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The executive is preparing a set of fiscal measures to reduce the budget deficit

The executive is preparing a set of fiscal measures to reduce the budget deficit
Foto: gov.ro

Articol de Radiojurnal, 31 Iulie 2023, 04:43

The executive is preparing to adopt, next week, a set of fiscal measures aimed at bringing more money to the state budget and, at the same time, keeping the deficit as close as possible to the assumed target for this year, namely 4.4% of the Gross Domestic Product.

In parallel, the Government is also taking into account support measures for the population, in order to combat the effects of inflation.

From this autumn, employees in agriculture, construction and IT could pay the 10% health contribution.

Also, the Government wants to maintain only two VAT rates: 9% for food, medicines and HoReca services, for everything else the 19% rate will be charged.

Government sources claim that there are also discussions within the coalition about reorganizing the budget system by abolishing 200.000 vacant posts.

On the other hand, the Executive takes into account the increase of the minimum wage in two stages: one from September, from 3.000 to 3.300 lei gross, and another from January, up to the level of 3.750 lei.

However, this proposal is not supported by entrepreneurs, who, according to a survey, say that they do not have the possibility of increasing the minimum wage for employees.

If the measure is imposed, more than half stated that they will increase the prices of products and services or reduce the number of employees.

Translated by: Radu Matei

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