Prime Minister Ponta finds a proper time for cutting CAS starting October

Prime Minister Victor Ponta announced the cut in social security contributions (CAS) will come into force on October 1. The measure is debated by President Traian Basescu, but the PM argues that the measure could lead to an increase in jobs subjected to taxation

2014-08-09 00:12:49 - From the Print Edition

"As far as I am concerned, the CAS cut will come into effect on October 1, even if the President might return it to Parliament; he may not do that because I saw he agrees with it. This is a good time and this way we win an essential benefit to Romania, namely jobs subjected to taxation, white jobs as they call them," Ponta explained, quoted by national newswire Agerpres.
The PM grounds his statement regarding the proper time of putting in force the CAS cut on several macroeconomic outcomes also noted by the European Commission, the International Monetary Fund and Parliament: Romania having the biggest economic growth in Europe, inflation below one per cent, industrial output is on the rise, exports are on the rise and agriculture has developed excellently. "So, this is a good time. Now is the time when I can afford something that will cost me — the negative impact is put at five billion RON — but I can cover the costs from somewhere else," Ponta said.