Tag: Prime Minister Florin Cîţu

  • November 24, 2023 UPDATE

    November 24, 2023 UPDATE

    Immunity. MPs of the ruling Social-Democratic and Liberal parties announced they would vote to lift the immunity of former Liberal Prime Minister Florin Cîțu, so that anti-corruption prosecutors can launch criminal proceedings against him in an investigation into the purchase of anti-COVID vaccines during the pandemic. Former Health Ministers Vlad Voiculescu and Ioana Mihăilă, members of the Save Romania Union, are also accused of abuse of office, and president Klaus Iohannis needs to green-light the lifting of their immunity. Prosecutors say the three purchased more shots than necessary, causing a prejudice of 1 bln EUR. The three officials could have easily refused the millions of doses allotted to Romania by the EU, without our country having to pay penalties. The vaccines were purchased at a very difficult time during the pandemic, dominated by uncertainty regarding the evolution of the virus, the availability of mass-production of vaccines and the need for re-vaccination, Vlad Voiculescu explained. The former Health Minister blamed Florin Cîțu for taking the final decision, and in turn the former Liberal Prime Minister said every decision made during his mandate was in good faith and in compliance with the law.



    Gaza. The Romanian Foreign Ministry has announced that following the complex efforts of the Inter-institutional Crisis Cell, through the Romanian Embassy in Cairo and the Romanian Representative Office in Ramallah, 12 Romanian citizens and their family members, evacuated from the Gaza Strip, have been transported to Romania on board a flight operated by the national company Tarom. The Bucharest government approved, on Thursday, the normative act on the basis of which financial aid is granted to Romanian citizens evacuated from the Gaza Strip. The 249 people, Romanian citizens and their families, will receive, starting next month, financial aid for food, accommodation and other needs. For food, each person, alone or from a family, will receive the sum of 600 lei, the equivalent of 120 euros. Families with up to five members will receive another 2,000 lei (around 400 euros) for accommodation, and those with more than five members will receive 3,000 lei (600 euros) for accommodation. This financial aid will be granted for four months.



    Vehicles. The Romanian state offers the biggest subsidies in the European Union for the purchase of electric and hybrid cars, the state secretary in the Ministry of Environment, Water and Forests, Bogdan Balanişcu, said on Friday. These are vouchers that can reach over 10,000 euros, for a Romanian citizen who wants to buy an electric car. It is a way to remove 250 thousand cars from the street and to stop the pollution that these old cars create, the official explained. According to the latest data sent by the Ministry of Internal Affairs, approximately 8,000 vehicles with zero CO2 emissions were registered in Romania in the first semester of 2023.



    Timisoara. The 2018 Nobel Peace Prize recipient, Nadia Murad, is the newest member of the academic community of Timișoara after being awarded the Doctor Honoris Causa title by the West University of the city of Timișoara, which is a European Capital of Culture in 2023. Nadia Murad is the first woman who had the strength and courage to condemn the atrocities committed by the Islamic State of Iraq. In 2014 she was sold by Daesh as a slave and lost her entire family. In her acceptance speech, Murad referred to the suffering of people abducted by ISIS and her efforts to improve the life of the Yazidi, a community she is a part of. Aged 30, Nadia Murad is the fifth Nobel Prize recipient to visit the city of Timișoara this year.



    Visit. The President of Romania, Klaus Iohannis, ended his ten-day tour of African states in Senegal on Thursday. He has stated that the visits marked the beginning of a new approach for Romania towards the African continent and explained that through this tour he put Romania back on the African radar. In the last stage of his travels, Iohannis was received in Dakar by his Senegalese counterpart, Macky Sall. The Romanian president said that the Bucharest administration is going to intensify collaboration with Senegal in areas such as emergency management, education, research and innovation, cyber security, digital infrastructure, agriculture and food safety. Criticized by the opposition in the country for his tour of Africa, Iohannis stated that neglecting the relationship with African states represented “a strategic error in Romanias foreign policy”, a mistake he decided to rectify. He mentioned that Romania has a new strategy for Africa, which specifically targets traditional partners, including Senegal.



