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BRIEF: President Basescu to sign IMF Letter of Intent without additional fuel tax and 'electo-rate'

February 26, 2014

Agerpres, Bucharest, Romania

Feb. 26--BUCHAREST -- President Traian Basescu on Wednesday declared that he discussed with Prime Minister Victor Ponta the Letter of Intent with the International Monetary Fund (IMF); he said he will sign the document if it does not include a higher fuel tax and the so-called ?electo-rate'.

'The second issued I discussed with the prime minister is related to the IMF letter [of intent]. From my point of view, the letter can be signed. (...) On the condition that it does not include the higher fuel tax (...) and the famous ?electo-rate', I will sign the letter, and I will do that immediately after its approval by the Government; I hope it passes today,' Basescu said at the Cotroceni Palace.

'Electo-rate' is the name given by media to the Government initiative in support of individual debtors with monthly incomes up to 1,600 lei who can no longer pay their bank instalments at the initially agreed levels. They must have clean repayment records and no outstanding debts older than 6 months. The press has considered this idea as merely electoral, hence the ?electo-rate' pun.


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Source: Agerpres (Romania)

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