By 2029, Moldova’s budget deficit as a percentage of GDP must be reduced by at least 2 percentage points compared to 2026; the country needs tax reform, predictable tax rules, and fiscal discipline - Vasile Tofan
He made this statement on Tuesday while presenting his government’s action plan and the Cabinet’s membership to parliament as Prime Minister-designate. According to him, entrepreneurs need predictability, the state needs revenue, and society needs fairness. “By 2029, the budget deficit as a percentage of GDP must be reduced by at least 2 percentage points compared to the 2026 level. Tax revenues as a percentage of GDP must increase by at least two percentage points. We cannot achieve these results by constantly placing additional pressure on the very taxpayers who are already paying their taxes properly. We must reduce the informal economy, undeclared work, off-the-books wages, and tax evasion. We must evaluate tax breaks and retain only those that yield economic or social benefits exceeding their cost,” stated Vasile Tofan. He noted that there are plans to systematically review government spending—not to produce more reports, but to make decisions: to shut down ineffective programs, cut spending, change procedures, or redirect funds toward more important priorities. “Every leu (MDL) spent on a structure that duplicates the function of another is a leu that doesn’t reach schools, healthcare, roads, or social services. I won’t promise that taxes and tax rules won’t change. We need tax reform. It would be reckless and irresponsible to claim otherwise. However, I can assure you that changes will be discussed, decisions will be explained, and we will not treat legitimate businesses as the easiest source of additional revenue. Any significant changes will be analyzed based on three criteria: their impact on investment, employment, and government revenue,” emphasized Prime Minister-designate. // 21.07.2026 — InfoMarket
