President Hipolito Mejia has changed his mind again and now says he will submit a tax reform package if the PLD economic team does not do so in time to make the 15 July deadline in Congress. ?I have a commitment with the IMF,? said Mejia. Fulfilling commitments signed with the IMF has not been a priority with the Mejia administration in the past. The Mejia administration twice violated its commitments with the IMF, causing the two-time suspension of the stand by agreement during review periods. At present, the IMF agreement is suspended for governmental overspending.
The outgoing head of state now says he will stand behind his campaign promises of a 30% wage increase for all public employees, and that he will also include a proposal for a 30% additional increase within six months? time, as he had proposed when running for re-election.
?I have to make good on what I said. I promised an increase during the campaign because wages are depressed and buying power has been cut in half,? he said. The money, according to him, would be raised by obliging those who evade tax payments to pay up. Mejia made his statement about wage increases at the Ministry of Armed Forces, where he was visiting on occasion of the graduation of volunteer soldiers.