effects

Romanian transport operator representatives said Friday that the sector will see layoffs, wage cuts and an increase of tax evasion, should the Government decide to lower the budget deficit by increasing the VAT and the flat tax.

Forty localities in 13 Romanian counties have been affected by the storm Tuesday night, with the most damage in the counties of Neamt, Valcea and Braila.

The tax exemption for the Stock Exchange gains reported by the local and foreign investors will lower Romanian budget revenues by 68 million lei (EUR1=RON3.8720) in 2009, Ministry of Economy and Finance announced Friday.

Romanian Prime Minister Calin Tariceanu and labor minister Paul Pacuraru met Tuesday morning for half an hour to discuss the effects of the decree signed by President Traian Basescu, suspending Pacuraru from his position.

Romania’s Agriculture Ministry took measures to reduce effects of drought and is considering multiannual budget projection to improve the country’s irrigation system, agriculture minister Dacian Ciolos said Wednesday in the Government’s weekly meeting.