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| Luxembourg's Juncker Presents Economic Assessment |
by Ulrika Lomas, Tax-News.com, Brussels
Tuesday, August 10, 2010
Luxembourg’s Prime Minister Jean-Claude Juncker has recently presented
an assessment of the government’s work to boost the country's economy, while also unveiling details of the key projects and priorities for
2010/2011, including preparation of the 2011 budget bill and pension reform.
According to Juncker, the government is working intensively to implement the
2009 governmental programme, and over the course of the last twelve months has
achieved the following:
- The adoption of fiscal measures relating to the financial and economic crisis;
- The signing of 17 double taxation agreements (DTAs);
- Reform of financial aid for higher education;
- The adoption of temporary measures designed to promote employment and to
adapt certain rules of unemployment benefit; and
- The adoption of various measures relating to the crisis within the agricultural
sector.
Juncker revealed that although 2008 was marked by economic stagnation, 2009
saw a recession in the order of 4.1%. While confirming that, from an economic point of view, 2010 will be
better than either 2008 or 2009, Juncker also acknowledged that this improvement
would not enable the government to begin programmes of budgetary consolidation
in 2011.
Juncker emphasized that the government’s next priorities will be the
presentation of the 2011 budget bill in October, and reform of both the country’s
health care and pension systems, as well as endeavouring to combat unemployment
and inflation.
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