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State must become more reliable payer, says PM
Tuesday, 11 November 2008
Budapest, November 11 (MTI) - The reliability of government agencies as payers should be increased, Prime Minister Ferenc Gyurcsany said on Tuesday, and suggested that these bodies be required to pay late payment penalties if they fail to pay bills on time.

    Talking to reporters following a session of the National Investment Council, Gyurcsany said that his proposal would be tendered at the upcoming economic summit on Thursday.

    On another subject, the prime minister said that if the main opposition Fidesz party really has a major tax reduction programme in which taxes could be cut by 1,000 billion forints (4bn euros) without jeopardizing economic equilibrium or compromising social security - a programme Fidesz says it has - then that programme must be implemented. He called on Fidesz to make the programme public. "Voters must not be left in the dark concerning its details," Gyurcsany said.

    "I would be ready to support a programme like that if puts more on the table than it takes away," the PM said.

    Regarding the Investment Council meeting, Gyurcsany said that contributors agreed that the measures taken by the government and the central bank in recent weeks to alleviate the financial crisis were exemplary in many respects and protected the interests of the country. Speaking of a 4.9 billion dollar IMF loan which the government accessed from the standby package, the prime minister said the money would not be spent - that "it was in the pantry to make sure it is on hand" if needed.

    Also addressing the news conference, Andras Sugar, co-chair of the Investment Council which groups Hungary's 70 largest investors, said the council rejected the idea of not working to improve competitiveness, an important component of which was the cost of labour. Therefore, he said, cutting taxes and fees on labour was very important.

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