Pärnu city 2023 city budget of over €100 million passes vote

Pärnu. Source: Siim Lõvi /ERR

Pärnu City Council has voted to adopt the 2023 budget for the southwestern Estonian town. The budget totals just over €100 million in revenue, slightly less than that in expenses.

The 2023 Pärnu budget focuses on wage boosts for those employed in the public sector in the city, and improving living standards.

Pärnu Deputy Mayor Meelis Kukk (Pärnu Ühendab electoral alliance) said: "Despite the fact that, for the first time in Pärnu's history, the volume of revenue from core activities exceeds the €100-million mark, risen costs will 'eat up' this result, which investment capacity depends upon, reducing the total to €3 million," - in other words, the budget is in the black to the tune of around €3 million.

"However, all the important development activities are being implemented according to the plan, something made possible by the low level achieved in previous years , the city's debt burden is close to zero," said Deputy Mayor Meelis Kukk.

Heating, electricity, water and sewage bills incurred by the municipality are budgeted at around 20 percent more than the total for last year.

Kindergarten teachers, education support specialists and some other education workers will see pay rises subbed by the municipality; general education teachers are paid by the Estonian state, though they, too, will see wage rises this year.

The budget sets Pärnu city's core revenues at €100,011,430 and its core outgoings at €97,026,350 for 2023.

This €3 million surplus, along with savings made in preceding fiscal years, plus loans, gives Pärnu a little under €17 million to invest for 2023.

The city's net debt burden is calculated at 21.7 percent.

Pärnu has a population of around 40,000 and is the summer capital of Estonia. One of the most focused-on infrastructure projects in the city is a planned bridge which would span the Pärnu River, in the city center.


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Editor: Andrew Whyte

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