Radio România Internațional

Tag: IMF

January 12, 2016

DIPLOMACY – The Romanian Foreign Minister, Lazăr Comănescu, is on a visit to Berlin today, at the invitation of his counterpart, Frank-Walter Steinmeier. The talks will focus on the bilateral relation and major issues on the European, regional and international agenda. One topic will be the cooperation between Bucharest and Berlin, in the context of Germany holding the presidency of the Organisation for Security and Cooperation in Europe this year. Lazăr Comănescu stressed the importance of Germany as an economic engine of Europe and as a partner of Romania. More than 20% of Romanias foreign trade involves Germany, and the trade balance is reasonably balanced, the Romanian Foreign Minister explained. Over 20,000 companies running on German capital operate in Romania at present, employing more than 300,000 people.

IMF ROMANIA – The new head of the IMF mission in Romania, the Pakistani Reza Baqir, will be on a four-day visit to Bucharest, as of today, to meet the Romanian authorities. He replaces Andrea Schaechter, who completed her two and a half year term in office. Reza Baqir has been working with the IMF for 15 years, and was previously employed by the World Bank. At present Romania does not have an on-going agreement with the IMF. The latest accord came to an end in September 2015, after several failed attempts to reconcile the divergent views of the Romanian authorities and the international financial institution with respect to the fiscal relaxation promoted by Bucharest. Meanwhile, Romania signed yesterday a new memorandum with the World Bank, concerning the improvement of public administration efficiency. Under the new deal, WB will continue to provide technical assistance to Romanian public institutions until 2023 and will support the Government in enforcing structural reforms and public administration modernisation programmes.

MOLDOVA – The leader of the Democratic Party in the Republic of Moldova, Marian Lupu, announced, after consultations with President Nicolae Timofti, the formation of a new parliamentary majority which could get a new cabinet endorsed. According to Lupu, the new coalition includes 56 out of the total 101 MPs: Democrats, Liberals, some members of the Liberal-Democrat floor group, which was part of the former pro-Western governmental coalition, as well as the 14 ex-Communist MPs who created a so-called Social Democratic Platform. Until Wednesday, Lupu said, this majority would also nominate a new candidate for the PM post. Moldovan media quoted by Radio Romania correspondents suggest this might be Vlad Plahotniuc, a controversial businessman and the one who finances the Democratic Party. Unless a new cabinet is sworn in by January 29, President Timofti will have to dissolve the Parliament and announce snap elections. The governmental crisis started in autumn, when the three-party government headed by the Liberal Democrat Valeriu Strelet was dismissed under a no-confidence motion tabled by the pro-Moscow left wing and backed by the Democrats.

COUNTER-TERRORISM – The global counter-terrorism forum and the international coalition against the IS group convened yesterday for the first time, in The Hague, to coordinate efforts to fight terrorism. Officials for 50 countries concluded at the Europol meeting initiated and chaired by the Netherlands, that fighting terrorism does not require new structures, but rather the implementation of all agreements and improved cooperation. The issue of young people recruited by terrorist groups into Syria and Iraq was also discussed. Countries are urged to step up and strengthen the sharing of intelligence concerning such youth. The Dutch Foreign Minister, Bert Koenders, emphasised that the efforts to counter terrorism must stay within the limits of both legal and moral principles.

ISTANBUL BLAST – A powerful blast, suspected by authorities of being a terrorist act, occurred this morning in the Sultanahmet area downtown Istanbul, not far from Topkapî Palace and the Blue Mosque, and killed at least 10 people, Turkish news agencies have reported. Several months ago, a double suicide attack killed 103 people in front of the central railway station in Ankara. That attack, the most serious ever on Turkish territory, was blamed on the IS group.

SPORTS – Romanias mens water polo team defeated Georgia 12-6, on Monday night, in their first game in Group C of the European Championship in Belgrade. On Wednesday, in the second stage, the national team will take on Italy. Group C also includes Germany. The European Water Polo Championships are a trial for the 2016 Olympics, and the winners secure their tickets to Rio de Janeiro, in August. The top 10 teams in the Euro 2016 Championships will take part in an Olympic qualification tournament.

12 January 2016
December 30, 2015

SALARY INCREASE — The Government in Bucharest is holding its last session of 2015. Today’s agenda also includes a government ordinance providing for the increase of the minimum salary to 276 euros starting May 1, 2016. Official figures reveal that the number of employees to benefit from this increase stands at 1.1 million people. The Labour Ministry estimates the increase will positively impact economic growth by stimulating employment and cutting back on illegal labour. Also the increase will have a social impact, raising the standards of living and closing social gaps.

PERSONA NON GRATA — The Jordanian businessman declared persona non grata by the Bucharest Court of Appeal was arrested in his apartment in Constanta and is due to be deported. The judges denied the Jordanian citizen entry on Romania’s territory for 15 years. The Romanian Intelligence Service claims the Jordanian national supported the Islamic State, lobbying the group online and even trying to legitimise the Paris attacks. The Jordanian businessman was even willing to involve in the terrorist’s cell actions against Romania.

IMF — Global economic growth will be ‘tricky’ in 2016, International Monetary Fund director Christine Lagarde told the German daily Handelsblatt on Wednesday. The IMF official believes the financial sector is still weak in many states, with financial risks growing on emerging markets. Christine Lagarde went on to say that waning productivity, the aging population and the effects of the global financial crisis are obstacles in the way of economic growth, affecting medium-term economic forecasts.

MIGRANTS — Over 1 million asylum seekers and migrants reached Europe by sea in 2015, the UN High Commissioner for Refugees has announced. Of these over 80% reached Greece, mostly on Lesbos Island. The massive flow of migrants has prompted heated debates within the EU, some Member States raising walls and reintroducing border controls. The EU last week agreed to supplement the staff of the European agency dealing with the protection of its external borders — FRONTEX in Greece, where more and more migrants arrive every day, seeking a way into Europe. This is the most severe migrant crisis facing Europe after the Second World War.

MOLDOVA — The Prime Minister designate of the Republic of Moldova, Ion Sturza, will present his governing programme and the structure of his Cabinet on January 2 in Parliament, and will seek Parliament’s vote of confidence on January 4. Following consultations with parliamentary parties, Ion Sturza obtained the support of Democratic MPs only, accounting for 19 of the total of 101 seats in Parliament. On Tuesday, the Constitutional Court of Modlova ruled that the decree of president Nicolae Timofti to appoint Ion Sturza as the country’s new Prime Minister observed the Constitution. 14 former communist MPs, now members of the Democratic Party, had notified the court, claiming that Nicolae Timofti hadn’t consulted their party when appointing Ion Sturza and that the candidate he backed hadn’t been agreed by a parliamentary majority.

