WEBVTT

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Hello.
At its 84 meeting, the Government

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passed the Decree
on a notification system

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through public
phone networks.

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This is the first step
that will make it possible

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for the people to be notified
about natural and other disasters.

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The Minister
of Digital Transformation

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Emilija Stojmenova Duh will tell
you more. In the second part,

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the Minister of Finance
Klemen Boštjančič will talk

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about the Act
on Reconstruction, Development

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and Provision of Financial Resources
after the August floods.

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But fist, Madam Minister.
Please.

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Thank you. Hello.
Today, the Government

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passed the Decree
on a notification system

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through public phone networks.
The Electronic Communications Act

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says that public phone
service providers

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have to establish
the public notification system

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through mobile phones in the case
of current natural disasters

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or disasters
that are yet to strike.

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This kind of system is needed
to protect our belongings

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and save lives which was evident
during recent floods and landslides

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that we had
to face this year.

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The Decree that was
passed based on this Act

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defines the responsibilities
of phone service providers

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regarding
the notification system.

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They have to send warnings
to mobile phones

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of our citizens
and everybody else

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that is on the endangered area
during the disaster.

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It defines the financing,

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technical and safety
requirements as well.

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Because this service
is in public interest,

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the state will provide the funds for
its establishment and maintenance.

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The system
will cost €3.5 million

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and its maintenance
during the next five years

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will cost €340,000 a year.

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After the Decree comes into force,
the Ministry

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will publish a public tender

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and mobile phone service providers
will be able to apply.

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We will establish
a cell broadcast system

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which a lot of EU states
already have.

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With this Decree,
we established the base

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for this system.
-Thank you.

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Any questions about this?
-I just want to ...

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No, wait. I will check whether there
are questions about this online.

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Raise your hand.

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No. Then, I invite Anže Božič
from Pop TV to ask the question.

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I want to use this opportunity
and ask you for a comment

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on the behaviour of the Director
of the Office of National Minorities

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Mr. Janez Doltar.
Yesterday, we heard

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he has problems
with the employees,

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there have been complaints and he
informed the Government about it.

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How do you see
this as a woman?

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Is he suitable
for his position?

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I heard about this
from the media.

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At our Ministry, we have not
received any information.

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We checked all our correspondence
and there is nothing about this.

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We did not talk
about it at the meeting.

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But, not only as a woman,
but also as a Minister

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who is employed
in the public sector,

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I condemn any proven abuse
at a work place

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and any bullying.
-Anything else?

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Madam Minister, thank you
and have a nice day. -You too.

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Now,
the Minister of Finance will join us

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to talk about the Act
on Reconstruction, Development

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and Provision of Financial Resources
after the August floods.

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There are a lot of new things
for people who were affected.

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Minister, go ahead.

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Hello.
First, I want to say I am glad

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the Parliament passed
the Act yesterday.

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As I said yesterday
during the discussion,

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the path to this Act
was very difficult.

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We were preparing it
at the same time as the budgets.

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It will not only be key

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for the rebuilding,

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but it also brings
systemic changes

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which are needed.
I am talking about spatial planning

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where the process
is too complicated

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and takes too much time.
Yesterday, I appealed

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to the coalition
and opposition MPs

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to exert pressure on the government

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and thereby help us
actually tackle the issue.

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As I said, this act is a very good
base for achieving systemic change,

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so that building in Slovenia
may be realised

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much quicker and simpler
than it currently is.

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The Reconstruction and Development
Act in an important upgrade

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to the Natural Disaster Recovery Act
and the Intervention Act,

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with which
we have already built

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the foundation
for the recovery of affected areas

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and enabled
swift financial aid

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for those affected
by the August floods.

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So far we have paid out

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nearly 470 million euros in aid
from the state budget,

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The data on what the funds are for
and where they went

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are available on the
Ministry of Finance's website,

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as we have stated
several times.

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In addition to all of the
measures for aid

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the Act also established
legal grounds

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for new,
temporary income,

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which will depend
on economic trends

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and the profitability
of companies.

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It is currently estimated to amount
to 1.6 billion in a 5 year period.

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The income
from the bank tax

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is estimated
to amount to 400 million euros.

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The first income from this
can be expected in 2025.

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The temporary increase in corporate
income tax from 19 to 20%

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is expected to yield
about 975 million euros

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and it will start
being collected in 2024.

