Flat tax makes economy buzz

The economy is working so well that it is “buzzing”, PNL (National Liberal Party) leader Calin Popescu Tariceanu explained in Suceava on Saturday. The government”s main measure, the fiscal reform was starting to pay off, encouraging people to pay their debts to the state, he said. “The Romanian economy today, this year, I can tell you, is not working well, but very well. You know what they say in Romanian, it”s buzzing!” Tariceanu told Liberal party members gathered in Suceava for the county conference. The main reason the economy is working is the fiscal reform, the implementation of which has resulted in an average increase of 14% in budget revenues for the first four months of the year. Data from the National Statistics Institute show that industrial output rose 6.6% and trade rose 18% in the first three months of the year. First-quarter GDP data have not yet been made public, however, economic growth is not expected to be higher than 6%, compared with 8.3% for the whole of last year, due to the large foreign deficit. ZF