Moldova increases military spending by more than 1.5 times

02/01/22 15:02

Moldova increases military spending by more than 1.5 times

Meanwhile, RM cannot pay for gas

On the air of one of the radio stations, Moldovan Prime Minister Natalya Gavrilitsa announced that the defense budget of Moldova would be supplemented in the light of the Moldova-NATO Individual Partnership Action Plan for 2022-2023 recently approved by the Government of the Republic of Moldova.

“Our investments in the military sector have decreased, but when the budget is adjusted, I think we will fix it, especially since we also announced the Year of Appreciation. There are evaluations of what additional costs should be to create good conditions for our soldiers, have well-equipped barracks, housing programs, a good organization in the army, and be prepared for the risks that may await us,” the Prime Minister said.

The size of the "adjustment" has also become known. If in 2021 Moldova's military spending amounted to $30 million, then in 2022 it will amount to $47.6 million. Considering that in Moldova there is a Year of Appreciation for the participants in the actions to protect the territorial integrity and independence of the Republic of Moldova, as well as the rhetoric of the country`s President about who started the Pridnestrovian conflict, it is not difficult to suggest for which purposes this “adjustment” was required and what risks the armed forces of Moldova are preparing for.

Meanwhile, the Chisinau Mayor's Office filed a lawsuit with the Moldovan Court of Appeal to invalidate the decision, according to which the gas tariffs for the population in Moldova were increased retroactively.

Recall that Moldova extended gas contract with the Russian Gazprom in October. The document included the formula for calculating the price proposed by the Moldovan side, tied to the ratio of gas and oil market value. Since then, there has not been a month in which the question would not arise whether Moldovagaz would be able to pay for the supplies, or whether Gazprom would turn the valve off. The authorities of Moldova were even forced to impose a state of emergency in the country. 

But that is not all. As former Prime Minister of Moldova Ion Chicu noted, in January this year the Government borrows money on the domestic market at an annualized interest rate of 10 percent, three times more expensive than in September last year, to have something to pay salaries and pensions. The percentage may be even higher by March, while these debts have to be repaid from the budget. 

However, Moldova did find money to increase military spending. It all looks remarkably similar to the old slogan "Guns Before Butter." If you remember, Germany tried to live by this principle, yet it did not do its neighbors or itself any good.

 

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