We cannot postpone the economic reform work despite the bad politics.

We are at a crucial stage in our economic development. Our fundamentals have indicated a positive outlook thus far: GDP growth over 5 percent for the past twenty-five quarters and an unemployment rate below 7 percent in the past fifteen quarters. Accompanying this growth is sustained confidence: an investment grade rating and growing consumption. Moreover, signs point to positive structural changes, growth driven by the industry and service sectors.

Concerns of overheating notwithstanding, sustaining this growth will be instrumental in achieving our goal of eradicating poverty. A more important goal is achieving upper middle-income country status. We have to generate and sustain revenues to meet these goals. have made public tertiary education free, and we are nearing the realization of a truly universally accessible health care system. As the imminent passage of universal health care will require huge financing, excise taxes on tobacco and alcohol need to be raised further.

The second package of tax reform will make our business environment more competitive by lowering the corporate income tax. This will benefit the vast majority of enterprises, which are medium and small. Furthermore, rationalizing fiscal incentives will update and modernize our investment policy, doing away with redundant incentives and making incentive rules more sophisticated, transparent, and better targeted. That is why we laud the speedy approval of the