We must prepare for a difficult year, because the crisis in the Middle East will last longer, and its consequences will be more pronounced, said Macedonian Prime Minister HristijanMickoski, announcing the Government’s new measures to reduce excise duty.
“The robust measures are the first step we are taking. We expect this to have an impact on controlling inflation. I expect inflation in March to be somewhere around half of what it was last March, that is, to be somewhere between 4 and 5%. We appreciate that these first robust steps are having their effect. The Ministry of Finance is analyzing whether to reduce the VAT on all basic food products that have a 5% rate to 0 percent, but that is too little compared to these larger measures we are taking,” said the PM.
Our forecasts and expectations are, Mickoski added, that this entire crisis will have a prolonged effect.
“We must prepare for a difficult year, however, we are here to monitor all these things and react based on priorities. We need to get through this period, not count income and profits. We are getting ready for a longer and more difficult period. Even before this crisis, we planned to have a budget review sometime towards the end of June. Initial analyses are already being done, I expect it to be ready in May and pass the government procedure, to be forwarded to parliamentary procedure in June, and to start with the budget review in July,” stressed PM Mickoski.
