Government ready for new fuel measures, Mickoski mentions VAT reduction as an alternative

After the continuous rise in fuel prices, Prime Minister Hristijan Mickoski has warned that the Government will take action with a new package of measures.

He said that they are currently examining whether the interventions will be general in nature or targeted at specific groups, similar to previous practices.

One of the scenarios on the table is also the temporary reduction of Value Added Tax on fuels. Referring to the declaration of a state of crisis across the country, Mickoski emphasized that the executive holds the necessary legal instruments to undertake such an action.

Commenting on stock market fluctuations, he noted that the Government has already intervened by lowering a portion of excise duties on gasoline and diesel. “Unfortunately, conditions on world markets are worsening. We are again approaching the psychological threshold of $100 per barrel, while military tensions in the Persian Gulf region are increasing,” Mickoski said.

He reiterated that for the Government, protecting the well-being of citizens remains the main objective, as experts weigh the most efficient form of assistance.

Regarding the concrete possibility of reducing VAT, Mickoski confirmed it as an alternative, albeit not the preferred one, due to its direct consequences on the state treasury. “That is also an option. Although it is perhaps the least desired alternative for us, because of the negative effect it has on budget revenues, for us the standard of living of the population remains a priority. As a Government, we aim to stand by the people whenever the need arises,” he concluded.