2024-04-20 23:39:15
“Business supports the initiative to allocate 4 percent to defense financing. from GDP and more. The Confederation of Lithuanian Industrialists, together with the Lithuanian Business Council, which unites the largest business organizations, decided to support the increase of value added tax and profit tax by 1 percent. point”, – on Friday at the event “Economic Forum of the Year. Smart industry 2024” said V. Janulevičius.
“But tax changes must be planned after a detailed analysis,” he assured.
According to the president of the LPK, if the country’s economy weakens, it will also mean a decrease in the value of the percentage allocated to defense. Therefore, in order to avoid this, according to V. Janulevičius, it is important to revive the vitality of the industrial sector, which is currently facing stagnation.
“We have to think not only about increasing the percentage of GDP, but how much it will be.” 3 percent of GDP can be compared to 4 percent of a shrunken economy. The math is very simple – the bigger the pie, the more is spent on defense,” he explained.
“Lithuanian industrial indices indicate the stagnation of the entire sector. I must state that the Lithuanian industry is “suffocating” a bit. We must do everything to revive the vitality of the sector”, said V. Janulevičius.
He said that there is currently no support for struggling businesses, but they are expected to continue to contribute to defence.
“We constantly talk about the security of our country, but we do not imagine the country’s business as a resource, the main part of economic growth comes from its strength, but simply as a wallet that can be opened at any time and money can be taken,” said V. Janulevičius.
ELTA reminds that on Wednesday there was a meeting of political parties and business representatives organized by Prime Minister Ingrida Šimonytė regarding the increase of Lithuanian defense funding. After that, the Prime Minister announced that it is proposed to establish a special fund that will accumulate funds for the needs related to additional defense financing.
Also, according to I. Šimonytė, politicians, business representatives and non-governmental organizations tend to agree on additional defense financing after raising the profit tax by 1 percent.
National defense funding in Lithuania will amount to 2.75 percent this year. from GDP, but it is aimed that this amount will reach at least 3% in the coming years.
2024-04-20 23:39:15