Nicusor Dan: On Monday we will have the draft of the fiscal measures package

President Nicusor Dan estimated that Romania will have a new executive in place within 10 days, noting that all pro-European parties involved in the negotiations want to join the government.

The head of state said that a first draft of the fiscal measures package will be presented to political parties on Monday during consultations at Cotroceni.

Nicusor Dan said that the information circulated in recent days regarding possible tax increases are only working hypotheses for now. Catalin Purcaru tells us what economic measures are being considered to reduce the budget deficit.

Reporter: The working groups analyzed all possible scenarios, from increasing the standard VAT rate to progressive taxation of salaries.

One option that was discussed is increasing the value-added tax from 9 to 19 percent for certain products, including services in the hospitality industry.

Other proposals included increasing the tax on dividends from 10 to 16%, a solidarity tax on incomes over 10.000 lei, a tax on outsourcing income, additional taxation on gambling, and higher excise duties on tobacco and alcohol.

At the same time, the reorganisation of state institutions and companies, through bonus cuts and mergers, as well as effective measures to combat tax evasion, were the focus of attention of representatives of the PSD, PNL, USR and UDMR.

However, no final decision has been made on the fiscal package to reduce the budget deficit. The project is to be politically negotiated by President Nicusor Dan and the leaders of the four parties.

Once the economic and financial measures have been agreed upon, negotiations for the future government formula will begin.

Translated by: Radu Matei