He told reporters that if his executive gets the Parliament’s vote, the flat tax rate and the VAT will stay unchanged at 16 percent and 19 percent respectively and Romania will see ‘realistic’ growth of 1.3 percent after mid-year.
‘One of the main objectives is the continuation of the state modernisation and the enactment of the results of the November 2009 referendum, the restructuring of the public administration apparatus based on efficiency and performance and the working out of a set of measures that should see the economy re-started and should strengthen the economic growth’, Boc said.
‘First and foremost, the government plans to keep the same flat tax rate and VAT during the entire governance, at 16 percent and 19 percent respectively. Furthermore, we’ll meet Romania’s commitments to the International Monetary Fund, the European Commission and the World Bank. Thirdly, we seek to urgently adopt in a special session of Parliament in January the 2010 budget plan that is built on several macroeconomic elements – 16 percent flat tax, 19 percent VAT, 1.3 percent growth and 5.9 percent budget deficit’, the prime minister designate explained.
He said the Romanians will have to tighten the belt, as the first six months of next year look set to be ‘difficult’. However, he assured the citizens that Romania will not see economic drop in 2010 ‘as it happened in 2009’.
Another goal set by the Boc government is to back the business climate and the SMEs by assigning at least 20 percent of the budget money to public investment as well as to protect the social brackets hit by the downturn by taking active solidarity measures.
The future government wants to promote and adopt the tax responsibility law and the law on the reform of the pension system and to extend the ethnic minorities’ rights and pursue with the reform of justice, health care and education.
A set of concrete measures for the development of agriculture will be drawn up, said Boc, adding that one of his government’s medium-term goals is for ‘Romania to turn from an agri-foodstuff importer into an exporter of such products’.
The economic growth forecast of up to 1.3 percent is the one agreed upon with the IMF and the European Commission, he stressed. Rosia Montana gold mining project, in western Romania, ‘will be re-evaluated, but we do not know whether it will be approved or not, as it depends on the domestic and foreign experts’ analyses that we have demanded’, the prime minister designate said.