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Draft budget for 2006 approved by Moldovan Government

The Moldovan government on 17 September approved a draft budget. The 2006 budget bill projects a 6.5 percent increase in the country's gross domestic product and counts on an inflation of 10 percent. The government also wants the parliament to approve several other financial bills establishing a 20 percent value-added tax in plant cultivation, fruit and vegetable growing, and animal breeding; lowering corporate income tax from 18 percent to 15 percent; and retaining the flat personal income tax at 20 percent.