In addition to protecting human lives, the government has adopted a number of measures to alleviate the economic losses caused by the coronavirus epidemic and to save local jobs, Finance Minister Mihály Varga said after he visited the plant of Szamos Marcipán Kft. that resumed operations on Monday, according to the communication of the Ministry of Finance.

The Finance Minister said throughout the country a number of local businesses have gradually resumed their operations according to a strict timetable, including the largest Hungarian confectionary industry business which was compelled to suspend production last month.

The Minister said protecting jobs is the primary goal; therefore, the government is helping businesses to minimise their losses in the crisis situation caused by the epidemic with job preservation measures, taxation measures and the availability of loans.

The government has set aside HUF 1,345 billion for the implementation of the Economy Protection Action Plan in the budget, and has so far spent over HUF 600 billion on the health care and economic containment measures prompted by the epidemic, he highlighted.

Mr Varga underlined that the taxation measures adopted so far had left HUF 300 billion with businesses.

The Minister recalled that last week the Ministry of Finance had submitted to Parliament a package of proposals regarding tax relief measures which would extend to almost all economic players and would assist the investments of the future.

He said the reduction of the social contribution tax by 2 percentage points will concern some 4 million workers, helping businesses with almost HUF 160 billion. At the same time, the reduction of the tax of small businesses from 12 per cent to 11 per cent will offer domestic businesses relief of around HUF 10 billion.

The Ministry also proposed further investment incentive measures which could leave HUF 10 billion with companies, the Ministry of Finance highlighted in its communication.


(Ministry of Finance / MTI)