The OECD defended that Portugal should spend more on “measures to improve the energy efficiency of existing buildings” or “invest more in green research and development.”
When the economic crisis is over and recovery is guaranteed, Portugal must bet on a “more effective” tax system so that more money can be invested in “education, health and infrastructure”, defending the Organization for Economic Cooperation and Development (OECD) this Wednesday In the new study released, recommendations for structural reforms (“Achieving Growth”) were put forward.
“The chapter in Portugal looks at the OECD first and says: “A more effective tax system can free up resources to invest in education, health and infrastructure.”
The organization believes that “use of consumption tax exemption and lower tax rate will reduce the tax base”, so “should be minimized.”
“Once the recovery begins,” the country should look for “lessly distorted forms of taxation, such as property taxes.” [imobiliários] And the environment must be increased”.
For the OECD, “this will help increase the tax collection capacity of the system.”
“Rising prices of pollution sources can help direct private spending on innovation to achieve greener results.”
For example, he believes that Portugal should spend more on “improving the energy efficiency of existing buildings” or “investing more in green research and development (R&D) to develop new clean technologies.”
A Portuguese study said that such measures “can stimulate demand and help reduce carbon emissions.” The study insisted that these are not entirely new fiscal and green proposals. These are the recommendations that the OECD has always adhered to.
The Paris-based organization also studies other economic issues, such as low productivity, barriers to entry for new companies and zombie companies in certain sectors, and these debts put tremendous pressure on the banking industry through debt.
“Compared with the best-performing OECD countries, Portugal’s low productivity has caused income convergence.”
For experts, this is because “in certain service areas, especially legal services and transportation, regulations are strict because they will create barriers to market entry and hinder productivity growth.”
Better, more innovative companies tend to stay outside, because assembled systems prevent them from entering these markets.
Therefore, the OECD recommends “establishing an independent monitoring agency to ensure that the legal profession’s regulations are in the public interest and will help identify reforms that can improve efficiency”.
The expert group added: “In terms of transportation, current regulations and practices reduce competition among private operators in the port sector.”