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FINANCIAL NEWS
Lebanon- Higher taxes accompanied with reforms
05 Jun 2012
(MENAFN) Lebanese Central Bank Governor, Riad Salameh, said that recent tax hikes will be partnered with reform, reported the Daily Star.
The current 2012 budget is a draft proposed by the Ministry of Finance and it entails a 2 percent increase on VAT and interest-revenue tax, along with a 15 percent new tax on real estate profits.
Salameh noted that raising taxes was acceptable as long as it came with structural reforms, and development projects that bolstered the economy and pushed out inflation.
Warnings from the private sector about regional stability, and the economic stability of Lebanon have been swept away by Salameh who claims that economic growth will continue in an upward direction because of the high amounts of liquid foreign-currency available to local banks.
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