The three-day parliamentary debate on the 2025 State Budget begins this afternoon in the House of Representatives, culminating on Wednesday with a vote in the plenary session.

Prior to the budget discussion, the House will address legislative work related to the Takata defective airbags issue, a matter postponed during the last plenary meeting. Today’s plenary session is scheduled to commence at 3:00 PM.

During the budget deliberations, party leaders and MPs will deliver speeches addressing the budget as well as the broader economic, political, social, and international context in which it was prepared.

The 2025 state budget, as initially submitted to Parliament, reflects increased spending and notable changes in revenue and expenditure categories. Total expenditures are set at €9.4 billion, marking a 3.25% increase compared to the 2024 budget, while projected revenues amount to €11.75 billion, an increase of 4.1%.

Including permanent fund expenditures of €3.53 billion, total government spending for 2025 rises to €12.93 billion. It is worth noting that these permanent expenses, which cover the state's fixed costs, do not require legislative approval.

• Direct taxes are expected to grow by 4.9%, reaching €3.92 billion.

• Indirect taxes are projected at €4.56 billion, an increase of 5.6%.

• Non-tax revenues show the highest percentage increase at 10.3%, reaching €1.83 billion.

Personnel expenses are slightly reduced by 1%, but operational costs see a significant rise of 21.4%. Transfer payments, including social benefits and grants, are up 5.3%, while capital expenditures for investments and infrastructure grow by 4%. In contrast, public debt servicing costs are reduced by 18.6%.

The Minister of Finance has submitted 34 amendments to the budget, incorporating credit transfers and personnel arrangements to ensure the smooth functioning of the government. These adjustments entail additional expenditures estimated at €25.9 million for 2025.