"Due to the revenue reduction, I support the offer of the Pridnestrovie's Government to introduce the expenses preserving stable ruble exchange rate and low inflation," the Head of State noted during the annual message
Evgeny Shevchuk emphasized that the Government's anti-crisis program was mostly of the administrative and technical nature due to the lack of necessary resources adequate to the risks. He also emphasized that in today's situation the republic's leaders are still implementing the difficult and unpopular decision.
"Either we solve a problem of income shortfalls by the currency devaluation and by paying the proper and full salaries, allowances and pensions within the rapid inflation and the rampant prices increase, or we reduce the expenditure, estimate the debts in pensions and salaries, hold and control the devaluation," the President told.
The Head of State gave an example that the devaluation of ruble by 1% would cause the inflation by 0,5%.
"Due to the revenue reduction, I support the offer of the Pridnestrovie's Government to introduce the expenses preserving stable ruble exchange rate and low inflation. I ask all of the state authorities and the society to support the Government the implementation of the difficult and unpopular temporary response to such problems in the current conditions," the President emphasized.