BANKS — Under the new Code of Fiscal Procedure, which comes into effect on January 1, 2016, banks in Romania will have to report to the National Fiscal Administration (ANAF) the number of natural or legal persons opening or closing a bank account or a safe deposit box. In addition, casinos, notaries public, lawyers and real estate agents will also have to report to ANAF all transactions exceeding 5,000 euros. All accounts, irrespective of kind or currency, are subject to this procedure, while the information provided will also refer to any changes operated after the account was opened regarding at least one element in the reporting format provided by the Fiscal Administration.

NEW YEAR’S EVE — 90% of accommodation units in Romania are already fully booked ahead of New Year’s Eve party. For the first time, a large number of Romanians chose to spend the New Year’s Eve at home. The favourite travel destinations this winter are rural areas, preserving traditions and customs, but also mountainous regions. Hotel owners say the number of tourists spending the New Year’s Eve in cities in Transylvania, such as Sibiu, Brasov or Sighisoara, has increased in recent years.

(Translation by V. Palcu)

30 December 2015
4 December 2015, UPDATE

Romania-IMF. The Romanian president Klaus Iohannis had talks on
Friday with the director of the IMF’s European Department Poul Thomsen about the positive
prospects of the Romanian economy and the latest European developments. The two
officials emphasised the need for Romania to continue reforms against a
backdrop of fiscal, budgetary and financial predictability and reiterated the
importance of consolidating the trust of the business community and Romania’s
foreign partners in the government’s policies. The IMF official, who served as
the Fund’s chief negotiator with Romania between 1996 and 1998, also had talks
with prime minister Dacian Ciolos, the governor of the National Bank Mugur
Isarescu and the leaders of the Social Democratic Party and the National Liberal Party, the largest in Parliament.
Since 2009, Romania has signed three consecutive agreements with the IMF and
the European Union. The latest, worth 2 billion euros, expired in September
2015 without Romania having had to access the available funds. The purpose of
this precautionary-type agreement was to protect the country’s economy from
possible shocks on the financial market.

Economy. Romania’s GDP rose by 3.7% in the first 9
months of the year compared with the same period last year, according to the
National Institute of Statistics. All economic sectors have contributed to this
growth with the exception of agriculture, forestry and fisheries. The European
Commission has improved its autumn forecast of Romania’s economic growth rate,
whose pace will accelerate this year and in 2016 to reach 3.5% and 4.1%,
respectively, on the back of recent
tax relaxation measures to stimulate domestic demand.

Corruption. The High Court of Cassation and Justice in Bucharest
on Friday ruled that the Social Democrat senator and former transport minister
Dan Sova be placed under house arrest as part of a corruption investigation. He
was detained on Thursday, being accused of peddling in influence in relation to
a legal assistance contract with a state energy company. According to the
National Anticorruption Directorate, between 2011 and 2014, Sova received
100,000 euros to convince the company’s general director to sign a contract
with a certain law firm. Sova is also mentioned in another case involving and
the former prime minister Victor Ponta who resigned last month. Also on Friday,
the MP Florin Popescu was convicted by the High Court to two years in prison
for demanding tens of tonnes of food products which he distributed to voters
prior to the local elections of 2012. At that time, Popescu was the president
of the Dambovita County Council and was a member of the Liberal Democratic
Party, which later merged with the National Liberal Party.

Counter-terrorism. Five Somali citizens were found by the
Romanian border police while trying to cross the country’s eastern border
illegally to reach Western Europe. Border police officials said a careful examination will be made of everybody crossing the border, including
data bases and travel documents, even in the case of European citizens. The
purpose of this measure is to prevent persons seen as a threat to domestic and
foreign security from crossing the border. In another development, European
interior ministers agreed in Brussels on a system of sharing airline passenger
information. The police would have access to names, itinerary and credit cards
information. The details would be collected from European carrier flights
entering or leaving the European Union.
The document must first be endorsed by the European Parliament during a
vote next month.

Military exercise. Around 200 Romanian military
and some 350 US troops take part in the Dacian Thunder exercise that started on
Friday and comes to an end on the 20th of December at the air bases
in Mihail Kogalniceanu, in the south-east, and Campia Turzii, centre-west.
According to a press release from the Romanian defence ministry, the Dacian
Thunder, which is now in its second year, aims to increase the level of staff interoperability,
ensure an exchange of experience and improve the training of the Romanian and
US staff by carrying out joint flights in keeping with NATO standards.

Transdniester. The Romanian foreign minister
Lazar Comanescu on Thursday attended the 22nd meeting of the OSCE
Ministerial Council held in Belgrade. In his address, he reiterated his
country’s support for Ukraine, urged the OSCE to play a more active role to
solve the situation in Transdniester, a break-away pro-Russian region in the
east of the Republic of Moldova, and spoke about the organisation’s role in
fighting terrorism. On the sidelines of the meeting, minister Comanescu met his
Moldovan counterpart Natalia Gherman for talks on the political situation in
Chisinau and Moldova’s Association Agreement with the European Union.

Handball. The Romanian women’s handball team face Puerto
Rico on Saturday in their first match at the World Championship in Denmark.
They are in Group D, together with Kazakhstan, Spain, Norway and Russia. The
four best-ranked teams in each group will qualify to the round of last 16.
Before the start of the World Championship, Romania played four friendly games,
having won against the Czech Republic, Cuba and Sweden and lost to France.
Romania are the only team to have taken part in all editions of the World
Championship since 1957 and have so far won three medals: gold in 1962 and
silver in 1973 and again in 2005.

(Translated by: C. Mateescu)

4 December 2015
November 10, 2015 UPDATE

Romania’s President, Klaus Iohannis, on Tuesday appointed Dacian Ciolos, former EU Commissioner for Agriculture in the executive led by José Manuel Barroso, as the country’s new prime minister. Ciolos, aged 46, has vowed in a brief comment at the presidential palace in Bucharest, to focus his attention and energy on putting together a team of technocrats that will seek Parliament’s approval. In his turn, President Klaus Iohannis, who held two rounds of talks with parliamentary parties prior to nominating the new PM, has said Romania needs an independent premier of high moral and professional value and has called on political parties to eliminate corrupt members and promote to public positions only competent, non-corrupted people. Dacian Ciolos comes to replace leftist Victor Ponta who quit last week amid public anger over a deadly nightclub fire.

The death toll from the horrific fire at the Colectiv club in Bucharest on October 30th reached 49 on Tuesday. Over 70 people who suffered severe burns are still in Bucharests hospitals, some of them in critical and serious condition. 35 patients have been transferred to hospitals in 7 other countries. Doctors from Germany and France are now assessing the possibility of further transferring patients to various hospitals in Europe.

