President Elbegdorj vetoes bill of the 2010 budget

State Great Khural passed consolidated budget of the country for 2010 late November. The bill of the budget was sent to the President Elbegdorj for his approval on Dec 10, 2009.

According to the bill, the budget revenue for 2010 is estimated at 2.426, 8 billion Tugrig or 33.8% of the GDP. The budget expenditure is estimated at 2.785.4 billion Tugrig or 38.8% of the GDP. Budget deficit is expected to be 5% of the GDP or 358.6 billion Tugrig.

Controversy of the bill lies in allocation of 76 billion tugrig to be spent in development of constituencies of the 76 legislators of the Khural. Each legislator can participate in spending of special fund up to 1 billion tugrig in each of their own constituency. The fund can be spent in building of kindergartens, schools, school gyms etc for the local residents. Critics of the bill say legislators likely to use the fund at their discretion to improve their political rating and publicity.

Elbegdorj said this contradicts fundamental principle of the constitution on authority and mutual check and balances of state organization. President regretted similar misappropriation of funds occurred in previous years are repeated under a different guise of this bill.

According to the veto, the bill breaches following articles of laws " A member of the State Ikh Hural shall be an envoy of the people and shall represent and uphold the interests of all the citizens and the State" (Article 23-1 of Mongolian Constitution), Article 30.1.8 of the law on Administration, Financing of state budget organizations and Article 15.2 of the law on Construction that bans to include construction of buildings without construction drawings in investment plan of the state budget.

Khural is expected to respond to the Presidential vote next week. The allocated fund for the legislators is included in every detail of the bill, therefore, the President had to veto the bill in its entirety. One-third of the legislators' vote is required to accept the veto.

By Ganbat, editor of the MonInfo News Service

Source:Press service of the President's office and State Great Khural