Finance Minister Claims SMER's Bank Levy is Dilettantism

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BRATISLAVA, February 20, (WEBNOVINY) – Finance Minister Ivan Miklos (SDKU-DS) and deputy leader of the opposition SMER-SD party Peter Kazimir presented different opinions on which government has increased costs for families more in Sunday’s political debate program of the private television broadcaster Markiza titled Na Telo. Minister Miklos claimed that annual costs of a four-member family will be higher by 326 euro this year, while during the previous government of Robert Fico (SMER-SD) it was an increase by 422 euro. Furthermore, the price growth for this year is estimated at 3.5 percent, while during the previous government it was 4.4 percent. Kazimir argued that although prices were growing during the previous government, the growth of nominal wages was different, and real wages rose as well, while at present real wages are not expected to grow at all, or even decline. The finance minister claims that real wages are expected to grow by 0.8 percent this year.

At an unscheduled parliamentary session, SMER-SD wants to open a debate on its proposal to decrease the VAT rate back to 19 percent from the temporarily increased 20 percent. The shortfall of revenues should be compensated by introduction of a bank levy. According to Miklos, it is “dilettantism which will harm the Slovak economy”. He pointed out that SMER has already decreased its original proposal of a bank tax at 1.3 percent of liabilities to 0.7 percent, while in other countries where the bank tax applies, the rate is set from 0.02 percent to 0.07 percent. He believes banks would compensate for the changes by increasing client fees. Kazimir said that banks increased the fees in January anyway, without the SMER’s proposal to introduce the bank levy. The minister said that the coalition does not oppose a bank tax in general, but they want a common European approach.

SITA

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Viac k osobe Ivan MiklošPeter KažimírRobert Fico