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Order eliminating economic aberrations of OUG 114, published in Official Monitor
Liberal (PNL- at rule) spokesman Ionel Danca, and head of cabinet of PM Ludovic Orban, announced on Thursday, that the Official Monitor had published the order eliminating the “economic aberrations”of EMERGENCY ORDER OF THE GOVERNEMENT (OUG) 114.
OUG 114, announced in December 2018 by the then finance minister Eugen Teodorovici, and by former government councilor Darius Valcov, included a series of controversial economic measures which were criticized by several business organizations and associations.
Among the main provisions amending OUG 114, which come into force as of Thursday, there is the elimination of provisions that jeopardized the functioning of private pension funds and the money of participants in pension pillar 2.
“The abrogation of the 2% tax on the business figure of companies in the energy field which led to price rises for energy and utilities, the liberalization of the energy market by gradually eliminating the fixed sales price with producers that advantaged gas and electricity imports, the dissolution of the tax on bank shares that led to higher credit costs and bank installments”, Danca announced.
Moreover, the order had in view to dissolve financing without budget resources from the Development and Investment Fund, reducing salary increases in the public sector at the level of December 2019 and the payment of activities carried out by militaries and policemen on free days or legal holidays and of food allocations.
“Putting an end to detachments from the private to public sectors which avoided admission tests for public positions. Freezing traffic fines at 2019 level of 145 lei. Suspending special pensions for mayors in 2020,” Danca announced.