20/11/08
PM Tariceanu calls for fast implementation of economic growth programme
The measures included in the Programme for economic growth and the creation of jobs should be implemented quickly, Prime Minister Calin Popescu-Tariceanu said at a working meeting held on Monday, November 17th at the Victoria Palace.
The Prime Minister required the ministers having tasks in those areas to draft the normative acts needed for the implementation of the approved measures, so that they may be discussed at the Government's meeting this week.
"Such measures must be implemented as fast as possible, so that they may be implemented starting January 1, 2009", Tariceanu said.
The Premier has met Economy and Finance Minister Varujan Vosganian, Labor Minister Mariana Campeanu, Public Works Minister Laszlo Borbely, SME minister Ovidiu Silaghi and talks were aimed at the implementation of the Programme of measures on prevention of economic crisis effects.
The plan is built, according to Prime Minister, on three coordinates: people, companies and banking system.
Tariceanu stressed that minimum ten billion euros will be allocated in the upcoming four year for investments in essential economic zones for Romanians' future.
The Premier said that he wishes that an ever increasing number of Romanians will join the middle class and that is why he further seeks to lower taxes.
The Programme for Economic Growth
'The Programme for economic growth and the creation of jobs provides cutting another 10 percentage points from CAS. So that we will arrive at 30 percent in social security contributions after four years ago they amounted to 50 percent. This way we will have one of the lowest social security contributions in Europe', underscored the Premier.
As well, starting January 1, 2009, the current Liberal Government proposes the granting of a tax bonus of 5 percent to those who will pay their taxes in time. On this date, too, the reinvested dividends or invested in new companies will be tax exempted.
'The dividend tax, of 16 percent, will not be paid in case dividends are reinvested in the same company or in a new one', he said.
Budgetary funds for the programmes of home construction
The Premier pointed out that investments 220 million euros worth are viewed for the construction of social housing, so that low-income Romanians have a chance to have their own homes. Moreover, the Government proposes twice as much budgetary funds for the programmes of home construction, not just the social ones, including for subsidies to mortgage loan interest.
According to the presented programme, a job creation measure stipulates the granting of 1,000 euros for each newly created job for companies which will hire people who lost their jobs for more than three months.
The "Farmer" Programme
The Programme for economic growth and the creation of jobs, proposed by the current Government, addresses farmers, as well.
'My Government will supplement with 500 million euros the investment spending in agriculture through the 'Farmer' programme. The future of the Romanian agriculture resides in the farmers' capacity to produce for the market, either Romanian or foreign.
Further investments in agriculture is the sole solution able to render the agriculture more efficient and competitive, a modern one', underlined Tariceanu.
The public investment programme
The PM presented programme last week also included measures destined to Romanian companies.
'The Government remains firmly attached to its priority policy of supporting the public investment programme as the most important solution for the continuation of the economic growth pace. (...) As a result, these supplementary measures will be added to the already programmed investments in 2009 through the law draft submitted to the Parliament', he said.
The current Government proposes an added amount of 100 million euros annually, starting January 1, 2009, to the interest rates guarantee ceilings set by the National fund for SME Loan Guarantee and the Fund for Rural Loan Guarantee.
The allocation of three million euros, under the state aid form, is also taken into account for new job creation.
'Of this amount, the allocation for 2009 will be supplemented by one billion euros compared to what we already included in the budget. A great part will be oriented to the small and medium-sized enterprises within the 'de minimis' scheme (aid received three consecutive fiscal years, whose total amount does not exceed 200,000 euros). The remainder will be distributed under the form of co-financing aid to the two existing schemes for big investors. Namely, for investments in the value of more than 100 million euros, which generate more than 500 jobs a state aid of up to 50 million euros is provided and for investments below 100 million euros, generating more than 300 jobs, the state aid is of maximum 28 million euros', said Tariceanu.
Source: Embassy of Romania in London