Safadi announces 2012 budget bill

Finance Minister Mohammad Safadi announced the 2012 budget bill on Tuesday.    

“This budget will raise revenues on GDP by increasing the VAT by 10-12%, imposing a 3% fee on real estate sales and increasing the tax on interest income by 5-8%.    

“The budget bill will double investment expenditures on infrastructure, mainly on electricity, water projects, the transportation sector and the telecommunication sector’s renovation”, Safadi said during his Tuesday press conference.    

Safadi added that in light of this budget bill, social safety nets will be widened and 300 billion LBP will be allocated to ensure comprehensive health coverage for all Lebanese.   

Safadi said that late penalties imposed on the municipal fees will be reduced by 70% in comparison to rates in 2009, and penalties on traffic fees and social security contributions dating from before 2009 will be decreased by 70 to 90%.    

Safadi reiterated Lebanon’s commitment to fund the Special Tribunal for Lebanon (STL) in light of Lebanon’s commitment to all local and international resolution.