The Gavrilița Government will modify the paradigm concerning tax concessions for the hospitality industry. The Premier says the former Government’s decision to reduce the VAT for the hospitality industry to 6% for the period of the public health emergency is a confusion that should be rectified. While she held the post of minister of finance, Natalia Gavrilița she was for increasing the VAT for the hospitality industry, but now the authorities should change the approach and should support this sector, IPN reports.

Premier Gavrilița said the Ministry of Finance will make the necessary calculations and will determine a new VAT rate for the hospitality industry so that the sector does not go bankrupt in times of a pandemic. When she served as minister of finance, the VAT for this sector was doubled to 20%.

According to the Prime Minister, the economic situation is now different. The hospitality industry is among the most seriously stricken sectors and a special approach to this is needed. The VA T rate of 6% adopted by the Chicu Government is a confusion and things should be put right. The Chicu Government didn’t adopt support measures for the SMEs and many of them drastically reduced their activity.

“The previous Government didn’t support the entrepreneurs, didn’t provide technical unemployment benefit, didn’t guarantee the loans for small and medium-sized enterprises and many people lost their jobs. We should now restart the engines of the economy so that all the companies are able to employ people, to sell their products. This implies stimulation of the demand,” Natalia Gavrilița stated in a special edition on ProTV Chisinau channel.

She noted that the new Government’s first step aimed at improving the life of people will be to increase the minimum pension to 2,000 lei. At the first stage, there will be inequity between older people with pensions lower than 2,000 lei and those with pensions that are slightly higher than this sum. However, together with the rise in budget incomes, all the pensions will be increased.

“420,000 people will receive more money after the minimum pension is raised. This year we need 500-600 million lei, while in 2022 and the next years - 2-3 billion lei. As a result, the people will have a greater purchasing power. I understand those who worked and have a pension of 2,200, but there are many people in villages who get less than 2,000 lei. This is a failure of the state,” noted Natalia Gavrilița.

According to her, last year the Government failed to get almost 8 billion lei from the international organizations, but the 2020 state budget was adopted by taking into account this aid.