ECO-BUS WEEKLY DIGEST August 26-September 1. Most important Economy & Business news by IPN
● MONDAY, August 26
PPDA asks PG to investigate circumstances of electricity tariff increase
Dignity and Truth Platform Political Party (PPDA) asks the General Prosecutor's Office to investigate the circumstances in which the ANRE decisions of August 16, concerning the increase in electricity tariffs, were taken. The party requests the full annulment of these decisions. The PPDA leader Andrei Năstase made a statement to this effect, during a press briefing on Sunday, August 25, IPN reports. The PPDA deems ANRE decisions to be illegal, unfounded and taken in violation of the established procedure. "These decisions bring considerable damages to the rights and interests of the largest part of our society, to citizens who have a low and medium income, who will have to bear even higher expenses to cover the provided service," said Andrei Nastase. According to PPDA leader, it is clear from the disclosed documents that such a request for an increase was considered necessary since the beginning of the year. However, despite a constant practice of making decision- in the first months of the year, for political and electoral reasons, ANRE intentionally delayed solving the matter due to the parliamentary elections of February 24, 2019.
How often can exchange rate on billboard be changed?
Foreign exchange units and licensed banks are entitled to modify the exchange rate on the billboard once during the work program. It concerns units with up to 12 working hours. Those with a program longer than 12 hours can do it twice. The first change shall be made during the first 12 hours of work, while the second change - within the next 12 hours. In reply to IPN, the National Bank of Moldova mentions that, if a currency exchange unit modifies the purchase or sale rates for foreign exchange operations in cash with individuals, it shall inform about it by displaying the respective information, according to the legal provisions, prior to beginning operations with the new rates. As for the exchange rate differences from bank to bank or exchange offices, the NBM mentions that the licensed banks and the currency exchange units establish independently currencies’ purchase and sale rates for carrying out foreign exchange operations in cash with individuals.
● THURSDAY, August 29
MP notifies the Prosecutor's Office of violations committed at National Railway
PAS group MP, ACUM Bloc, Lilian Carp, notifies the General Prosecutor's Office about a series of violations committed at the National Enterprise "Railway of Moldova". During a press briefing, Lilian Carp said that allegedly "there is a copper and aluminium illegal sale scheme" at the Bender railway hub. The MP claims that a group of Bender railway hub employees brought him information, including video evidence, about how other employees are hiding scrap metal accumulated in the process of old wagon disposal, which is subsequently illegally sold. On July 23, the internal security service of the "Railway of Moldova" conducted checks at Bender and found warehouses full of aluminum and copper. According to documents, the warehouses were empty. The National Enterprise "Railway of Moldova" informs that "about a month ago, the management of the Bender railway node apprised the CFM administration regarding the identification of unaccounted for stocks of metals".
Maia Sandu: There was no consultation between Government and NR Investments Ltd.
The Government will continue to cooperate with legal institutions to terminate Chisinau International Airport concession contract. Prime Minister Maia Sandu informs about this, after media revealed information about the finalization of transaction on changing shareholder of Avia Invest SRL, the holder of Chisinau International Airport concession contract. The prime minister states that there was no consultation between the Government and NR Investments Ltd., new owner of the Airport. "Prime Minister Maia Sandu and the Government were informed post-factum about the signing of the contract for the acquisition of 95% of Avia Invest Ltd shares by NR Investments Ltd," states a press release sent by the Government.
BNM sanctioned non-bank payment services provider
A non-bank payment services provider was fined over 77 thousand lei for violating the provisions of the Law on payment services and electronic currency, as well as the normative acts of the National Bank of Moldova. The National Bank's executive committee has decided to sanction the provider for non-compliance with the notification requirements of the BNM regarding the outsourcing of cash collection and IT services and of registration with the BNM of payment agents in the register of companies issuing electronic currency. According to the BNM, some internal control mechanism deficiencies of the company were also detected.
Budget deficit exceeded 2 billion lei in the first seven months
The revenues to the state budget increased by 6.3% in the first seven months of the year compared to the same period of 2018, while expenses increased by 15.4%. The budget deficit registered during the mentioned period was 2398.9 million lei. In a Ministry of Finance press release, it is stated that state budget revenues amounted to 21682 million lei, while 24080.9 million lei were spent.
● FRIDAY, August 30
Igor Munteanu: Concession of Chisinau Airport involved serious violations
The chairman of the Inquiry Committee for the analysis of the organization and conduct of privatization and concession of public property, Igor Munteanu, claims that there are reasons to cancel the Chisinau Airport concession contract. “There were serious violations of the concession process. The contest was closed”, said Igor Munteanu, pointing out that AVIA Invest had no right to participate in the competition. The company was accepted into the contest without being on the government's list.
Amendments to financing agreements of Tax administration modernization project
The government approved and submitted to the Parliament for ratification two amendments, one to the Financing Agreement with the International Development Association (IDA) and another to the Loan Agreement with the International Bank for Reconstruction and Development (IBRD), both institutions of the World Bank group. The amendments refer to the Tax Administration Modernization Project (TAMP). The project provides for the reduction of fiscal administration costs, the emphasis being placed on taxpayer’s voluntary compliance, the improvement of services provided to them, the fight against corruption and the prevention of tax frauds.
Ministry of Economy will order an audit of investments made at airport
The Ministry of Economy and Infrastructure will order an independent audit in relation to the investments and modernization works carried out at the airport by Avia Invest. In a Ministry of Economy press release, it is stated that the minister Vadim Brînzan did not negotiate and did consult with the representatives of the company that took over the airport concession contract. According to the statement, "on August 19, together with the Prime Minister Maia Sandu, we had a meeting with the representative of NR Investments Limited. The company representative informed us that NR Investments signed a direct purchase agreement for 95% of Avia Invest shares. We were only informed about the intention and the signing of the contract”.
