Crisis Measures: Parliament Increases Its Budget By 1/3

Only months after having told Romanians to brace for crisis and to accept the 25 percent cuts in salaries for the public sector, Romania’s 471 MPs and senators voted in a large increase in their budget for the next year. The expenses available for the poorest EU nation’s representatives have been increased by one thirds, after a vote was taken about the subject on Tuesday.

Most of the money will go to new automobiles being purchased, for “territorial expenses” and for the MP’s trips abroad. The decision has caused outrage especially since it came on the same day when Romania’s president Traian Băsescu refused to sign into law a bill that would have decreased the value of VAT for food to just 5 percent. Romanians also pay the highest VAT in the EU, of 24 percent, as well as one of the highest income taxes, of 19 percent.

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