The state is the main winner of the large increases in electricity and gas prices, given that 95 percent of the increase goes to the state budget, Gabriel Biriş, managing partner at Biriş Goran, said on Tuesday, quoted by Agerpres.

“I looked at the main winner of the increase in gas and energy prices: 95% went to the budget, so the budget is the main beneficiary of the increase in gas and energy prices, and now they have come with the seizure of income throughout the chain,” he said.

In his view, we are in a vicious circle, because overtaxing prevents investment that would ultimately lead to lower prices.

“Many reconfigurations are necessary regarding the Fiscal Code. As is now – it does not work, and this can be seen from the very low level of budget revenues. The main problem is that the tax base has been shattered by all kinds of exceptions or privileges and is no longer respected the principle in the Constitution according to which we are equal before the law,” Biriş added.

He showed how Romania is losing its competitiveness in front of other countries: “If we look at inflation in the euro zone over the last 12 months, we see a difference of 6% compared to Romania. If we look at the exchange rate, it has remained constant, which it means that the leu appreciated by 6% against the euro only in the last year, in real terms. If we look at the last five years, it means that we will come out somewhere at 15-20%, which means lost competitiveness for Romania, it means that we make our exports more expensive and our imports cheaper.”