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    BUCHAREST, (30 iul 2010)

    Romania Fin Min Says Talks With IMF Don’t Tackle Further Tax Hikes

    Talks between Romanian authorities and the International Monetary Fund’s mission don’t include further tax increases for the country, either this year or in 2011, Finance Ministry Sebastian Vladescu said Friday.

    Romania Fin Min Says Talks With IMF Don’t Tackle Further Tax Hikes

    The IMF's mission "doesn't change anything" regarding Romania's taxes and duties, Vladescu told reporters.

    Romanian government recently raised the value added tax level to 24% from 19%, as part of an austerity pack aimed at boosting revenue and reducing the budget deficit.

    According to analysts, the IMF could ask for further budgetary adjustments by year-end so the country reaches its budget deficit target of 6.8% of the gross domestic product for 2010.

    Joint teams from the IMF and the European Commission will be in Bucharest until August 4 to review Romania's progress under a EUR20 billion loan package.

    Following the mission, the IMF will decide whether to disburse a sixth loan installment to the country, worth over EUR900 million.



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