She also said the sector of the SMEs further needs a simple, predictable and transparent legislative framework, as well as governmental programs to support the sector.
“The sector of the SMEs contributes 54% to the turnover generated by the private business environment, 28% to exports, 66% of total jobs and 50% of the added value. I can’t think of another way to boost these percentages but by increasing the number of SMEs,” said Paul, adding there are 24 SMEs per 1000 inhabitants in Romania, and the European average is of 42 SMEs per 1000 inhabitants.
The entrepreneurs attending the conference have voiced out the setbacks and difficulties they are facing in relation with state institutions, mainly with the Finance Ministry. One of them said the situation has worsened over the past two months after the Government imposed a certain rate of collection to the state budget. He added the collection of the value added tax on invoicing has triggered many problems, with those declaring the VAT being the most affected. The poor collection rate, he stressed, is due to the unwillingness to declare the VAT.
Another entrepreneur in the field of banks consultancy, said most banks have been faced, after twenty years, with a huge wave of bankrupt firms and simply do not know how to handle the situation. He added 75% of bankrupt firms were pushed into bankruptcy by the state, through the Finance Ministry, as it blocks a firm’s accounts the first time it is late on its payments.
Andreea Paul said the state would never push a firm into bankruptcy, but the market itself, adding in 2011 the number of firms set up was twice the number of firms going bankrupt.