almotamar.net,Saba - An official source at the Cabinet said on Saturday the cabinet has approved 50 percent cuts in the 2009 general budget.

Under the decision No. 467 for 2008, which was approved at the minister council last meeting, salaries are exempt from the cuts, the source says.

The move comes due to the fall in oil prices which slumped down $ 36 for the barrel of crude oil lately, the source made clear, adding the drop in oil prices will consequently lead to financial deficit in the 2009 budget increasing from YR 427 billion to YR 532 billion as the price of a barrel reaches $ 30.

Saba