    Chisinau. The Chisinau Parliament approved, on Friday, in the second reading, the legislative amendments regarding the application of international restrictive measures, recommended by the European Commission in the framework of the countrys EU accession negotiations. According to the Minister of Foreign Affairs, Nicu Popescu, the Republic of Moldova has aligned itself with 4 of the 6 sanctions packages that target citizens or legal entities from the Russian Federation. He also stated that Chisinau officials, together with the support of partners, will continue to make efforts to limit attempts to destabilize the country. The Diplomacy in Moscow has denounced joining the sanctions and accused the Moldovan authorities of wanting to completely destroy bilateral relations. (MI)

  • The Constitutional Court postpones a decision on the political deadlock

    The Constitutional Court postpones a decision on the political deadlock

    Frequently criticized and despised by many,
    the Constitutional Court remains the unquestionable arbiter of Romanian
    politics, and its rulings are unappealable. Therefore, it is still uncertain
    what will happen with the Liberal Cabinet, after the Court announced it would
    issue a ruling on September 28 regarding the alleged institutional conflict
    invoked by Liberal Prime Minister Florin Cîţu
    in connection with Parliament concerning the no-confidence motion filed by AUR,
    an ultranationalist party in the opposition, and the USR-PLUS alliance, at the
    time still a junior coalition partner. Prior to this date, the debate and vote
    of the motion are in standby, according to a Parliament majority decision. The permanent
    bureaus of the two chambers have sided with the Government regarding the notification
    the Prime Minister has sent to the Court and in which he claims the motion did
    not observe the law in terms of collecting signatures, and Parliament was
    notified late regarding this document.

    After the motion was blocked, AUR MPs
    announced a parliamentary strike. They will continue to attend Parliament sittings,
    although they will not be voting any of the initiatives. In turn, USR-PLUS has
    again criticized the Prime Minister, as well as the person who they believe is
    protecting him, president Klaus Iohannis. All USR-PLUS ministers have resigned,
    and Florin Cîţu sacked all state secretaries, prefects and deputy prefects from
    this party, claiming USR-PLUS may still return to the ruling coalition. One
    condition, however, is for them to drop the no-confidence motion filed jointly
    with AUR, a party the Liberals consider to be extremist. In response, USR-PLUS
    said they will only accept a Government where Cîţu is not Prime Minister.

    As
    regards the political deadlock, triggered since USR-PLUS ministers stepped down,
    the Cabinet passed an emergency decree approving the Anghel Saligny National
    Investment Programme, which the Prime Minister describes as an absolute
    necessity, which will help fund road pavement projects, sewage and gas pipeline
    works in those towns and villages where living standards are low. USR-PLUS, in
    turn, claims the project resembles the former national development projects initiated
    by the former Social-Democratic governments, representing a source of money that
    can be directed based on political criteria, without any transparency. USR-PLUS
    also accuses the Liberals of having trampled the judiciary and opened up
    vistas for embezzling money.

    In the meantime, surveys show that three quarters
    of Romanians believe the country is headed in the wrong direction. Most
    respondents are oblivious to the current political shenanigans, but are
    disgruntled with the recent price hikes and the constant devaluation of the
    national currency. (VP)



  • The Crimea Platform

    The Crimea Platform

    As most pundits have already noted,
    Ukraine is trying to hold on to Crimea, the peninsula illegally annexed by
    Russia in 2014. The Crimea Platform, whose inaugural summit was held on Monday
    and which Moscow has immediately labeled as an action against Russia, is an
    initiative trying to draw more global awareness regarding Russia’s illegal
    annexation of Crimea, and to ultimately facilitate its return to Ukraine.
    Representatives of over 40 states have adopted a final resolution condemning
    what they have termed the temporary occupation and illegal annexation of
    Crimea, which is a direct challenge to global security. The document warns that
    the ongoing militarization of the region undermines security and stability in
    the Black Sea region, condemns Russia’s efforts to legitimize the temporary
    occupation and the illegal annexation, as well as all violations of human
    rights in the peninsula.

    The joint declaration calls on Moscow to make sure
    that all people belonging to ethnic and religious communities, including
    Ukrainian and Tatar ethnics, have their rights fully observed. Romania was
    represented at the Crimea Platform summit by Prime Minister Florin Cîţu and
    Foreign Minister Bogdan Aurescu. The Romanian Prime Minister announced
    Romania’s accession to the Platform and reiterated our country’s constant
    support for the sovereignty and territorial integrity of Ukraine, as well as
    Romania’s firm commitment to denounce the illegal annexation of Crimea.
    Bucharest authorities, Florin Cîţu explained, are aware of the current
    challenges and threats to the values, stability and security of the Black Sea
    region. The Prime Minister also expressed Romania’s support for Ukraine’s
    efforts to join the EU and NATO, recalling that Romania was the first EU member
    state to ratify the Association Agreement with the EU. Achieving these goals
    must rely on a reform process that should bring benefits to all Ukrainian citizens,
    including those of Romanian origin, the Romanian official said.