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The inflows
from the net profits of the SSH

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are estimated
at about 260 million.

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The public mostly mentions
only these three resources.

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Let me point out
that no one is talking about

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the state funds
already allocated

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to the remediation
of affected areas.

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We are also forgetting
that 80% of the total damage

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was done to the
public infrastructure,

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which needs to be repaired in full
with public funds.

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There will likely
be some debate on this today,

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but every day I read critiques
on the aid to businesses

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and, on the other hand,
the burden on businesses.

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All of the businessmen
we talked to

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said that the reconstruction
of the infrastructure is necessary

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because the infrastructure is very
important for the economy as well.

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I therefore cannot agree
with the claims

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that it has nothing to do with
the economy, quite the opposite.

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The direct damage was confirmed
to amount to 3 billion euros.

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The costs of reconstruction
will be higher

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than those
of the reported damage.

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That is why
the new funds from this Act,

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estimated at 1.6 billion
in a 5 year period,

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together with the grants
from the EU Solidarity Fund,

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400 million, of which we have
already received 100 million,

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will be significantly lower
than the costs of reconstruction.

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By end of this year
the post-flood costs

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will likely exceed
500 million euros.

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We find that the new resources
are the right way

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to provide sufficient funds for
reconstruction in the coming years,

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which will enable development

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and a raise
in productivity and value added,

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because in addition to
flood recovery we also need to fund

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the other services
that a welfare state provides.

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Reconstruction funds
also include donations,

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which individuals and companies
have already transferred

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to a special budget account.

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So far, these funds
amount to 2.3 million euros.

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My sincere thanks to everyone,

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individuals,
legal entities and companies,

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that have
contributed to this aid.

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As said, we will
require far greater funds

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than the ones
that will be made available to us.

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I would like to take this
opportunity to call on everyone,

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both individuals
and companies,

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who wish and are able
to contribute additional funds

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for the reconstruction
of affected areas.

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Transfer details are available on
the Ministry of Finance's website

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and they should be
on-screen right now.

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The companies
and the self-employed

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who will transfer donations
for flood recovery

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to the special account
by the end of this year

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will be entitled to an additional
reduction in the tax base for 2023

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in the total amount
of payments,

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up to the amount of the tax base
of this tax period.

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This reduction in the tax base
comes in addition

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to the tax relief for donations
already in effect.

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As said,
this applies only to donations

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made by the end of this year.

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I call on everyone who can donate
to do so now,

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while you can still receive
an additional tax base reduction.

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As said, these funds can be used
exclusively for this purpose

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and cannot be used
for anything else.

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Transparency is evident
with a public announcement

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of all the payments
from the budget up until now

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on a web site
of the Ministry of Finance as well.

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Funds from the budget is used
for its intended purpose,

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which is ensured
by responsible Ministries

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and service for reconstruction
after floods and landslides.

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In accordance with regulations,
the control of expenditure of funds

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from the budget is implemented by
Budget Supervision Office of the RS,

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The Court of Auditors
and the National Assembly,

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which has established a Committee
on Public Finance Control.

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I would like to emphasize that there
isn't and can't be a dilemma,

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what these funds will be used for,
as some have been saying.

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I don't understand it at all.

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It is clear, what a natural disaster
has caused in this country.

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Thank you, Minister. Journalists
present here have an advantage.

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Anže Božič.
Please, step to the microphone.

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Okay. I would like to ask
the journalists via internet

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to come forward with a raised hand,
if you want to ask something.

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Lucija Kavčič raised her hand before.
Would you still like a word?

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I guess not.

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Go ahead, Anže Božič.

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Thank you. Hello.
I would like to hear your comment

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on the proposition
of the Madam President,

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Nataša Pirc Musar,
as far as her salary is concerned.

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It was directed to you,

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when you were a temporary
Minister for the Civil Service.

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I would like to know, what do you
think of this proposition.

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Is this feasible? Should officials
include allowances as well?

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I will answer, but I would like
that this press conference

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sticks to reconstruction
and an appeal for donations

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of people who have the funds.

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As far as
the President's letter is concerned,

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I know about it,
but I haven't comment it yet.

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I understand this appeal.

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We have to regulate the reward
system in the public sector.

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A part of which
are of course officials

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and we have to regulate
this part too. It doesn't mean

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that I'm suggesting something.

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I've said it many times.
For the last two months,

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until this week, I led
the Ministry for Civil Service.

