During his visit to Monagas State for the installation of the new regional board of directors, the President of Fedecámaras, Adán Celis, (Venezuela’s Federation of Chambers of Industry and Commerce) referred to the gap between the parallel dollar and the official rate of the Central Bank of Venezuela. The representative of the business federation described what is happening as a gross deviation that directly affects national production.
By: Correspondent lapatilla.1eye.us
In his opinion, national production is what generates sources of employment, creates economic dynamism and prosperity in the country, so with the exchange rate differential, only distortions are created in the economy.
“The exchange rate differential creates distortions and that should go hand in hand, so that as the free rate increases, the official rate should also increase. What we are asking for is that this be corrected, because the bigger the gap, the much greater the negative impact on the community will be,” Celis stressed.
The Fedecámaras representative believes that both rates (official and parallel) should have small differentials, and not as it currently happens where only imports benefit, which is detrimental to national production.
Likewise, he pointed out that they have insisted that it is essential to expand the tax base in relation to the heavy tax burden faced by businessmen, since he believes that any tax that goes to a company will ultimately be reflected in prices.
“When we see a high tax burden, it makes the company more inefficient and what should be done is to expand the tax base so that all Venezuelans, in some way related to the extent of their possibilities, contribute to the national treasury. To the extent that you contribute to the treasury, you will have something to complain about when things do not work. Therefore, we have to make a change in that sense,” he said.
He also said that communication between businessmen and the Government is essential, because he believes that the problems and risks of excessive taxation or tax pressure being exerted on companies must be expressed.
“Increasing taxes immediately becomes an equation in which you reduce companies. If you increase taxes, you reduce companies. If you lower taxes, you increase companies,” Celis pointed out.