Radio România Internațional

Tag: economic recovery plan

June 19, 2020 UPDATE

EUROPEAN COUNCIL – Romanian president
Klaus Iohannis on Friday attended the European Council meeting, held in
videoconference format. The main points on the agenda were the 2021-2027
multiannual financial framework and the economic recovery plan. The President
said, after the meeting, that European leaders have agreed to continue talks on
the two topics, although additional points in the two packages have to be
discussed and settled. Romania was earmarked €44 billion in the current
financial framework. We’re trying to get a considerably higher amount over the
next financial framework, and we are equally fighting to obtain more favorable
conditions for their implementation, the President went on to say. The money is expected to go to economic
development, healthcare, road and rail infrastructure, water and sewage,
education and sustainable energy. President Iohannis said the next European
Council meeting is scheduled for mid-July. According to France Press, EU
leaders have called on the EU27 to swiftly reach an agreement on the post-COVID
economic recovery plan, with the aim of pulling the European continent out of a
historic recession. A bailout plan worth €750 billion is on the table, and
could represent a major step for Europe, as for the first time the sum will be
borrowed on the financial markets.

ONLINE FORM – Air passengers
entering the country via Henri Coanda airport must file an online form stating
their epidemiological status. Available as of Friday, the form is aimed at
reducing waiting times and boosting the flow of arrivals, with the overall
purpose of preventing the SARS CoV2 virus from spreading. The form can be
accessed on bucharestairports.ro.

PENSIONS – The High Court of
Cassation and Justice in Bucharest and the Ombudsman have referred a law on the
progressive taxation up to 85% of all special pensions in Romania, endorsed by
Parliament, to the Constitutional Court. The Court has criticized several
aspects, such as the fact that its rulings in this matter have been repeatedly
ignored, the Supreme Council of Magistrates has not been consulted and several
principles haven’t been observed, such as the proper and equitable taxation and
the independence of judges. There are multiple reasons of unconstitutionality,
the Ombudsman has also pointed out, adding that, under the law, the
beneficiaries of these special pensions are being discriminated against. We
recall that on May 6 Romania’s Constitutional Court turned down a law on
cancelling special pensions upon two notifications by the High Court and the Ombudsman.

NATO – The Multinational
Division South-East Command will contribute to the deterring and defence
capabilities of NATO’s eastern flank, Romania’s Defence Minister Nicolae Ciuca
has said. His statement came after Parliament in Bucharest on Thursday endorsed
the setting up of this command in Sibiu, central Romania. According to Ciuca,
Romania’s initiative has been appreciated by NATO partners and accepted by the
allies thus highlighting the strategic importance of the Black Sea for the
security of the Euro-Atlantic area and the need for increasing allied military
presence in the region. The new military body will have the statute of
international military command subordinated to an allied command outside the
national structure of command and control.

SANCTIONS – EU leaders have
agreed to extend economic sanctions on Russia by another six months, reason
being Russia’s unresolved conflict in Eastern Ukraine and its refusal to
implement the Minsk peace agreements, European Council President Charles Michel
has said. Introduced back in July, 2014, the sanctions target the finance,
energy and defense sectors in Russia, preventing certain Russian banks and
businesses from accessing EU markets, as well as restricting certain European
imports. The sanctions also restrict Russia’s access to certain sensitive
technologies and services that can be used to explore and produce oil. Romania’s
Foreign Minister Bogdan Aurescu said Romania does not consider Russia to be an enemy
state, but condemns the country’s previous aggressive behavior. It’s not just
Romania’s viewpoint, but a common analysis inside NATO and the EU. The allies are
viewing Russia’s actions in the Black Sea region as generating risks, Minister
Aurescu explained. The Romanian official took part in an online debate
organized by the American Center for European Political Analysis, where he
discussed the possibility of introducing the Russian Federation into the country’s
new National Defense Strategy.

(translated by D. Bilt
& V. Palcu)

19 June 2020
May 27, 2020 UPDATE

COVID-19 IN ROMANIA – The
coronavirus death toll in Romania stands at 1.223 people. 165 new cases have
been reported in the last 24h, bringing their total number to some 18.600, the
Group for Strategic Communication announced. Over 90% of the victims had at
least one other medical condition, the National Institute for Public Health
reports. Over 3.000 Romanians abroad have tested positive for SARS CoV-2, the
highest numbers being reported in Italy, Spain, Germany, Great Britain and
France. Of them 100 have died. 30 hospitals in Romania have been aproved for
taking part in a study on plasma-based treatment. Plasma taken from patients
who have recovered after being infected with COVID can be administered to
patients in critical condition only in certain circumstances.

COVID-19 WORLDWIDE – The total
number of people infected with coronavirus has reached 5.7 million globally.
352.000 people have died to the virus, while over 2.4 million patients have
recovered. The death toll in the United States has exceeded 100.000, while
Brazil has reported 1.000 deaths in 24h. The death toll has risen to 37.000 in
Great Britain, while the virus has killed 33.000 people in Italy. Spain has
begun a 10-day mourning period for the victims of COVID-19, some 27.000 people.
On the other hand, European countries continue to ease restrictions. As of
today, the Czech Republic, Slovakia and Hungary have reopened their common
borders with special travel conditions. Beaches have reopened in Spain and the
United States, while Japan has lifted the state of emergency. Mosques in Iran
are now open, while people in Greece can again eat in taverns and restaurants.
Austria has authorized sports activities with a maximum number of 300 people,
while in Moscow shops will reopen and people can go for short walks around the
city. Poland has sanctioned public gatherings with a maximum number of 150
people.