The United States Ambassador in Bucharest, Hans Klemm said on Tuesday that the American anti-missile system at the Deveselu military base in southern Romania would be operational in the spring of 2016 and that everything was going according to the approved schedule and budget. On the occasion of a visit to the military base, Hans Klemm said that the anti-missile system was an essential element of the bilateral strategic partnership.

A NATO delegation is in Chisinau as of Tuesday to assess the reconstruction program of the Republic of Moldovas defense capability. The program, which involves major allies such as the US and Germany, contributing both money and expertise, is run in keeping with the decisions made at last years summit, when NATO included in its own security strategy the defense capabilities of the partner countries, including the Republic of Moldova, Ukraine and Georgia. The NATO Secretary General Jens Stoltenberg said back than that the Republic of Moldova would thus be helped to consolidate security against potential threats coming from Russia. The NATO delegations visit is taking place against the background of political uncertainty in Chisinau, where consultations on the formation of a new parliamentary majority continue.

A new program with the IMF and the European Commission is quite unlikely for Romania, as elections are drawing near, the World Bank Country Economist Catalin Pauna said on Tuesday at a conference on taxation. He has stated that the World Bank estimates a 3.6% economic growth rate this year and a 3.9% growth rate in 2016. As for 2017, the estimated rate is 4.1%. According to Pauna, the inflation dynamics, affected by fiscal measures and the VAT cut of June, will be influenced next year by the reduction of the VAT from 25% to 20% in January.

10 November 2015
November 10, 2015 UPDATE

Romania’s President, Klaus Iohannis, on Tuesday appointed Dacian Ciolos, former EU Commissioner for Agriculture in the executive led by José Manuel Barroso, as the country’s new prime minister. Ciolos, aged 46, has vowed in a brief comment at the presidential palace in Bucharest, to focus his attention and energy on putting together a team of technocrats that will seek Parliament’s approval. In his turn, President Klaus Iohannis, who held two rounds of talks with parliamentary parties prior to nominating the new PM, has said Romania needs an independent premier of high moral and professional value and has called on political parties to eliminate corrupt members and promote to public positions only competent, non-corrupted people. Dacian Ciolos comes to replace leftist Victor Ponta who quit last week amid public anger over a deadly nightclub fire.

The death toll from the horrific fire at the Colectiv club in Bucharest on October 30th reached 49 on Tuesday. Over 70 people who suffered severe burns are still in Bucharests hospitals, some of them in critical and serious condition. 35 patients have been transferred to hospitals in 7 other countries. Doctors from Germany and France are now assessing the possibility of further transferring patients to various hospitals in Europe.

The United States Ambassador in Bucharest, Hans Klemm said on Tuesday that the American anti-missile system at the Deveselu military base in southern Romania would be operational in the spring of 2016 and that everything was going according to the approved schedule and budget. On the occasion of a visit to the military base, Hans Klemm said that the anti-missile system was an essential element of the bilateral strategic partnership.

A NATO delegation is in Chisinau as of Tuesday to assess the reconstruction program of the Republic of Moldovas defense capability. The program, which involves major allies such as the US and Germany, contributing both money and expertise, is run in keeping with the decisions made at last years summit, when NATO included in its own security strategy the defense capabilities of the partner countries, including the Republic of Moldova, Ukraine and Georgia. The NATO Secretary General Jens Stoltenberg said back than that the Republic of Moldova would thus be helped to consolidate security against potential threats coming from Russia. The NATO delegations visit is taking place against the background of political uncertainty in Chisinau, where consultations on the formation of a new parliamentary majority continue.

A new program with the IMF and the European Commission is quite unlikely for Romania, as elections are drawing near, the World Bank Country Economist Catalin Pauna said on Tuesday at a conference on taxation. He has stated that the World Bank estimates a 3.6% economic growth rate this year and a 3.9% growth rate in 2016. As for 2017, the estimated rate is 4.1%. According to Pauna, the inflation dynamics, affected by fiscal measures and the VAT cut of June, will be influenced next year by the reduction of the VAT from 25% to 20% in January.

10 November 2015
The Week in Review: October 19-24

IMF experts are in Bucharest

An IMF delegation has this week held
talks with high-ranking officials in Bucharest. The IMF has forecast a budget
deficit of 3% of the GDP in 2016 and also a higher rate for 2017, due to
significantly slashed taxes and duties as well as pay rises announced by the
authorities. The IMF has recommended that the deficit for 2016 be limited at a
rate of 1.5%. Upon meeting president Klaus Iohannis, the IMF representatives
voiced reservations about the approval of a new loan agreement. IMF experts
have also briefed the senators and deputies in the budget committees on the
talks with government representatives. The IMF’s only objections are related to
structural reforms and a potential
exceeding of the budget deficit. Prime Minister Victor Ponta has
underlined that Romania will observe the 1.86% target deficit approved by
Parliament. Romania’s latest agreement with the IMF, which expired in 2015, was
worth two billion euros, but the authorities didn’t access any of the available
funds.

The Romanian Foreign Minister pays a
visit to Palestine and Israel

Foreign Minister Bogdan Aurescu paid an
official visit to Israel and Palestine on Monday and Tuesday. Aurescu was
received by Palestinian president Mahmoud Abbas in Ramallah on Monday. The two
officials tackled the present situation in the Middle East and the prospects of
resuming peace talks with Israel. In Jerusalem, Bogdan Aurescu met with Israeli
Prime Minister and Foreign Minister Benjamin Netanyahu. The Romanian official
said that rebuilding trust was a prerequisite for resuming peace talks with the
Palestinians and reiterated an appeal for defusing tension in the region. The
two officials reconfirmed the privileged relations between Romania and Israel
and tackled cooperation in various fields such as the military and cyber
security. The Romanian minister also met with members of the community of
Romanian-born Israelis.

The Parliament in Bucharest hosts debates on postal voting

A bill on postal voting is being debated
upon in the decision-making Chamber of Deputies in Bucharest. The legislative
proposal enjoyed a landslide Senate approval; both the Social Democrats, the
main party in the coalition government and the National Liberal Party, the main
opposition party, backed the bill. This
kind of voting will be made available only to Romanians residing abroad, who
will be casting their ballot in Parliamentary, Presidential and EU Parliamentary
elections. Voters must enlist in the Election Registry a couple of months
before the election. The document, drawn up by the Permanent Election
Authority, provides for the setting up of a postal election bureau for every 10
thousand voters. Organizational malfunction had prevented thousands of
Romanians living abroad from casting their ballot in the presidential election
of November 2014; many of them had been standing in queues for hours before the
election booths, and didn’t even manage to vote for their candidate.

