THE GRAND JOURNAL
August 18th 4735
MINISTRY OF FINANCE REVEALS "FACILITATION PLAN"
The Ministry of Finance, with royal ascent, revealed a new economic plan named the "fasciliation plan
The Vanukan government plans on revitalizing the economy through the private sector, one way of doing this is improving its infrastructural system
Wiel: The Vanukean economy, despite still being anongst the strongest on terra, has struggled in recent decades. The growthrate was mostly stagnant and unemployment kept rising. This situation led to the need for a new government plan to revitalize the private economy and make sure the Vanukean economy shows some growth again. To realize this goal the Ministry of Finance has put forward a plan simply named the "facilitation plan". This plan consists of various programs totalling over 20 billion LOD in expenses which are all aimed at fascilitating economic growth through the private sector. While the government has worked in the last 2 years to centralize political power in Wiel the Queen and her ministers have, on several occasions, expressed their desire for a economy mostly build on the private sector. Seeing it as the only real way to encourage economic development in the long run. The facilitation plan puts around 8 billion LOD into infrastructural improvements such as improving the motorways of Vanuku and improving the infrastructural connections between major economic hubs such as Wiel and Prinsenaard. But infrastructural improvements do not only mean improvements in road and rail connections. These improvements also include significant investments into improving Vanuku its internet infrastructure accross the nation. The internet infrastructure of Vanuku has lacked behind globally and Vanuku has consistently ranked in the low tier when it comes to internet infrastructure. With this plan the internet infrastructure will be significantly improved with the 4G network being extended accross the country and the 5G network being introduced as a trial in Wiel, to see what is needed to expand the network nationwide at a later stage. Landline internet connections such as fiber connections will also be improved with the goal of having every major and medium sized city in Vanuku connected with a Fiber landline connection by the end of 4752.
While infrastructure is a important aspect of the plan the next big stage, in which a whopping 10 billion will be invested, is the lowering of company taxes to fascilitate the creation of new bussinesses, lowering startup regulations for the same reason and creating a fund named the "Vanukan Startup Fund" or VSF meant to specifically finance the creation of new innovative or hard needed private bussinesses. The lowering of company taxes is also meant to relief some pressure of existing bussinesses and make sure they are able to innovate themselves and invest the money they would otherwise spend on taxes on improving their company instead. This tax decrease will be the most expensive part of this phase of the plan. With it costing around 7 billion LOD. The remaining 3 billion will be put in the Startup Fund which shall be managed by the Ministry of Finance. Vanukean citizens can apply for a grant of up to 2 million max to start up their bussiness. Before they are elidgble for receiving the money however they must hand in a detailed bussiness plan that shows the viability of their to be created company. If the company in question becomes succesfull within a span of 3 years the money should be payed back to the state in yearly grants, with the lenght of this repayment agreement and the amount to repay being determined between the bussiness and the state. If a company goes bancrupt or near bancruptcy within those 3 years it will not be required to pay back the money lend from the VFS. By doing this the Vanukean state hopes to encourage citizens to start a company, lowering the risk that comes with it and possibly increasing innovation and growth in the economy. The Ministry of Finance does however state that every bussiness created will be monitored and "suspicious activity" punished. This includes possible fraud.
The last phase of the plan includes 2 billion LOD. This money will be directly transfered to local governments in a special account. The money in these accounts can be used by local municipalities and regional governments to invest in fascilitating local bussinesses, organizing major public events that benefit the economic situation in the municipality or region or for bailing out a vital industry or company within the region or municipality if it is in financial difficulties. This money can only be used for the described purposes however as other use of the funds can result in a fine for the respective local government.
All these programs combined are called the "facilitation plan" all aimed at fascilitating growth through the private sector by indirect investments and the improvement of national infrastructure. The Queen has already given her signature and the Ministry of Finance states it is preparing to implement the plan in cooperation with the Ministry of Domestic Affairs and the Ministry of Infrastructure and Transport later this year. The effects of the plan will likely be visible within the next 3 to 10 years as the implementation smoothens and the entire plan rolls out in its phases. Apart from these programs to stimulate the private sector the government of the Queen is also preparing direct action into the economy to "further strengthen the financial security and geopolitical position of our country" said Prefect Wrnhelm III.