Totaj: Failed to implement Emergency Pack, more than 1.5 billion euros is needed for recovery

The deputy head of the Democratic Party of Kosovo, Shacir Totaj, at the conference invited for media, has mentioned the created situation and the concessions of the last government's Emergency Pacos, at the same time has delivered ten proposals that the current Government's economic recovery package must bear.

As a result of mismanagement, the state of Kosovo must be willing to allocate over 1.5 billion euros for the recovery of the country's economy, he mentioned in his statement.

Totaj, has stressed that the Democratic Party of Kosovo, “The Hoti Government's economic recovery package should not be left on paper alone, and with negative effect, as has happened to the emergency package proposed by the Kurti” Government.

Full statement:

Honored citizens of the Republic of Kosovo,

Days ago, Kosovo became the new Government. The PDK voted against, as we believe that Hoti Government is the continuation of Kurti Government.

The state of Kosovo and its economy are on the brink of a cliff, the Kurti Government and a large part of the Hoti Government, while governing together, abandoned the private sector by jeopardising the country's macroeconomic stability. This abandonment endangers the well-being of thousands of Kosovo citizens, according to the World Bank, placing some 150 thousand citizens in poverty. In the absence of an efficient and concrete plan, the Kurti Government, made up of VV and LDK, offered a poorest financial emergency in the region of 179m euros, where only 30% was implemented in practice.

At this point, most countries in the region and the world have adopted a second comprehensive package for economic recovery. As a result of mismanagement, the state of Kosovo should be willing to allocate over 1.5 billion euros for the recovery of the country's economy.

Therefore, we invite the new government to propose the Republic of Kosovo's Parliament as soon as possible, with concrete measures to restore the country's economy.

The proposal should basically have the interest of all employees in the private sector, businesses and all social schemes without differences. They especially want support from small and middle businesses that are in danger of going bankrupt because of measures against pandemic today. To restore macroeconomic stability and stop losses for the private sector, it is important that the Government's proposal has these essential elements in the short term:

1. Be in line with the real needs of the market economy, stimulating the liquidity of companies and increasing economic activity. 2. Be easily applicable and in accordance with the Constitution and the laws in power.

3. Be focused on helping companies with high risk for bankruptcy, according to the World Bank assessment.

4. To base the financial burden the private sector and its workers on financial institutions, providing direct support for lowering the burden of bank obligations to their stability.

5. Be offered relief in terms and way of paying taxes, including considering the possibility of lifting penalties. The government has to offer flexibility for business and consider the possibility of temporary resemination of tax policies.

6. Business is allowed to pay tax in return for opportunity over a fiscal year, not as a one-time fee.

7. To free business from government taxes and administrative interest, especially from ATK and Dogan.

8. To subsidise credit interest for local producers by 60%.

9. To restructure the TVS meeting, doing so within the country, to ease the burden on businesses to get more liquidity. 10. To increase the Fund for Credit Guarantee for new businesses that focus on innovation and production.

Therefore, the Democratic Party of Kosovo requires this government to focus on continuing capital investments and lowering operational spending where, unfortunately, during the time of pandemic by the Kurti Government, the opposite has occurred.

We also hope that the Hoti Government's economic recovery package will not remain on paper alone, with negative effect, as has been done with the Emergency Pack proposed by the Kurti Government.