Former president Ion Iliescu and other
former high-ranking officials are indicted for the events of
June 1990.

Romania’s former president Ion Iliescu
has been placed under investigation for crimes against humanity in a file on
what is known as the Miners’ Raid on Bucharest over June 13th and 15th.
The raid stifled a wide-scale protest rally against the left-wing government,
which came to power after the fall of the communist dictatorship in Romania.
Investigations have been launched in the same file against Virgil Magureanu,
the then head of the Romanian Intelligence Service, former Prime Minister Petre
Roman and also former ministers Victor Athanasie Stanculescu and Gelu Voican
Voiculescu. Against the backdrop of violent incidents in Bucharest, which the
army had already managed to contain, Iliescu invoked a far-right coup attempt,
calling on the population to defend the democratic institutions. The
president’s call was responded by miners based in Jiu Valley, central Romania,
who stormed the University, some opposition party headquarters and some
independent publications offices. The incidents ended in four official deaths,
hundreds of wounded people and over 1,000 abusive arrests. Last year the
European Court of Human Rights issued a decision asking Romania to carry on
investigations in the miners’ raid of June 1990.

The Romanian Government endorses the second budget adjustment this year

The Romanian government has endorsed the
second budget adjustment this year. According to a bill drafted by the Finance
Ministry, incomes and spending will each rise by roughly 2.6 billion lei, with
a deficit of around 1.85% of the GDP. The Ministry of Agriculture will get most
of the money, about 770 million lei, while the social insurance budget fund
will be enlarged in order to support the pay rises due to come into effect as
October 1st. The Ministries of Regional Development and Public
Administration, as well as the European Funds, Education and Labour Ministries
will also benefit from increased funds. 1.61 billion lei are to be taken from
the Transport Ministry but the National Railway Company and Metrorex, running
the Bucharest tube network, will get additional funds. The Liberals have been
quick to complain that funds have again been slashed from the road
infrastructure.

Public Sector employees whose salaries
were cut in 2010 get their money back

Under a recent court ruling, teachers,
magistrates and public sector employees who won legal trials against the former
government led by Emil Boc will get their money back, in the form of amounts
declared by the court as enforceable titles. Prime Minister Victor Ponta
announced the budget surplus this year allows for these payments to be made in
advance, so employees will not have to wait until 2016. Public sector employees
had their wages slashed by 25% in 2010 due to the crisis.

25 October 2015
IMF mission to Bucharest

Is Romania the only or the most successful story of the IMF? The answer would be yes if we believe the Social Democratic PM Victor Ponta, according to whom the Romanian authorities have, to a large extent, acted upon the advice of the IMF, the World Bank and the European Commission, Romania’s international lenders. An IMF delegation led by the head of the IMF mission to Romania, Andrea Schaechter, held talks in Bucharest with top Romanian officials.

The IMF experts have recently revised upwards the estimates regarding Romania’s economic growth. The GDP is expected to increase by 3.4% in 2015 and by 3.9% in 2016. Given that the latest stand-by agreement concluded with the IMF expired, the Romanian finance minister Eugen Teodorovici says Bucharest could apply for a new loan. But, after the meeting of the IMF delegation with the budget committee members, the Liberal Gheorghe Ialomitianu said, quoting the IMF experts, that a new agreement was not possible:

“At present Romania cannot conclude an agreement with the IMF because opinions about the credibility of its government are extremely divergent. The Cabinet did not observe what Romania undertook under the agreement that expired. The government says it cannot respect those recommendations made by the IMF and the European Commission, while the IMF cannot endorse what the government is doing, because it does have its responsibilities”.

Viorel Stefan, a Social Democrat, denies that the IMF made such a blunt statement, but acknowledged that there are certain obstacles.

“There are talks about a flexible agreement, which does not involve a loan, but only technical assistance provided by the IMF. This would be a gain, because we all know that when the IMF gives you good credentials, you are regarded with more confidence on the capital markets. On the other hand, we must admit that structural reforms still need to be implemented. For 25 years we have been striving to reform state-owned companies”.

The Romanian government is also blamed for the slow pace of reforms in the administration. The IMF expressed concern related to the fiscal and budget situation for 2016 and 2017, when Romania risks missing the deficit targets set. In a communiqué signed by the head of the IMF mission to Bucharest, the IMF estimates a budget deficit of 3% of the GDP in 2016 and an even higher rate in 2017, because of a combination of measures to massively reduce taxes and fees, on the one hand, and to increase salaries, on the other hand. The IMF recommends a 1.5% budget deficit target for 2016. According to the IMF, Romania’s macro-economic indicators have improved considerably, and protecting them is crucial in the context of global risks, especially in the emerging economies.

22 October 2015
October 22, 2015 UPDATE

IMF – The International Monetary Fund has estimated that Romanias budget deficit will reach 3% of the GDP in 2016 and will most likely exceed this level in 2017 as a result of massive tax cuts and planned salary rises, while the recommended budget deficit for next year is 1.5%. According to a press release from the head of the Funds mission to Romania Andrea Schaechter, Romanias macroeconomic indicators have improved considerably in recent years, but consolidating this progress is crucial at a time of growing global risks, in particular in the emerging economies. Under the circumstances, Romania must maintain fiscal discipline to consolidate its public finance and renew its commitment to structural reforms, especially with respect to state-owned companies. The representatives of the International Monetary Fund have also said that unless Romania modernises its transport infrastructure, the advantages of its strong economic activity will be short-lived and its progress slow. A Fund delegation was on a one-week trip to Romania to discuss with the authorities the situation of the countrys economy, future developments and the state budget for 2016.

EUROBONDS – Romania on Wednesday sold 2 billion euros of eurobonds offering 10- and 20-year maturities, writes the American publication Bloomberg. Romania thus followed Poland and Lithuania, two countries that have already accessed the international bond market. This is for the fist time that Romania has issued eurobonds with a 20-year maturity. The commentators cited by Bloomberg say investors had been waiting for a long time for Romania to return to the markets and that they were interested in longer maturities.

MINER RAIDS – The General Prosecutors Office in Bucharest continued hearings in an investigation looking into the so-called “miner raids between 13 and 15 of June 1990 that put an end to wide-scale demonstrations against the left-wing government that came to power after the collapse of the communist regime. On Wednesday, prosecutors charged the former president Ion Iliescu and two of his aides at the time, the director of the Romanian Intelligence Service Virgil Magureanu and the defence minister Victor Stanculescu, with crimes against humanity. Prosecutors have also called on the president to green-light proceedings to indict former Prime Minister Petre Roman and his deputy Gelu Voican. Following violent incidents in Bucharest that the army had already managed to contain, Ion Iliescu appealed to the population to save democratic institutions from a far-right coup. Groups of miners from Jiu Valley, a large mining area in the centre, descended on Bucharest, where they stormed the University building and the headquarters of the opposition parties and independent newspapers. Four people are known officially to have been killed in the incidents, while hundreds of people were wounded and over 1,000 were subject to abusive arrests.

