anastasiades noted that the government insists on a state budget that is based on a very optimist assessment and on completely different economic facts than the ones currently prevails internationally.

Speaking at the House Plenary, Anastasiades also said that the decision of the Democratic Rally for a negative vote on the budget takes into account that the budget can be approved by the total number of votes of the ruling party and its partners in government, something which will not lead to the paralysis of the state.

Centre-right Democratic Party (DIKO) Parliamentary Spokesman Andreas Angelides said that his party will follow the long standing position of approving the state budget even if it disagrees with many of its provisions.

“The Democratic Party will vote for the state budget, with some exceptions which will be discussed during the voting” of the specific provisions, he added.

Social Democrats Movement EDEK President Yiannakis Omirou said his party will vote for the 2009 state budget, and support the implementation of government declarations and President Christofias’ commitments to the people of Cyprus.

Omirou noted that EDEK has also submitted its views and proposals, which the party expects to be taken into account in order to improve economic development and promote social coherence.

European Party President Demetris Syllouris said his party will vote against the state budget. Noting that the European Party is in the opposition, he said that it is ready to approve the right choices made by the government and to prevent any anti popular measures.

Syllouris said that his party “keeps an objective and a critical stance towards the proposed state budget, and submits productive proposals for the development and the progress of the economy and society as well”.

Secretary General of Ecologists-Environmentalists Movement George Perdikis noting that the international financial crisis will affect Cyprus, said that a number of factors from the commercial and industrial sector will take advantage of the crisis in order to maximize their profits.

Perdikis said the 2009 state budget provides for more economic growth and deals less with nature and man’s needs.