Page 48 - Monaco Economy 128

ECONOMY

Jean Castellini and the Keynesian Economic Recovery

by Milena Radoman
He spent almost 11 years as the Head of the State's finances and "probably beat a record for
longevity". Among the major issues that Jean Castellini had to deal with was the Covid crisis and
the resulting economic recovery plan.

© Direction de la communication

Jean Castellini, former Advisor-Minister of Finance

Life can sometimes be rather fortuitous. centre, evaluation of Moneyval, plus the crisis: "We worked as a team to target needs
With a background in the private sector, Jean Council of Europe's anti-money laundering as effectively as possible and calibrate the
Castellini joined the government in 2012, having group, transformation of SICCFIN into an measures (extraordinary minimum income,
previously worked in the Prince's Cabinet and independent authority and green strategy for aid for companies, economic recovery support
heading up the Commission for the Control of the constitutional reserve fund. Over the last committee (CARE) for particularly hard-hit
Financial Activities (CCAF) alongside Christian 10 years as the State's top treasurer, there has professions). All sectors of the economy
de Boissieu. He then replaced Marco Piccinini been no shortage of projects. But there is one were helped, with short- and medium-term
as Government Minister for Finance. Almost that will undoubtedly remain engraved in the assistance. The bankruptcy rate was virtually
eleven years later, his predecessor has now memory of the former Minister of Finance. zero.
succeeded him in the government... Just after In September 2020, the Monaco government
the summer break, a press release from the A four-colour recovery plan launched a "Keynesian plan", in the words of
Palace announced this change to the head of March 2020: the planet was at a standstill due the former Minister. After injecting funds into
the Ministry of Finance and Economy and paid to a strange virus that forced people all over the the Monegasque economy, which had been hit
"tribute to the many actions carried out over world into confinement to avoid contamination. by the health crisis, "the recovery plan had two
nearly 18 years" in the service of the Prince, as How can we forget the management of this objectives: providing sustainable support for
well as to the "loyalty" of Mr Castellini. health crisis, which required a rapid response businesses over the medium and long term
During his 18 years in power, Jean Castellini at the highest levels of government? The (stimulus through investment); at the same
saw profound changes, particularly with the Coronavirus epidemic forced the Monaco time injecting public money directly into the
advent of tax transparency as an international government to revise its budget and approve a local economy in the shorter term (stimulus
credo. Monaco has had to keep up with the shift budget of 350 million euros for economic and through consumption)".
towards automatic exchange of information social security measures for businesses, such
- the systematic and regular transmission as increased temporary total unemployment The blue fund became permanent
of information on income to the country of (CCTR), partial exemptions from employer At the time, the government had four funds to
residence in order to combat tax evasion - as contributions, rent freezes for businesses boost consumption and invest for the future:
well as the plan to combat Base Erosion and located on the estates, etc. Jean Castellini the national green fund, dedicated to the
Profit Shifting (BEPS). Offshoring the financial was on the front line at every stage of the energy transition; the blue fund, dedicated to

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