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Union leader says government must ease up tax pressure

Autor: half
SIBENIK, Nov 27 (Hina) - The president of the HUS union federation on Tuesday urged parliamentary parties and all MPs not to endorse the government's 2013 draft budget, which parliament is discussing today.

The draft envisages a GDP growth of 1.8 per cent, which is not realistic, Ozren Matijasevic told reporters in the coastal city of Sibenik.

The budget represents a continuation of the policy of austerity at citizens' expense which has already resulted in a drop in consumption, lay-offs, private investors fleeing Croatia and even Serbia becoming more competitive, he said.

The Zoran Milanovic Cabinet must stop with severity and ease up the tax pressure as well as stop cutting allowances on salaries in the public sector, as this will cause a further drop in consumption, said Matijasevic.

He said some banks operating in Croatia took HRK 11 billion (approx. 1.5 bln euros) out of the country this year alone without paying any taxes, and suggested the government impose a tax on financial transactions. He added that instead of protecting banks, the government should protect citizens.

Matijasevic went on to say that the state should acquire stakes in ailing construction companies, the result of which would be a consortium of state-owned construction companies that could apply for international tenders financed by the European Union.

(Hina) ha

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