OREANDA-NEWS. December 28, 2012. Eesti Pank's budget for 2013 will be 20.2 million euros, which is 2% more than this year.

Eesti Pank aims to provide Estonian society with the highest possible quality of central banking services as efficiently as possible. Among other measures, the bank considers it a priority that its costs should remain at the same level relative to gross domestic product (GDP) that they have been in earlier years. As cash handling costs can vary widely from year to year, they are not included in comparisons. The central bank's budget for 2012 was 0.098% of GDP, but the budget for 2013 will be 0.095% of GDP according to the figures in the economic forecast.

In 2013 the central bank's spending on postings, training and office costs will be down 3.2% to 1.1 million euros. Costs of various services such as IT and printing services and office management services, and other costs will be reduced by 1% to 7.8 million euros.

Staff costs will be 5.5% higher than this year at 8.6 million euros. In mid-2012 salaries for bank staff rose by 4%, which was the first rise in salaries since 2008. At the start of 2013 the base salaries of staff will rise by 2%. The rise in salaries will make them roughly comparable to those for similar positions in the financial sector in Tallinn. The rise in salaries does not affect the salaries of the management, which are set by the supervisory board.

Investments in fixed assets will fall in 2013 by 39% to 1.4 million euros. The central bank's biggest investments next year will be in increasing security and in new software solutions for the cash accounting and financial asset management systems. Major renovations to one building are also planned. Eesti Pank will also be part of new IT projects of the European System of Central Banks.

Eesti Pank's forecasts show that the revenues for next year for the central bank will be 40 million euros. Eesti Pank's revenues are forecast to come from foreign reserves management and Eurosystem transactions and from other activities.

Eesti Pank and the other central banks of the euro area are responsible for maintaining price stability in the euro area. To do this, Eesti Pank must be independent, and for this reason the bank is not covered by the state budget.