Moldova fiscal council planned despite public-sector funding shortages
Moldova’s Finance Minister Victoria Belous is planning to establish a new government institution at a cost of 8.1 million lei, despite recently warning that the state lacks sufficient funds to increase public-sector salaries.
The proposed Fiscal Council, scheduled to begin operating in early 2028, will employ 11 people, including three members appointed by Parliament. Its creation is being justified as part of Moldova’s preparations for membership of the European Union.
The decision raises questions about the government’s spending priorities. While officials point to budget constraints when discussing salaries for existing public-sector employees, they appear willing to allocate additional funding to establish another state institution.
New fiscal council to review government budget decisions
The Moldova fiscal council will be responsible for assessing fiscal and budgetary policy, economic forecasts and the management of public finances. Its recommendations will also carry a new transparency requirement. If the government disagrees with the council’s conclusions, it will have to provide a public explanation within two months.
Such oversight is intended to strengthen scrutiny of public finances, but the proposal also comes with a financial cost and an expansion of the state administration.
The timing is particularly awkward for Belous, who has recently spoken about the shortage of funds available for public-sector salary increases. The Finance Ministry must now explain why creating 11 new positions deserves priority when existing budgetary commitments remain under pressure.
There is another contradiction. Moldova continues to maintain a moratorium on filling vacant posts in the public sector, yet the government is preparing to establish an entirely new publicly funded institution.
The proposed council is being presented as a requirement of European integration. For taxpayers, the more immediate question is why 8.1 million lei can be found for a new administrative body when money for existing public-sector employees is reportedly in short supply.
