Press Review - July 20, 2015

07.20.2015 By Gabriela Stan

President Klaus Iohannis Sends Tax Code Back To Parliament

President Klaus Iohannis refused to sign the new Tax Code into law and sent it back to Parliament for reexamination, calling for a closer look at its implications on the state budget.

According to a statement of the Fiscal Administration "the draw-up of the new Tax Code should not promote policies which generate excessive taxation or accentuated relaxation“.

“The austerity measures of 2010 must remain history.

The return to risky fiscal policies, with long-term negative consequences represents an experience that the political class can no longer afford, but, most of all, their costs should no longer be supported by the citizens,” Iohannis said in the re-examination request. (Curierul National)

 

Romania’s Annual Inflation Turns Negative For First Time In 25 Years

Romania’s annual inflation turned negative, for the first time in the last 25 years, mainly due to lower food prices after a cut in the value added tax rate.

Bankers say that this might hinder the leu appreciation and could boost the sale of quality products, with higher value-added for producers.

Romanian consumer prices fell by almost 3% in June from a month earlier due to the VAT cut for food products to 9% from 24% starting June 1. While the inflation rate was at minus 1.6% in June, as food product prices were down 6.4%, while the prices of non-food items and services rose 0.8% and 2.5%, respectively.

“The leu would have further room for appreciation, but low inflation could hinder that,“ said Ciprian Dascalu, ING Bank Romania chief economist. Dascalu added that the entire Central and Eastern Europe is facing deflation. (Romania Libera)

 

Salary Law Could Be Delayed By Sending Tax Code Back To Parliament

The salary law, which is the second main goal of the government for the second half of the year, could be delayed by the President’s decision to send the Tax Code back to the Parliament for reexamination.

Moreover, the calendar for drawing up the state budget for 2016, established by the government, could also be ruined.

Finance Minister Eugen Teodorovici stated that state employees’ salaries will be increased at the same time with high officials’ salaries, at a time to be decided after the budget revision scheduled for July 28. Teodorovici emphasized that any measure adopted before January 1, 2016, including the VAT cut to 19%, is definitely impacting the budget.

“This is, indeed another reason for the delay, absolutely, because the implementation of the salary law would not have a slight impact, and its implementation, the time, the number of stages and tranches – as the salary law could not be implemented in one sole moment as there is a high impact – but the implementation of all these (measures – e.n.) had a sense,” the minister stated. (Puterea)

 

Alina Gorghiu: PSD Interim President’s “Attack” Against PNL “Unjustified”

PNL co-chair Alina Gorghiu says the "attack" of PSD interim president, Rovana Plumb, against PNL was unjustified, adding that Plumb would rather “keep the elegance of the political speech” and try not to "imitate Victor Ponta’s style”.

PSD interim president, Rovana Plumb accused the members of the “new PNL” that they are trying to disown their own vote in the Parliament, that they no longer admit they participated in all consultations and debates of the commissions, that they contributed to the new Tax Code with several measures and that they voted for it. (Adevarul)

 

Jama Oncology: Exercise Could Reduce Women's Risk Of Breast Cancer

Physical activity is an inexpensive, noninvasive strategy for disease prevention, according to a Jama Oncology study.

Public health agencies worldwide recommend everybody to be physically active at least 150 minutes a week at moderate intensity, or 60 to 75 minutes a week at vigorous intensity, for overall health.

A new study, led by Christine Friedenreich, shows another benefit of exercise. Thus, the study published in Jama Oncology says that persons over 50 should exercise 300 minutes a week in order to lose fat, but especially to prevent breast cancer, which is much more frequent in older overweight persons. (Romania Libera)