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I know this issues
and I will stay part of this group.

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These issues have
a lot of layers.

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All groups are pointing this out.
What are correct proportions?

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This is debatable
and subject to arrangements.

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In this context I understand
also the President's letter.

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I wouldn't like to make any

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media storms, if I can say so.

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This is just a distraction

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from regulating the system.
In a way, I'm quite critical about

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the comments that I saw.

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In the context of negotiations for
system regulation of these salaries

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such comments don't help
to reach a compromise.

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They are further pointing out
the differences

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between
groups of public servants.

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Please, come here,
where a microphone is.

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I mean the comments
that I saw in media,

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where the President
was under quite an attack.

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Mr. Boštjančič,
one more thing.

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The same question
as for your predecessor.

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Do you know of the Office
for National Minorities director

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and the issues with the employees.
There are rumours about an abuse.

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Is such a person suitable
for such a position?

00:16:42.765 --> 00:16:46.985
I don't really know it.
I haven't read about it,

00:16:47.125 --> 00:16:50.511
heard about it and I wasn't
notified by the colleagues

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or competent authority.
And I can't say anything about it.

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This is all. No more questions.
-If I have the time,

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I would like to say
a few more words. -Go ahead.

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We heard the critiques yesterday
in the parliament.

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In connection with two taxes
that were introduced by this law

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for a five years period.

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Well, only one is new.
The other is just enhanced

00:17:23.318 --> 00:17:26.811
tax on corporate profits
for 3% points.

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We are always listening
the critiques.

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I like numbers and I like to operate
with numbers and facts.

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Before introducing this,
we have dealt with this a lot.

00:17:41.865 --> 00:17:44.745
We have talked
with corporations as well

00:17:44.905 --> 00:17:48.418
and imposed, what we think

00:17:48.585 --> 00:17:55.018
won't significantly affect
the development of Slovenia.

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Despite the fact that a lot of
economists support this,

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In previous conversations
and later...

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After the Government

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sent the draft act
to the National Assembly.

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Of course,
these people are in the minority,

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as I keep pointing out,
the loud ones

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don't really operate
a lot with numerical data,

00:18:23.135 --> 00:18:26.423
they're just saying
the taxes are too high.

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As has been said several times,

00:18:30.612 --> 00:18:36.381
the 3% increase
of the tax on corporate profits...

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Slovenia is among
the lower taxed countries in the EU,

00:18:41.224 --> 00:18:45.318
and even after this, we will
be just above the average.

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Which of course isn't the reason
we're introducing this.

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I just want to talk
about concrete numbers,

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including
today's press conference,

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which is mainly intended
to call for donations.

00:18:59.046 --> 00:19:03.017
I believe that those who really
believe in solidarity will respond.

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I hear a lot about solidarity
from these same critics,

00:19:08.200 --> 00:19:11.293
especially from
some economic associations,

00:19:11.414 --> 00:19:13.286
about the fact
that we're only raising taxes

00:19:13.407 --> 00:19:15.363
and that we must
act in solidarity.

00:19:15.484 --> 00:19:18.790
I am calling on everyone
to show who they are,

00:19:18.911 --> 00:19:22.512
how we understand this solidarity,
measured in amounts.

00:19:22.633 --> 00:19:28.627
It's nice to talk about solidarity
when you don't contribute anything.

00:19:28.748 --> 00:19:33.601
In this context,
I really urge those who can,

00:19:33.753 --> 00:19:37.528
who have enough profit,
even more so this year,

00:19:37.649 --> 00:19:42.599
because none of the two taxes
will take effect this year,

00:19:42.720 --> 00:19:44.917
they will take effect next year.

00:19:45.038 --> 00:19:50.499
As said, these donations
are very favourable tax-wise.

00:19:50.787 --> 00:19:54.001
Secondly, this year, 2023,

00:19:54.122 --> 00:19:58.604
these measures will not have
any effect on the companies.

00:19:58.725 --> 00:20:03.490
The call and request go
to those who can afford this

00:20:03.698 --> 00:20:09.997
and those who believe solidarity
is more than a PR platitude

00:20:10.118 --> 00:20:11.736
that we forget the next day.

00:20:11.857 --> 00:20:15.268
In this context,
let me be even more specific,

00:20:15.389 --> 00:20:20.392
I would especially like or,
in a way, I expect, for example,

00:20:20.513 --> 00:20:25.928
the banks to be the ones
to contribute something this year.

