Romanian Fin Min: Govt Negotiated With IMF To Keep Flat Tax, VAT Unchanged

"We had to choose between increasing the value added tax or the flat tax, which would have negatively affected the taxpayer, or to take instead some measures together with the European Commission and keep the main taxes at the same level," Pogea said in a press conference.

The agreement with IMF stipulates, among others, a careful monitoring of the budget deficit, of state companies and country’s meeting the settled inflation targets.

Romania agreed late-March with the IMF, the European Union and other international institutions a EUR19.95 billion financial package, supported by a EUR12.95 billion IMF loan under a two-year stand-by arrangement.