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Bulgarian Budget Fails To Deliver On Promised Tax Cuts

by Ulrika Lomas, Tax-News.com, Brussels

02 November 2001

The new Bulgarian government's first budget has not delivered on as many tax cuts as it had originally planned after talks with the International Monetary Fund.

Led by the country's former child King, Simeon Saxe-Coburg, the government had pledged to implement a series of tax cuts and raise social spending but had to abandon many of its plans. The deficit has also been reduced by half of the government's quoted figure.

According to reports from the BBC online news service, the government has kept to its promise to increase salaries and pension payments but its agreement with the IMF has drawn strong criticism from the country's trade unions who are considering street protests in response.

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