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December 5, 2022

Senate’s Tariceanu: Romanian companies pay 55 bln lei in profit tax vs 2 bln lei the foreign ones

The Senate’s President, Calin Popescu-Tariceanu, on Monday urged for support to companies running on Romanian capital, stressing that in 2014 they paid 55 billion lei in profit taxes, against the foreign capital companies that have only paid two billion lei.

“We have had a defect for over 20 years now at central and local levels. When it comes to economic development, we talk about investment, too. Most often I hear the phrase: foreign investments are welcome, we expect the foreign investors. (…) What about the Romanian investors, are they not good? In 2009 the economic crisis occurred and what did we see? The foreign banks took off, withdrew their funds from Romania, the foreign companies didn’t invest and the hard work was left to the Romanian ones,” Tariceanu told a meeting of the General Assembly of the Municipalities Association of Romania.

He added that the foreign companies are tempted to transfer their profit to the origin countries.

“I urge you: please, pay attention to the domestic capital. Let us find ways to support the domestic capital. In Romania, right now, the domestic capital represents over three-thirds of the employees. They pay most of the taxes and fees. (…) I’m absolutely open-minded, I too have promoted the foreign capital, I have no reservation. My reservation comes from the fact that we have no courage to back the Romanian companies,” asserted the Senate President.

Tariceanu drew attention that the neighbouring countries have understood how important is to support the domestic capital, mentioning Poland, Hungary, Czech Rep. and Slovakia.

“I regret that the Romanian companies are targeted by the Romanian administration that is controlling them sun-up to sun-down, considering them corrupt ab initio, fraudulent and so on. Whereas the foreign companies I could see are fine, thank you, they keep going with their businesses. We cannot go on like this. We’ll end in crying on our fists,” he concluded.


“Germany and Austria benefited the most from Danube Strategy”


Senate Speaker Calin Popescu-Tariceanu made a point in stressing that Germany and Austria are the countries that benefited the most from the Danube Strategy, which he initiated while he was serving as Prime Minister, although the most significant stretch of the river crosses Romania.

“Many years ago, when I was serving as Premier (…), in my last year in office, after Romania had acquired EU membership, I initiated the first and – so far, I believe – Romania’s only European project, the Danube Strategy. (…) I tried to get on the loop on what happened with the Danube Strategy which has a budget designed by the European Commission. Which countries, do you think, have benefited the most from the European strategy? Romania, which has the longest section of the Danube crossing its territory? Or maybe Bulgaria or Hungary? No. It’s Germany and Austria. Doesn’t this set you thinking? I congratulate the mayors there for succeeding in attracting European funds under the Danube Strategy, but I don’t know why, my vague impression is that far more than Germany or Austria, it is us who need a rise in the quality of the Danube riparian area,” Tariceanu told the meeting of the General Assembly of Romanian Municipalities’ Association.

He added that the Danube Strategy has multiple valences, and the funds can be used in about 14 areas, such as economy, environmental protection, culture.

Head of the European Commission’s Representation in Romania Angela Cristea pointed out that European funds finance the cities’ integrated development strategies and expressed hope that the municipality mayors are working on these strategies because the funding is there to be assigned.

“We are not interested in the absorption rate alone. In the end, the purpose of these funds isn’t that of reporting at the closing of the period an absorption rate of 100 percent. What we want is to see that those goals the funds have been granted for are attained. For this reason, the impact of these funds, the quality of the projects to be funded are far more important to us,” said Angela Cristea.

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