Memorandum with IMF and EU: tax increases if everything else fails. See what else was included

A supplementary memorandum of understanding with the International Monetary Fund (IMF) and the European Union and signed by the Government includes several measures which were not initially announced by the government representatives, among which taxes on bank deposits and meal tickets, taxation of capital market gains, of compensatory payments and the cancellation of tax exemption for IT programmers. It also states the salary pool for the budget system will be limited to RON 39 billion next year (around EUR 9.5 billion), according to Mediafax newswire. Over 140,000 employees from the public sector will be axed until the beginning of next year, according to Mediafax. The document also includes a 25 percent drop in salaries and other payments for public sector employees, starting June 1st this year. There will be no more early pensions and existing pensioners will received 15 percent less in their monthly payments. If these measures fail, the government will increase taxes, the memorandum also states. The personal bankruptcy law will not be pursued, the Romanian authorities have pledged. The privatization of Termoelectrica and of CFR Marfa were also included in the document.