Competition watchdog suggests providing state assistance to economic entities
The economic entities will benefit from assistance from the state if the legislative body approves the bill proposed by the National Agency for Competition Protection. “It is a new law that describes how the assistance is provided and monitored at country level,” the Agency’s director Viorica Carare said during public debates on the bill, Info-Prim Neo reports.
According to Viorica Carare, if an economic entity profits from state aid and this aid is not justified or is exaggerated, other economic entities will encounter difficulties. In order to avoid such situations that have a negative impact, the state assistance offered by the Government or other central public institutions will be examined by the National Agency for Competition Protection, which will make a study and allow providing it only if the competition environment is not affected.
”It is a new and complicated law, but we will gradually learn what state assistance means. Two areas – agriculture and pisciculture - are not regulated by this law. It is in accordance with the European practices. We, as an agrarian country, should first solve the related problems at national level,” said Viorica Carare.
She also said that the state assistance must be offered from public money and must be selective. It includes the subsidies, forgiving of debts, exemptions, reductions or postponement of tax payment, provision of loans at preferential interest rates, etc.
Roman Chirca, director of the Market Economy Institute, said there should be a legal framework that would lay down the principles for allocating money to economic entities so as not to affect the rules of the game by favoring certain businesses.
The National Agency for Competition Protection will produce an annual report on the assistance provided by the state and will submit it to Parliament for approval. Afterward, the report will be published in the Official Gazette.