STOLTENBERG CONSIDERS RAISING SOME INDIRECT TAXES
Finance Minister Gerhard Stoltenberg said
he was looking for ways to help finance a planned tax reform
without increasing value-added tax but could not rule out
raising some indirect taxes, for example, on tobacco.
    Stoltenberg also told parliament that closing tax loopholes
would contribute towards the 19 billion marks the government is
seeking to finance part of its 44 billion mark tax reform
package for the 1990s.
    He confirmed that a temporary and limited increase in the
borrowing requirement was also being considered.
    Chancellor Helmut Kohl yesterday said a temporary rise in
borrowing was acceptable but stressed his government would
exercise strict discipline in spending.
    New net borrowing was 23.0 billion marks in 1986 compared
with 37.2 billion in 1982.
 REUTER
