Romania’s ruling coalition agrees to cut Govt. spending, postpones talks on progressive tax
Romania’s ruling coalition has decided to cut the Government’s expenses with goods and services by 10% and to completely stop the purchases of cars and furniture as well as other not essential items.
iulian ernst · Journalist
· Updated · 1 min read
Romania’s ruling coalition has decided to cut the Government’s expenses with goods and services by 10% and to completely stop the purchases of cars and furniture as well as other not essential items.
The coalition also agreed to halve the number of advisors working at the offices of government dignitaries (ministers and secretaries of state), the liberal prime minister Nicolae Ciuca announced on Monday, May 8, News.ro reported. Hiring in the public sector will also be frozen, except for the education and healthcare sector, where there’s a personnel deficit.
The coalition also decided to introduce the “short supply chain” for public purchases of food.
Meanwhile, the coalition decided to postpone the discussion about moving to a progressive tax system for individual income because the Finance Ministry doesn’t have the technical systems to implement such a change yet. Prime minister Ciuca said the talks will resume next year after the Finance Ministry and the tax authority ANAF develop a digitized integrated system to track people’s revenues.
“We have started this system, but it takes 9 to 12 months to implement,” Ciuca said, according to Agerpres.
(Photo source: Gov.ro)