CRISIS – Socialist and Communist MPs in the Republic of Moldova on Thursday filed a no-confidence motion against Valeriu Strelets Cabinet. To pass, the motion needs the votes of 51 MPs of the 101 members of the Moldovan Parliament. The Republic of Moldova is facing political tensions, given that the pro-European ruling coalition risks falling part after the arrest of its leader Vlad Filat, in a corruption case.

TENNIS – The Romanian pair made up Irina Begu and Monica Niculescu will be playing the doubles final of the WTA tournament in Moscow, totalling 700 thousand dollars in prize money. On Thursday the two outperformed Andreja Kepac of Slovenia and Katerina Siniakova of the Czech Republic. Irina Begu has four doubles wins and another four finals played, of which two in 2015. Monica Niculescu has won four titles and played 11 finals, of which two in 2015.

22 October 2015
October 19, 2015 UPDATE

Romanian President Klaus Iohannis will meet on Tuesday in Bucharest with a delegation of the International Monetary Fund. The IMF representatives have already discussed with Romanian Finance Ministry officials about the state budget for 2016. Last week, Finance Minister Eugen Teodorovici said he considered the possibility of signing a new accord with the IMF. As of 2009 and up to present Romania has forged three consecutive loan agreements with the IMF and the EU. The last one expired last month.

British Prime Minister David Cameron presented on Monday his governments counter-extremism strategy, designed to tackle fanatics and hate preachers and restrict their activities. According to this new strategy, parents of children aged 16 and 17 have the power to request the cancellation of passports if they suspect their children are under the influence of extremists. Also, anyone with a conviction or civil order for extremist activity will be automatically barred from working with children and vulnerable people. British police estimate that at least 700 people from the UK have travelled to support or fight for jihadist organisations in Syria and Iraq such as Islamic State.

Romania’s Senate ratified on Monday an Accord on the reimbursable loan of 150 million euros granted to the neighbouring Republic of Moldova, an ex-Soviet state with a majority Romanian-speaking population. Romanian senators unanimously voted in favor of the Accord, which had already been green-lighted by deputies. Moldova needs Romania’s financial assistance to finance its budget deficit estimated at 3.8% of the GDP in 2015. The Republic of Moldova is shaken by a huge scandal as its former Prime Minister, Vlad Filat, has been arrested for his alleged direct involvement in the disappearance, from the banking system, of 1 billion dollars.

The Palestinian President Mahmoud Abbas received Romania’s Foreign Minister Bogdan Aurescu on Monday in Ramallah. The two officials discussed about the current situation in the Middle East and the possibility for peace talks between Palestinians and Israelis to be resumed. Previously, the Romanian official visited the Yad Vashem Holocaust History Museum in Jerusalem, whose representatives voiced appreciation at the measures taken by Romania to combat anti-Semitism. In Israel, Aurescu met with the country’s Prime Minister Benjamin Netanyahu, to discuss ways to consolidate bilateral ties and cooperation in various fields such as investment, energy, tourism and agriculture.

The Romanian Senate passed the postal voting bill on Monday. The bill was supported by both the Social Democrats, in power, and the Liberal opposition. The postal voting system will be used in the parliamentary, presidential and European elections and only applies to Romanian citizens residing or living abroad. The bill has been sent for approval to the Chamber of Deputies, as the Parliaments decision-making body.

19 October 2015
October 12, 2015 UPDATE

Starting December 1st, the entire staff in the
Romanian education system will benefit from a 15% salary rise. This will add to
other similar measures already applied this year, so the pay rise in this
sector will have reached an average of 26,7% in 2015. The announcement was made
on Monday by the Romanian Education Minister Sorin Cîmpeanu, following
negotiations with representatives of the line trade unions. Previously, on a TV
show, minister Cîmpeanu had stated that, in four years, salaries in the
education system should gradually grow up to a level attractive enough to bring
young higher education graduates into the system. We recall that the medical
staff in Romania also benefit from a
25% rise as of October 1st.

On Monday, Romania’s President Klaus Iohannis received the US Ambassador
to Bucharest, Hans Klemm. The two officials discussed means of boosting
security cooperation as well as political dialogue. According to the
Presidential Administration, the Romanian head of state stressed the need for
consolidating the economic dimension of the Strategic Partnership between
Romania and the US. We recall that the US Ambassador to Romania, Hans Klemm,
presented his accreditation letters on September 21st. Also, in late September, President Klaus
Iohannis, on a visit to the US, had a meeting with the US Vice President Joe
Biden.

On Monday,
the Romanian Foreign Minister, Bogdan
Aurescu, reiterated at the Foreign Affairs Council in Luxembourg Romania’s
support for Libya’s unity and territorial integrity and Bucharest’s willingness
to help that country’s democratic and institutional reconstruction. Talking
about Syria, Bogdan Aurescu said that Romania strongly defended a political
solution to the domestic conflict in that country. Bucharest, he said, is ready
to get actively involved in facilitating dialogue, including by using its
embassy in Damascus, which is still operational. According to the Romanian
diplomat, starting a political transition needs to take place at the same time
with combating and neutralizing the Islamic State terrorist organization. Also,
Bogdan Aurescu reiterated Romania’s solidarity with the efforts made to solve
the current refugee crisis.

Liviu Dragnea, the
only candidate in the election for president of the Social Democratic Party,
held on Sunday, was elected head of the main ruling party in Romania by 97% of
the members who came to the polls. It was for the first time that the leader of
the Social Democratic Party was elected through an internal ballot and not at
the Party Congress. On Monday, the results of the vote were analyzed by the
party’s National Executive Committee. Also, the Committee discussed the
structure of the party leadership, whose members will be elected at the
extraordinary congress due on Sunday, October 18th. More on this
after the news.

A technical mission of the International Monetary Fund is expected to
arrive this week in Romania. Next year’s state budget, as well as a potential
new agreement with the Fund, will be the main topics on the agenda of talks.
The visit comes after the IMF has recently revised upwards its estimates on the
Romanian economy. The GDP is expected to go up 3.4% this year and 3.9% in 2016.
Last month, Romania’s fourth consecutive agreement with the IMF came to an end.
The precautionary agreement was worth 2
billion euros, but Bucharest did not use the funds. The Finance Minister Eugen
Teordorovici has recently stated that Romania will officially apply for a new
loan agreement with the IMF.

