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FinMin Citu: I'll never agree that money from budget go to tax evaders

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Florin Citu

Public Finance Minister Florin Citu said on Thursday night on the public broadcaster TVR 1 that he would never agree that the money allocated from the state budget to support the economy should go to support "those who have done tax evasion, those who have taken advantage of the system".

"(...) these bombs for the economy, that appear in the Romanian Parliament, are not only destabilising us. Here is the problem that the people in Parliament do not understand: the investors are also looking at us, those who give us the money. If all kinds of populist projects come up, at some point they're going to say 'Stop!'. One of the bombs would be that no one was paying taxes this year and we were increasing expenses to pay for everyone. We can't do things like that. We have to do everything wisely, because if we let go, Romania's financing will stop and then we will really have a problem. In the Romanian Parliament there isn't, unfortunately, that collective intelligence that we see in other parliaments where there is also the experience of the private sector (...). We see that this crisis is being used to put Romanians or companies that have paid their taxes with others on an equal footing. I'll never agree to that. I will never agree that the money we give to support the economy to go to support those who have done tax evasion, those who have taken advantage of the system. I get a lot of signals from companies that are telling me today that 'we've been good payers, but we see how our competitors who haven't been as good payers are treated the same as us and are stealing our turnover," Citu said.

The Finance minister referred to the second plan for the recovery of the economy which "will make a clear difference between those who deserve and those who do not deserve these resources".

"The economies that managed to overcome these crises were market economies. I will not abdicate from the liberal principles of the market economy. It's public money, it's not my money, it's not Parliament's money," he said.

As for the delay in loan rates, the Finance minister reiterated that "there is no interest on interest".

"It's a politicising attack that has caught on, but those who know how to read the legislation in the field and how the financial-banking system works know that something like this doesn't exist," he said.

At the same time, Florin Citu assured that there is no problem with the payment of pensions, salaries and bills.

"There is always a link between making the expenditures and the budget implementation. There is no problem in ensuring the payment of pensions, salaries and bills. Bills are very important, because that's how we keep the private sector alive. It is very true and it is something that the world needs to know, that there is a direct link between the budget implementation and the payment of the expenditures that is included in the budget. This message is for the populists, those people in the Romanian Parliament who want to increase the budget deficit on paper. Anyone can increase the budget deficit on paper. It's harder to make those payments. There are three party presidents who, in addition to promoting all kinds of bills that would destabilize Romania, are also instigating social unrest today," Citu stressed.

The minister wanted to make it clear that the pension increase foreseen for September was included in the budget, but the evolution of the economy must be analysed from week to week.

"The pensions' increase was included in the budget. I'm making my plan for everything I've budgeted. Evolution needs to be analyzed from week to week. In the case of the child allowance, the money was not included in the budget, but we will see how the economy evolves. That is why I say it is important to see how the economy evolves (...)", Citu said.

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