DEFENSE – Public policies in
the field of national security will be conceived and implemented to the benefit
of the citizen only, so Romanians should feel safe and trust the institutions
are there to defend and protect them, President Klaus Iohannis said on the
sidelines of the country’s Supreme Defense Council meeting. On Tuesday the
Council adopted the 2020-2024 National Defense Strategy. The strategy was
devised to deal with a pandemic that affected the entire world and has
generated a profound economic crisis, the President pointed out. The strategy
also tackles foreign policy, public order, education, healthcare, the economy,
the environment, energy security and cyber security. The Strategic Partnership
with the US as well as our country’s NATO and EU membership have been confirmed
as pillars of Romania’s foreign policy. The Council also decided to deploy
1.940 military and civilians for external operations and missions.

RECOVERY
PLAN – The European Commission wants Member States to back a €2.4 trillion economic recovery plan,
Commission President Ursula von der Leyen said. The bailout package consists of
loans under three financial chapters as well as non-refundable aid. One
instrument, dubbed Next Generation EU, amounts to €750 billion, will address
the countries the most affected by the pandemic. Romania has been allotted €33
billion. The plan has been met with reluctance in the Netherlands, Denmark,
Austria and Sweden, the so-called Frugal Four, who are reluctant to give away
money as grants. The Commission will discuss the plan at the EU Summit of June
18-19.

ECONOMY
– The Government has adopted several measures to help the business sector
recover after the COVID pandemic. One measure is meant to simplify a financial
rescue plan addressing SMEs. The measures adopted in the last two months and a
half have had a huge impact on the budget, tantamount to 1.5% of the GDP,
Finance Minister Florin Citu has said. The Government has also greenlit the
disbursement of additional funds to cover lockdown-related costs and other
measures in the field of healthcare.

MOTION -
In Bucharest the Chamber of Deputies passed the simple motion against Education
Minister Monica Anisie. Filed by the Social-Democratic Party and the leftist
Pro Romania Party, both in opposition, the document claims Minister Anisie has
brought the education system on the verge of chaos due to her incompetence or
disinterest. The opposition wants the Education Minister gone, saying she lacks
vision and strategy. In turn, Monica Anisie claims the education system cannot
navigate the challenges faced by the current generation, as it is held back by
conservative canons that undervalue students’ skills. The Minister rebuked
former Social-Democratic Education Minister for their failure to implement
e-schooling.

(Translated by V. Palcu & E. Enache)

27 May 2020
Prime Minister Ludovic Orban appears before Parliament

The Liberal Government in Bucharest is preparing an
economic recovery plan after the coronavirus pandemic, Liberal Prime Minister
Ludovic Orban said in Parliament, where he was invited to present the measures
taken so far by his team. The Prime Minister stated that, in the first quarter
of 2020, Romania reported the biggest economic growth at EU level. Ludovic
Orban:

Most Romanian companies and most fields of activity
remained operational, and the figures speak for themselves. Our data shows that
in the first quarter Romania had the biggest economic growth. Data for the
second quarter will reveal that, compared to other countries, Romania’s economy
fares far better than many are willing to admit.

Prime Minister Orban added that restrictions in the
economic field were taken to lower the threat to people’s lives and well-being,
saying that no construction site was closed down. Evidence of that can be found
in the structure of economic growth for public investments. As regards the
hospitality industry, which has been under tremendous pressure during this
crisis, Ludovic Orban said the Government supports the restart of activity by
taking active measures, when the epidemiological context will allow it. The
opposition in Parliament disagrees, claiming the Government’s economic policies
have made it impossible for thousands of companies to pay their bank
installments, many of them now on the verge of bankruptcy. The opposition says
the Government’s support programme addressing SMEs has turned out to be
inefficient. ProRomania leader Victor Ponta believes the Orban Cabinet in fact
has no solutions to the present crisis:

Today Romania’s Parliament must make up for the
Government’s lack of action and measures. We are talking about the economy, the
true crisis Romania is already facing and which it will most likely continue to
face, once the health crisis has passed. Allow me to ask you – will you resign
willingly or must Parliament remove you from office again?

In turn, Social-Democrat interim leader Marcel
Ciolacu has called for concrete actions, the lack of which might trigger a new
vote of no-confidence:

You’ve inherited a functional economy, with a 4%
growth, which you’ve now lowered to 2%. Over 70% of Romanians have money in
their bank accounts to last them a month. Today, you should have resigned, but
you lack the dignity to do it, for all the damage you’ve done to this country.

Other parliamentary groups have asked for concrete
measures to overcome the economic crisis, calling on the Government to show
responsibility and engage in a constructive dialogue with its political partners.

(Translated by V. Palcu)

19 May 2020