Romanian,
American, Bulgarian and Ukrainian troops are taking part, between October 12 and 15, in military exercises in the Black Sea
international waters. Romania is participating with a frigate, a corvette and
two MiG 21 LanceR aircraft. The American forces are represented by the USS
Porter destroyer and a maritime
patrol aircraft, while Ukraine and Bulgaria contributed one frigate
each. The troops will carry out anti-submarine warfare drills, as a means to
test the capacity of joint operations in the Black Sea. According to American
officials, participation in exercises together with NATO allies, Romania
included, is a permanent mission of the US Sixth Fleet.

Turkish
authorities on Monday said Islamic
State jihadists were behind the two blasts in Ankara, the bloodiest attack ever
committed in Turkey. The explosions killed 97 people and wounded another 500
near the central railway station, where people had gathered to protest against
the clashes between the Turkish government and the Kurdistan Workers’ Party
(PKK). The attack occurred three weeks before the early elections scheduled for
November 1st. On Saturday and Sunday,
many people across Turkey gathered to
protest against violence and terrorism.
The participants blamed the government for failing to take proper security
measures.

Angus Deaton of
Great Britain is the winner of the Nobel Prize in Economics. He was rewarded
this way for his analysis of consumption, poverty and welfare, the Royal
Swedish Academy of Sciences stated. Last year, the French economist Jean Tirole
was the recipient of the award for his analysis of market power and regulation.
Also this year, the Nobel Prize in Literature
was awarded to the Belarusian writer Svetlana Alexievich and the Peace
Prize went to several organizations that facilitated the democratic transition
in Tunisia.

Romania’s national football
team has qualified for the final tournament of the European Championship, due
next year in France.
In their last game in preliminary Group F,
on Sunday night, the Romanian squad defeated the Faroe Islands 3-0, away from
home. The last time Romania took part in a European final tournament was in
2008. Group F also included Northern Ireland, which won the group stage and
also qualified for the final tournament, Finland, Greece and Faroe Islands. 16
out of the 24 participants in the final tournament are known so far.

12 October 2015
October 12, 2015

The National Executive Committee of the largest party in the ruling coalition in Romania, the Social Democratic Party, is analysing today the results of yesterdays vote in which Liviu Dragnea was elected party president. This is for the first time that the Social Democrats have not elected their leader in a congress, but through an internal vote in which all the roughly 530,000 party members were invited to take part. The Committee will also decide today on the partys leadership structure, whose members will be elected in a special congress scheduled for Sunday, October 18. Also today, registrations begin for executive president, vice-president, secretary general and other positions in the party.

The Romanian Foreign Minister Bogdan Aurescu takes part today in Luxemburg in a meeting of the Foreign Affairs Council. According to a news release issued by the Romanian Foreign Ministry, the participants will exchange opinions on a political agreement concerning the formation of a national union government in Libya and its implications for the future of that country, and will analyse the situation in Syria. The topic of migration will also be approached, ahead of the Summit in Valletta (Malta), which will take place in November 2015.

A technical mission of the International Monetary Fund is expected to arrive this week in Romania. Next years public budgets as well as a possible new agreement with the Fund will be the main topics on the agenda of talks. The visit comes after the IMF recently upgraded its estimates on the Romanian economy. The GDP is expected to go up 3.4% this year and 3.9% in 2016. Last month, Romanias fourth consecutive agreement with the IMF came to an end. The stand-by loan deal amounted to 2 billion euros, but Bucharest has not used the funds. The Finance Minister Eugen Teordorovici said recently that Romania will officially apply for a new loan agreement with the IMF.

Romanian, American, Bulgarian and Ukrainian troops are taking part, between October 12 and 15, in military exercises in the Black Sea international waters. Romania takes part with a frigate, a corvette and two MiG 21 LanceR aircraft. The American forces consist in the USS Porter destroyer and a maritime patrol aircraft, while Ukraine and Bulgaria contributed one frigate each. The troops will practice anti-submarine warfare strategies, to test the joint operation capacity at the Black Sea. According to American officials, participation in exercises together with NATO allies, Romania included, is a permanent mission of the US Sixth Fleet.

The Nobel in Economic Sciences, to be awarded today in Stockholm, concludes this years award ceremonies. The main highlights were the granting of the Nobel Prize in Literature to the Belarusian writer Svetlana Alexievich and of the Nobel Prize for Peace to several organisations having facilitated the democratic transition in Tunisia. Unlike in previous years, none of the economists on the list of nominees is seen as having bigger chances to win than the others. Last year Jean Tirole of France was awarded the Nobel for his analysis on market power and regulation.

The twin blasts in Ankara, the bloodiest attack ever committed in Turkey, killed at least 97 people, according to a new report released by the authorities and quoted by France Presse. The blasts took place near the central railway station in the Turkish capital city, where people had gathered for a protest against the clashes between the Turkish government and the Kurdistan Workers Party (PKK). The two suicide attackers were men, and identification operations are underway. The attack came 3 weeks ahead of the early legislative elections of November 1. On Saturday and Sunday, demonstrations were held in several Turkish cities against violence and terrorism. The participants criticised the government for flawed security measures.

Most of Romanias eastern part is subject to a code yellow alert for heavy rainfalls and strong wind, valid until tonight. The bad weather has already caused problems in the north-east of the country, where snowfalls have been reported and several towns and villages experienced power outings. Hydrologists warn that floods may be reported in several counties in the south and east. Meanwhile in Bucharest, the noon reading was 7 degrees Celsius.

Romanias football team has qualified in the final tournament of the European Championship, due next year in France. In their last game in preliminary Group F, the Romanians beat the Faroe Islands 3-0, away from home, on Sunday night. The last time Romania took part in a European final tournament was in 2008. Group F also included Northern Ireland, which won the group stage and also qualified for the final tournament, Finland, Greece and Faroe Islands. So far 16 out of the 24 participants in the final tournament are known.

12 October 2015
The Week in Review, October 4-10

Romania and the refugee crisis

Romania is not confronted with a refugee crisis. This year our country reported 44 asylum applications more than 2014, when it had a total of 900 applications. Even so, if migrants do come, Romania has prepared to accommodate 1 thousand people. As for the national legislation on assistance provided to people fleeing war, poverty and oppression, this must be updated, as the current situation is unacceptable. Here is Prime Minister Victor Ponta:

“A 2006 provision is still in force, dictating that spending required to accommodate a political refugee stands at 0.6 euros per day, while each refugee will receive an allowance of 0.1 euros for personal expenses. The Finance Minister will try to update these values, because this is not just unacceptable, but insulting. We must also revise access to health care, given the introduction of the health card, the access to education, in cases where refugees are required to provide school records that were destroyed in bombings, which virtually denies them access to education. The same applies for accommodation provisions”

Romania has promised solidarity, the Prime Minister went on to say, arguing that the Government will fulfill its short- and medium-term objective of providing financial and logistic support to countries already hosting refugees, such as Turkey and Jordan.

