“Annual inflation will not reach 20%,” Social Affairs Minister Georgi Gokov said in the “Drive Straight” program.
He also made a forecast about what will happen to the price of bread.
“The price of bread will not increase, but it will not decrease by 20%. I expect it to be cheaper, but a little. The zero VAT rate will not prevent manufacturers from selling it without increasing the price. In addition to VAT, it includes many other costs – for labor, energy, flour, which are also more expensive.
According to him, the BSP has proposed a price cap for this.
“This was not accepted by the coalition because we have a market economy. In my opinion, however, this would be normal, as there was a moratorium on the price of electricity for household consumers. That is why we have proposed that when we reduce the value added tax at certain prices, it should be for regulated goods “, Gokov explained.
The Minister of Social Affairs also commented on the forthcoming update of pensions.
“We increase pensions by 10%, add to them the BGN 60 from the COVID supplement plus all individual supplements to supplement the difference in the amount between January and December money. This at low pensions makes somewhere 26-27%. With pensions, BGN 1,000 makes 16% more. The total average increase is 20%. There are about a billion and a half to increase pensions. The question is to distribute them in such a way that it is fair for all elderly people “, Gokov explained.
Regarding the tax relief for working parents, the Minister of Labor and Social Policy announced that they will be given every 3 months.
“We wanted our party to do this every month, but tax practice says that the relief is made at the end of the year. In the coalition we talked about BGN 150 every 3 months “, said Georgi Gokov.
Asked whether he had agreed to support the prime minister in his call for a donation to Ukraine, the social minister said:
“I did not donate a salary and I did not have such an intention. Military support is not made through donations, but rather should be politics. I am a staunch pacifist and I am against any military action. I believe that in the 21st century, all conflicts between countries must be resolved through diplomacy. “
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