TV SCAN, EIP propose 10-year political pact on Albania’s fiscal policies
SCAN TV and the European Institute Pashko presented to the media an assessment report on the electoral programs of the political parties for the 2017 general elections as well as a draft proposal for a national pact related to the executive’s economic decisions.
President of EIP, economist Selami Xhepa, said that the programs of the three major parties (SP / DP / SMI) do not provide instruments to support an adequate economic growth.
According to him, there are no clear priorities for well-funded reforms in education and health as two sectors of primary importance for the country’s development
He stressed that it is positive that the electoral programs of the three main parties have the tendency of reducing the tax, and they clearly stress the need to return to the flat tax.
“EIP considers that the assessment of the three major political parties, SP, DP and SMI have in relation to the taxation policies, especially tax on labor and capital, is a fair approach. Increasing the tax on labor and capital has impacted negatively on employment expansion and in not using the capacity of the economy for more private investment, both domestic and foreign. After having expressed our clear preference for a modernized restoring of the flat tax, we support the initiatives of the other two political forces that maintain progressive taxation but offering a significant reduction in the tax burden,” writes the 8-point report released by the European Institute Pashko.
The event was held in collaboration with SCAN Television. The director of information Enio Civici, proposed a 10-year pact between the main parties for a macro-economic stability in Albania. He listed five points including:
- SCAN considers as vital for the Albanian economy the further expansion of political agreements in the service of economic development. The extension in time and substance of unchanged public policies irrespective of parties in power represents the appropriate macro-economic stability in Albania.
- SCAN proposes a 10-year agreement on fiscal policies as a commitment to creating an appropriate environment for doing business. Adopting the same fiscal offer despite the fact who is the head of the Finance Ministry, and this as evidence of Albania’s executive stability.
- SCAN proposes an arrangement for selecting and applying relevant employment policies. The approach towards employment growth models should be the same to strengthen direct employment channels.
- SCAN proposes a 10-year national pact on infrastructure and attracting domestic and foreign investment. Despite government mandates, crucial is building environment-friendly and inalienable incentives for investment in Albania.
- SCAN proposes a political agreement regarding the identification, support and structuring of the priority sectors. A 10-year pact is needed which builds and feeds the same sectors with clear and unchanged policies.
Xhepa also stressed that the electoral programs offer promises that are unjustified as far as financial resources are concerned, something that contains risks in terms of financial stability.
He said that the next government should pay greater attention to public investment in education and health and to the liberalization of these markets.
At the end of the conversation, SCAN proposed the creation of a national 10-year pact aiming the sustainability of public finances and Albania’s economic offer.
“Albania’s presentation should be extended and stable over time despite the ruling party,” said Civici, who argued that the pact should include the stability of fiscal policy, investment and employment.
SCAN
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