The Ministry proposes to allow the use of “Sodra” funds for payments from the state budget Business

The ministries have prepared and registered draft amendments to the laws providing for this on Friday.

“The project envisages the possibility, in the absence of sufficient funding from the state budget, to pay benefits financed from the state budget and pension contributions paid from the state budget for pension fund participants with the funds of the State Social Insurance Fund,” SADM states in the explanatory note of the project.

The Ministry proposes such changes in order to continuously pay state budget payments without reducing funding for social needs.

“Smoother and uninterrupted payment of benefits financed from the state budget and pension contributions paid from the state budget for pension fund participants would be ensured,” the document reads.

According to the ministry, the amendments are intended to avoid cases where the state budget lacks funds for payments, and at the end of the year funding has to be secured by reducing other social expenses, for example, for social services or paying social benefits and compensations.

According to SADM, the amounts of benefits financed by the state budget are defined by law, so these benefits cannot be reduced.

The project envisages that the budget funds of “Sodra” could be used only if they are sufficient for the payment of state social insurance benefits and with the approval of the Government. The used funds of the fund should be compensated from the state budget after two years.

Drafts of amendments to laws will be submitted to the Government. With the approval of the Cabinet of Ministers, they will be decided in the Seimas.