Romania and NATO

Romania’s defence minister Mircea Dusa, who attended a NATO defence ministers meeting in Brussels on Thursday, called on his country’s allied partners to take concrete measures to consolidate the security of the Black Sea. He said it was necessary to ensure NATO’s maritime presence in the Black Sea:

“I pointed out that maritime strategy, in particular the Black Sea strategy is very important for us and that NATO’s prevention capabilities should not be regional, but cover all NATO flanks, including its eastern and southern flanks.”

Earlier, in Seville, Romania’s foreign minister Bogdan Aurescu took part in the 2015 Multinational Ballistic Missile Defence conference held by the US Missile Defence Agency. Aurescu used the opportunity to reiterate that the US missile defence system located at the base in Deveselu, southern Romania, which will become operational this year, serves a purely defensive purpose. The aim is to consolidate collective defence, which is NATO’s fundamental task, as well as to discourage any possible ballistic missiles. The US Deputy Assistance Secretary of State for Defence Frank Rose, who made a trip to Bucharest, also said the US, NATO and Romania are currently holding consultations to make sure the base in Deveselu is protected against different types of threats, including terrorism.

CIA secret facilities in Romania

The Senate’s Defence Committee on Monday called on the Senate leadership to set up a new committee to investigate the existence of CIA secret detention facilities on Romania’s territory. At the same time, the Senate’s Standing Bureau will also have to request the declassification of all documents involving our country, included in the US Senate report on CIA interrogation methods. The decision follows a meeting of Romanian Senators and MEPs of the European Parliament Committee on Civil Liberties, Justice and Home Affairs, currently looking into new evidence placing Romania on a list of countries suspected of having hosted so-called ‘black sites’ of the CIA. The previous such committee operated in the 2006-2008 period and found no evidence confirming the existence of such CIA facilities in Romania.

Romanian economy — above expectations

The International Monetary Fund on Tuesday has upgraded its forecast on Romania’s economy for this year and the next. According to the latest World Economic Outlook report, Romania’s GDP is expected to grow by 3.4% this year and by 3.9% in 2016, as compared to 2.7% and 2.9% as originally estimated in spring. In another development the National Bank of Romania has issued a report on financial stability, arguing that Romania faces no major risks at present, despite uncertainty over the latest economic developments abroad and the danger of returning to a track of inadequate internal economic policies. According to National Bank Governor Mugur Isarescu Romania’s public debt is sustainable, but the constant growth of its share in the GDP might risk sidetracking economic growth. In the lack of financial stability, a market economy cannot function properly, while fiscal relaxation measures become a “hoax”, the Governor also said, saying that the Government’s plan to cut taxes is offset by the inflation tax, depreciation of the currency and arrears.

The Volkswagen scandal in Romania

The Romanian state plans to sue the Volkswagen group to recover the losses incurred by the sale of over 100,000 vehicles whose emissions levels are higher than those declared. The minister for the environment Gratiela Gavrilescu said the damages amount to over 30 million euros. This figure also takes into account the fact that buyers paid the environmental tax for Euro 5 category vehicles instead of Euro 4. Minister Gavrilescu said the people who purchased the cars in good faith would not have to cover the losses.

10 October 2015
October 10, 2015 UPDATE

Romania firmly condemns the attacks in Ankara and restates its full support for Turkey, Romanian President Klaus Iohannis said on Saturday. The Romanian Foreign Ministry offered condolences to the Turkish authorities, the Turkish people and the victims’ families. In her turn, the EUs high representative for foreign affairs and security policy, Federica Mogherini, called on Turkey “to stand united against terrorists and against all those who try to destabilize a country that is facing many threats.” In Ankara, Turkish President Recep Tayyip Erdogan firmly condammned the blasts that killed at least 85 people and injured another 185. The explosions took place near the citys central train station as people gathered for a march asking for an end to the conflict between the Turkish government and the Kurdish militant group the PKK. A ceasefire agreement between the two parties expired in July and there have been regular attacks from both sides since then. The PKK is fighting for the territorial independence of the Kurds.

An IMF delegation will travel to Romania next week for talks with the Bucharest authorities on the country’s budget in 2016 and the prospect of another precautionary agreement with Romania. The visit takes place against the background of the IMF having recently revised upwards its economic forecast on Romania. Thus, the country’s GDP is estimated to go up by 3.4% this year and by 3.9% in 2016. Romania’s fourth consecutive agreement with the IMF expired last month. The precautionary agreement was worth 2 billion euros but the Bucharest authorities did not access the funds. Romanian Finance Minister, Eugen Teodorovici, has recently stated that the country will officially ask for another agreement to be signed with the IMF.

On Sunday the Social Democratic Party (PSD), the main party in the governing coalition in Romania will elect its president. More than 530 thousand members are expected to cast their vote. The only candidate to the party’s presidency is Liviu Dragnea, currently interim president of the party. He took over the presidency of PSD in July 2015, when Prime Minister Victor Ponta, the then party president, resigned his position as head of the party following the corruption scandal in which he is involved. The PM Victor Ponta has been prosecuted being accused of forgery, accessory to tax evasion and money laundering. After internal elections, the Social Democrats will meet in an extraordinary congress on October 18.

Radio Romania’s Children Choir, conducted by Voicu Popescu, held a concert on Saturday, in Munich, as part of a choral music festival entitled “Let the Peoples Sing”. Radio Romania’s Children Choir, that qualified to the final alongside 8 other competitors from all over the world will perform tomorrow as part of the “Children and Youth Choirs” category. This year, Radio Romania’s Children Choir celebrates its 70th anniversary.

Presiding over a massive military parade in Phenian, North Korean leader Kim Jong Un said his country was “fully ready” to defend itself against any U.S. threat. In a celebration to mark the 70th anniversary of the ruling Workers Party, hundreds of troops marched across the country’s main square, which was festooned with national and party flags. The North Korean leader said the Workers Party members were a “source of miracle” as they turned the country into a socialist power, which was both independent and able to protect itself from military threat. Phenian already carried out three nuclear tests, in 2006, 2009 and 2013 and says it’s preparing for a fourth one, in spite of the international sanctions in place.