00:20:26.049 --> 00:20:29.921
We'll see which bank
understands solidarity

00:20:30.042 --> 00:20:35.839
and which one just talks,
but will have to pay next year

00:20:35.980 --> 00:20:40.788
as defined by the act.

00:20:41.108 --> 00:20:44.403
And on the other hand,
there are several economic sectors

00:20:44.524 --> 00:20:47.802
that will also benefit

00:20:47.923 --> 00:20:55.551
from the damage reconstruction
after floods.

00:20:55.672 --> 00:20:58.988
Especially
in the construction industry,

00:20:59.234 --> 00:21:02.816
since the majority of these
investments in the infrastructure

00:21:02.937 --> 00:21:04.937
will be implemented
by our construction industry,

00:21:05.058 --> 00:21:09.494
which is already, in my opinion,
at the top of its capacities

00:21:09.615 --> 00:21:11.807
or absorption ability.

00:21:11.928 --> 00:21:17.307
In this context...
Like I said, we'll see.

00:21:17.428 --> 00:21:23.633
I believe that many people
will show this in concrete actions.

00:21:23.922 --> 00:21:29.296
I also believe that many people
will want to stay anonymous donors.

00:21:29.417 --> 00:21:33.514
I wish as many as possible
would consent to publication,

00:21:33.635 --> 00:21:39.057
because I want to
publicly point out

00:21:39.178 --> 00:21:45.894
those who're not just talking,
but also doing something.

00:21:46.015 --> 00:21:49.520
If we're talking about solidarity,
that's it.

00:21:49.671 --> 00:21:54.703
Minister, we have a question.
Andreja Lončar, Forbes Slovenia.

00:21:54.863 --> 00:21:56.463
Can you hear me?

00:21:58.954 --> 00:22:01.007
No?
-We can hear you.

00:22:02.180 --> 00:22:05.599
Can you hear me?
I have a question about...

00:22:05.720 --> 00:22:09.500
You said next year
there will be no influx

00:22:09.621 --> 00:22:12.191
to this reconstruction fund.

00:22:12.312 --> 00:22:16.497
What are
the projected needs in 2024?

00:22:16.618 --> 00:22:19.900
How much money
do you expect to need

00:22:20.021 --> 00:22:25.999
of the 1.6 billion or a billion
estimated consumption

00:22:26.120 --> 00:22:30.289
during the entire period
of operation of the fund?

00:22:30.847 --> 00:22:36.692
The entire new tax influx
that will accrue from 2024 to 2028

00:22:36.813 --> 00:22:41.697
is estimated at 1.6 billion euros,
in a five-year period.

00:22:43.191 --> 00:22:48.694
As I said earlier
in the presentation,

00:22:48.815 --> 00:22:51.614
this year about half a billion
was already allocated

00:22:51.735 --> 00:22:53.798
to eliminate
the consequences of the damage.

00:22:53.919 --> 00:22:59.079
All this is publicly available
on the Ministry of Finance website,

00:22:59.200 --> 00:23:00.800
not only the number,

00:23:00.921 --> 00:23:03.872
also a more detailed
spending by the beneficiaries.

00:23:03.993 --> 00:23:07.597
In the next year's budget
1.1 billion euros is allocated

00:23:07.718 --> 00:23:11.864
for the purpose of eliminating
the consequences of flood damage.

00:23:11.985 --> 00:23:14.496
That is, if we will
actually implement it.

00:23:14.617 --> 00:23:19.089
This is mainly connected
to procedures for acquisition

00:23:19.210 --> 00:23:21.906
of building permits
for infrastructure works.

00:23:22.027 --> 00:23:27.504
Just in 2023 and 2024
the state will provide funds

00:23:27.625 --> 00:23:32.387
equal to what we will collect with
this tax in the next five years.

00:23:32.508 --> 00:23:35.508
We're talking about
just the first two years.

00:23:35.629 --> 00:23:41.686
As said, the direct damage
amounts to 3 billion euros,

00:23:41.905 --> 00:23:46.095
but the reconstruction will,
of course, cost significantly more.

00:23:46.216 --> 00:23:48.596
Thank you very much, Minister.
There are no more questions.

00:23:48.717 --> 00:23:52.751
Thank you for being with us.
Goodbye. -Thank you.