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The governor of the BNB declared against taxing the excess profits of the banks by 10%

Such a measure would take away from the financial stability of the country

Dec 6, 2024 21:14 277

The governor of the BNB declared against taxing the excess profits of the banks by 10%  - 1

BNB declared against the taxation of the excess profits of the banks by 10%. According to Governor Dimitar Radev, the measure being discussed to deal with the deficit in the treasury next year will "make credit more expensive".

The central banker warned that the banking sector is the only stable one in Bulgaria, and such a measure will "take away from the financial stability of the country", BNR pointed out.

Banks bring in 1.2 bln. BGN in the budget this year, and the measure will cost them another billion.

Radev spoke during the traditional celebration of Banker's Day, organized by the Association of Commercial Banks in our country.

According to the governor, in December or January, our country will meet the price criterion for joining the Eurozone.

According to him, excessive taxation of banks will have the immediate effect of raising the price and limiting credit. Radev stated that this will seriously slow down economic activity, from which everyone will lose - banks, businesses and households, and ultimately the budget will also lose.

"When you are in a hole and you want to get out of it, the first thing you do is stop digging," he pointed out.

Overtaxing the banks will not fill the hole, but will make it even deeper, the head of the BNB was categorical.