Economist and professor Selami Xhepa, in an interview for the media, regarding the discussion of the program of the Democratic Party presented recently, said that the offer presented by the main opposition party corrects serious failures of the country's economic system that has been conceived in these 30 years.

According to him, the realization of this program is primarily a matter of a deep political conviction and a matter of setting strategic priorities that a political force addresses.

And in that sense, he said, he calls it a feasible program. Xhepa expressed support for the 9% flat tax, as according to him it helps businesses and reduces evasion.

"The flat tax is not a novelty for Albanians. Albania has implemented the flat tax for a few years, but unfortunately, we were the last country in the transition economies to apply this tax, but the first to withdraw, while other countries continue to use it. In my opinion, it has been implemented and it has been very successful," he said.

Secondly, Xhepa said, the reduction of the tax burden and the expansion of the tax system is an early request not only from the best practices but also from the International Monetary Fund (IMF).

The Fund has repeatedly requested that the tax base be expanded, and exemptions be eliminated, and this creates opportunities to make better and healthy fiscal policies, he said.

From this point of view, he continues, let's remove all tax exemptions, let's not forget that many sectors of the economy pay a 5% tax, profit tax.

"We have sectors that are completely excluded, we have exemptions from value-added tax. If we remove these exceptions from the system and reduce the tax burden, I think that this is a liberation of the economy by establishing a tax justice," he continued.

“Today we have a big conflict with free professions, where two levels of taxation are paid, 15% and 25%, becoming the highest level of tax paid in Albania,” he said, adding that also the employed have the highest level of taxation at 23%, while the free professions have it 25%.

"This kind of great differentiation that has happened between certain social groups creates problems. Therefore, the imposition of a proportional tax, i.e. a flat tax, is a progressive tax. Because he who earns more will pay more and from this point of view tax justice is decided.

In conclusion, Xhepa emphasized that the DP program is feasible because it is also testable.

"Thirdly, I would say that the program corrects some serious failures of our economic system that have been conceived in these 30 years of transition. By this I mean that although the reforms have often aimed to expand economic freedom, they have aimed to increase market competition, unfortunately, it is like the political economy of reforms that as soon as a group of beneficiaries is created, they become a barrier and no longer allow for the reforms to be a finding in the liberation of spaces for development and free enterprise", he said.