Romania’s national football squad will be up against the Faeroe Islands on Sunday. On Thursday the Romanians were held to a one-all draw by Finland. Northern Ireland has won the preliminary group. In order to book its ticket for Euro 2016, Romania is in dire need of a win in the match against the Faeroe Islands on Sunday, which is its last group stage fixture. In another move, Romanias national youth team defeated Luxembourg in an away match on Friday, counting towards the preliminaries of the European Under-21 Championship, scheduled for 2017. Bulgaria ranks first in this group, followed by Romania and Wales.

On Sunday, Romania’s rugby team is playing its last match at the World Rugby Cup, underway in England and Wales. In Exeter, on Sandy Park stadium, the Oaks will go up against Italy. The stake of the game is the group’s third position, which guarantees qualification to the World Cup scheduled for 2019 in Japan. The Romanians lost to Ireland and France but came back from nil-15 to beat Canada in their last match in Pool D, which was officially recorded as the biggest comeback in World Cup history.

10 October 2015
October 10, 2015

An IMF delegation will travel to Romania next week for talks with the Bucharest authorities on the country’s budget in 2016 and the prospect of another precautionary agreement with Romania. The visit takes place against the background of the IMF having recently revised upwards its economic forecast on Romania. Thus, the country’s GDP is estimated to go up by 3.4% this year and by 3.9% in 2016. Romania’s fourth consecutive agreement with the IMF expired last month. The precautionary agreement was worth 2 billion euros but the Bucharest authorities did not access the funds. Romanian Finance Minister, Eugen Teodorovici, has recently stated that the country will officially ask for another agreement to be signed with the IMF.

Radio Romania’s Children Choir, conducted by Voicu Popescu, is today holding a concert in Munich as part of a choral music festival entitled “Let the Peoples Sing”. Radio Romania’s Children Choir, that qualified to the final alongside 8 other competitors from all over the world will perform tomorrow as part of the “Children and Youth Choirs” category.

On Sunday the Social Democratic Party (PSD), the main party in the governing coalition in Romania will elect its president. More than 530 thousand members are expected to cast their vote. The only candidate to the party’s presidency is Liviu Dragnea, currently interim president of the party. He took over the presidency of PSD in July 2015, when Prime Minister Victor Ponta, the then party president, resigned his position as head of the party following the corruption scandal in which he is involved. The PM Victor Ponta has been prosecuted being accused of forgery, accessory to tax evasion and money laundering. After internal elections, the Social Democrats will meet in an extraordinary congress on October 18.

Two explosions at a peace rally in the Turkish capital Ankara have killed at least 30 people, and have injured another 130. The blasts took place near the citys central train station as people gathered for a march asking for an end to the conflict between the Turkish government and the Kurdish militant group the PKK. A ceasefire agreement between the two parties expired in July and there have been regular attacks from both sides since then. Over 120 members of the Turkish security forces and hundreds of Kurdish militants have been killed. The PKK is fighting for the territorial independence of the Kurds, who make up the fourth-largest ethnic group in the Middle East.

Presiding over a massive military parade in Phenian, North Korean leader Kim Jong Un said his country was “fully ready” to defend itself against any U.S. threat. In a celebration to mark the 70th anniversary of the ruling Workers Party, hundreds of troops marched across the country’s main square, which was festooned with national and party flags. The North Korean leader said the Workers Party members were a “source of miracle” as they turned the country into a socialist power, which was also independent and able to protect itself from military threat. Phenian already carried out three nuclear tests, in 2006, 2009 and 2013 and says it’s preparing for a fourth one, in spite of the international sanctions in place.

10 October 2015
October 6, 2015 UPDATE

The IMF has operated an upward adjustment of its forecasts regarding the increase of Romanias GDP this year and the next. According to the latest ‘World Economic Outlook released on Tuesday by the IMF, Romanias GDP is expected to go up 3.4% this year and 3.9% in 2016, as against the 2.7% and 2.9%, respectively, estimated in spring. On the other hand, in its financial stability report, the National Bank of Romania notes that the country is not facing severe systemic risks, in spite of the uncertainties related to the international economic context and the danger of a return to inadequate domestic economic policies. According to governor Mugur Isarescu, Romanias public debt is now sustainable, but the continued increase of the weight of the public debt in the GDP may become dangerous. Without financial stability, free market economy cannot work properly and efficiently, and fiscal relaxation becomes a “hoax, in that it reduces taxes, but triggers rises in inflation, depreciation rates and budget arrears, says Mugur Isarescu.

State Secretary for global affairs, Carmen Burlacu, received on Tuesday Riva Ganguly Das, the ambassador agree of the Republic of India, who presented her credentials. On this occasion, the two officials highlighted the positive dynamics of bilateral relations in recent years, emphasizing the multiple cooperation opportunities, as laid down in the joint declaration establishing an enhanced partnership between the two countries, signed in New Delhi on March 8, 2013.

The American anti-missile system in Deveselu, the military base in southern Romania that will become operational by the end of the year, is exclusively defensive in nature. It is designed to strengthen collective defence, a key mission of NATO, and to discourage ballistic attacks, the Romanian Foreign Minister Bogdan Aurescu said in Seville on Tuesday. He took part in the ‘2015 Multinational Ballistic Missile Defence’ Conference organised by the US Missile Defence Agency. According to the Romanian official, the Iranian ballistic programme is being developed and there are other state and non-state actors interested in obtaining or developing this technology. According to Bogdan Aurescu, Russias statements that the missile shield is useless are not justified. In Seville, the Romanian official had a meeting with the director of the US Missile Defence Agency, Vice-admiral James D. Syring.

Ukraine and the EU Tuesday welcomed the east Ukrainian separatists announcement that local elections in the regions they control will be postponed to 2016. Brussels views the decision as a “fundamental step towards the full implementation of the Minsk agreements. Alongside the recent agreement to pull out light weapons, this announcement gives fresh hope that the conflict may see a long-term political solution, a spokesperson for the EU foreign policy chief Federica Mogherini has said. In a rare occurrence, Russia joined Ukraine and the EU in hailing the decision of the pro-Russian separatists in Ukraine. Since the beginning of the conflict, in April 2014, more than 8,000 people have died in that country.

Turkish military planes were again harassed at the Turkish-Syrian border, the Turkish Army announced on Tuesday. The incidents came after, late last week, Russian aircraft violated Turkeys air space, causing tensions between Russia and Turkey, a NATO member country. The President of Turkey, Recep Tayyip Erdogan, warned Moscow that this may undermine relations with his country and said Turkey will not have violations of its airspace go unanswered. Russia launched air strikes in Syria on September 30, but the West accuses Moscow of targeting the opponents of President Bashar al-Assad. Russia claims however that it targets IS sites and other extremist groups.

6 October 2015