President of the American Chamber of Commerce (AmCham) in Albania Enio Jaço has expressed concern over the government’s coronavirus crisis financial plan. According to AmCham, the relief plan is inadequate to soften the financial blow businesses will suffer.
Postponing the deadline for filing annual taxes and waiving them for the economy’s hardest hit sectors is a reasonable measure implemented by the majority of countries bu not by Albania, Jaço said.
What is most important to the AmCham is providing businesses with opportunities to continue their activity. This can be achieved via an emergency fund that allows businesses to access capital, and thus be able to afford tax obligations and pay their workers’ wages in the coming months. However, access to this emergency fund must be restricted to businesses who retain 90% of their employees, and thus maintain continuity, the AmCham president advised.
Jaço argued that Albania could also be able to implement a stimulus package model, like the one adopted by a number of Western countries. He claimed that experts advise a stimulus package worth 10-15% of a country’s GDP, whereas the government’s current one is only worth about 2.5% of Albania’s GDP, which is insufficient.