The government of Kai Kallas faces difficult decisions.Photo: Liis Treimann
Since the basic law on the state budget establishes stricter rules than the requirements of the European Union, the ruling coalition, according to Prime Minister Kaja Kallas, will follow the path of softening it, reports ERR. Callas will meet with bank representatives on Tuesday to discuss the idea of a possible bank tax.
“The idea is to link it (the main law on the state budget) to European criteria. In fact, we have set stricter restrictions for ourselves than the European ones. And we simply cannot fulfill them. Therefore, we would do as Europe does and would not run faster than it,” said Prime Minister Kaja Kallas.
Kallas did not want to clarify how much this fundamental change will affect the preparation of next year’s state budget.
Speaking about the bank tax, Kallas said that both coalition partners – the Social Democratic Party and Eesti 200 – wanted this. “Tomorrow I invited representatives of all banks to come to me to find a solution on how we can get the necessary revenues into the budget,” Kallas said.
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