Skopje, 9th July 2014 (MIA) – Government measure for one-off writing off of debts of most vulnerable categories of citizens will be completed at the beginning of October. This was announced today by Deputy Prime Minister and Minister of Finance, Zoran Stavreski explaining the legal solution to the members of the Financing and Budget Commission in the Parliament of the Republic of Macedonia.

Initial estimates are that this legal solution will cover among 50,000 and 100,000 citizens, however, as Minister Stavreski said, final data on the total number of citizens and the amount to be written off will depend on ho many citizens will apply and how many of them will fulfill the conditions.

Applications for writing -off the debts will be submitted by citizens to the centers for social work in their place of residence within 30 days from the announcement of the call by the Ministry of Finance, and special commission established by the Minister of Labour and Social Policy will decide upon the applications.

Debts incurred as of 31st December 2013 inclusive will be written off, on the basis of consumed electricity, thermal energy, credit cards, overdrafts of transaction accounts and consumer credits classified in the category D and E by the banks, not being secured, as well as broadcasting fee will be written off.

Minister went on that under the proposed law, along with the principal, the interests should be also written off, as well as the costs for notaries public and enforcement agents.

He explained that as for the written-off debt, the creditors, i.e. the banks, EVN Toplifikacija will be entitled to tax credit in the amount of certain percentage of the debt that will be no higher than 10% of the written-off debt. Stavreski pointed out that discussions have been carried out with all entities, and it is acceptable for them to write-off the debt, whereby the determined percentage is also acceptable, i.e. not higher than 10% of the written-off debt.

According to Stavreski, this Law envisages solution of the problems Macedonian citizens faced due to the external events.

This is one-off solution, being response to the consequences of the crisis over the most vulnerable categories of the citizens, which would no be repeated in future. However, due to the accumulated problems arising from the consequences of the global and European crisis, this solution was considered as the most adequate for Macedonia, Minister of Finance said.

Under this solution, writing-off of debts of the three most vulnerable categories of citizens, i.e. social assistance and constant pecuniary assistance beneficiaries, unemployed persons actively seeking job for longer than 12 months and the persons exposed to social risk due to a death of spouse or disability or severe decease occurred in the last five years, is envisaged.

Requirement for the first two categories to use this measure is for they not to have generated additional revenues higher than Denar 105,600 in 2013, as well as not to possess another property apart form the flat or the house they live in.

Minister Stavreski stressed that the proposed Law is a realization of one of the most significant promises and the most important projects in the Government Program.

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