Government Hoti warns public sector wage reduction

Krasniqi at the special edition in Klan Kosova said this is a huge loss.

The “of course is a loss because the government is in the budget revision phase. The government has pledged to mobilise funds from all kinds of different loans. So far there are some 120 million, and in time there will be 235 million. Emergency package has also entered the revision process. These funds would create a good basis for overcoming the emergency phase. There are second possibilities for voting these agreements and I'm hoping that they will happen. These agreements have also begun to be negotiated by other governments before the Kurti government, while the package has been approved by the Kurti government”.

He added that due to the difficulty of mobilising additional funds, the government may be obliged to cut salaries in the public sector as well.

It's very difficult to mobilise internal funds because even those we've mobilised from privatisation funds are already on budget boards, so other funds are hard to get. No new project is happening by this government but it's from the past government, so we'll be forced to cut goods and services, or salaries in the public sector. That is the extreme error. We discussed five deals, but there are also”.

The European Commission has said it will provide 100m euros. So we're forced to reconsider the budget structure once more. That means we will have less funding for economic recovery. To happen, the payments of 170 euros -- those who have lost their jobs 130 euros -- and those registered for the first time 100 euros. Even cash payments can be delayed because of review”.

The number two finances in Kosovo stressed that ratification of these agreements would facilitate the situation in the country.

If these agreements go through and review the budget then we don't need to take the same procedures. So far we've been waiting to collect revenues from the private sector, but now because of the situation they expect the state to take part in the loss. If the pandemic doesn't come back, then we estimate that the total income damage is three percent”.

The deputy finance minister also spoke of the government's initiative in allowing vehicle withdrawals of up to 10 percent from citizens at their Pension Savings Fund, which he felt are still at the level of discussion of modalities.