    Florin Cîţu
    went on to say that external threats and challenges can better be managed if
    states act together towards solving bilateral issues. On the sidelines of the
    event, the Prime Minister met with his Ukrainian counterpart, Denys Shmyhal,
    reiterating Romania’s readiness to boost bilateral cooperation, including by
    hosting a new sitting of the inter-government Committee on economic, industrial
    and scientific cooperation. The two Prime Ministers said they also want to step
    up cooperation in various sectors such as transports, infrastructure and border
    crossing. Florin Cîţu insisted on the observance of the rights of the Romanian
    minority in Ukraine, which totals some 400 thousand people. (VP)



  • The vaccination campaign in rural areas

    The vaccination campaign in rural areas

    While new deliveries of anti-COVID-19 vaccine continue
    to arrive in Romania every month, the vaccination campaign is showing signs of
    slowdown, and the targets of central authorities have not been met. Overall,
    since the start of the campaign last year, Romania received over 9 million
    doses of vaccine produced by Pfizer, adding to which were deliveries of the AstraZeneca,
    Moderna and Johnson&Johnson vaccines. The total number of people who have
    taken the vaccine has exceeded 4.5 million, below the 5 million target
    announced by Prime Minister Florin Cîțu for the start of June. During a visit to a drive-through vaccination center
    in Baia-Mare, the Prime Minister said the vaccination campaign must enter a new
    phase where the serum should reach everyone, even when access is difficult,
    especially in rural areas. In this respect, Florin Cîțu called on the leaders
    of small communities to get involved.


    I met young people under 18
    years of age [who got vaccinated e.n.], which sends out a strong signal, but we
    should all understand we accomplished the best we could with the available
    resources. To get the vaccination campaign to rural areas we need the support
    of local authorities – the president of the county council, the prefect, the
    mayor, but also influencers – priests, doctors, local law enforcement. Everyone
    must get involved to get the campaign closer to people. I trust they will come
    up with innovative solutions to convince people vaccination is the only way we
    can all return to our lives before the pandemic.


    In turn, Health Minister Ioana Mihăilă promised she would travel every week
    across the country to encourage the vaccination process. Will the Government’s
    target of 10 million vaccinated people be reached by September? The Health
    Minister believes the important thing is to get as many people vaccinated as
    possible, so that the incidence rate should be kept in check. According to Ioana
    Mihăilă, the campaign is currently focusing on at-risk categories, namely
    elderly and people with chronic illnesses. Adding to them are people exposed to
    the secondary effects of COVID-19, and children aged 12-15, who transmit the
    disease more easily. (VP)







  • Authorities extend the state of alert

    Authorities extend the state of alert

    Like
    in most European states, the COVID-19 pandemic continues its downward trend in
    Romania as well. Almost all the country’s counties are now in the green area,
    with an infection rate below 1.5 per thousand inhabitants. The number of new
    cases and critical patients continues to do down, and the vaccination campaign
    is reporting good progress. Even so, Prime Minister Florin Cîţu decided to
    extend the state of alert by another 30 days starting Thursday, in order to
    keep the pandemic in check. Some of the restrictions will be lifted. As regards
    the obligation of wearing face masks in open areas or restrictions for
    vaccinated people, Florin Cîţu said he will take under advisement the experts’ recommendations.


    Some
    measures are now pointless. For instance, in mountain resorts, some of the
    restrictions, introduced two months ago for skiers, will be lifted as now they
    are pointless. We will consult with experts first and, depending on their
    recommendations, we will come with an answer. In my opinion, people who got
    vaccinated and no longer pose a risk to society should enjoy a normal life.


    In
    turn, State Secretary Raed Arafat said health safety regulations should be
    observed in the coming period as well, and announced the lifting of some
    restrictions, such as the ban on participation in religious processions and
    pilgrimages. On Thursday, people celebrating Ramadan will be able to travel
    freely at night. Sports and cultural events will be held again at half-capacity,
    with access given only to certain categories of people.


    Participation will be allowed only for vaccinated
    people or those who’ve had the disease in the last three months, or to people
    who present a negative PCR test for COVID-19, no older than 72 hours. The
    Health Ministry has also requested an antigen test taken 24 hours before the
    event, with the presentation of a certificate attesting to the negative result.


    As
    regards the hospitality sector, Secretary Arafat said a possible reopening of
    restaurants at full capacity will entail certain access protocols, and a final
    decision will be taken before June 1. Right now, restaurants are open at half
    capacity with free access to people in areas where the infection rate remains
    under 1.5 per thousand inhabitants. Parties for anniversary occasions or
    private parties in enclosed or open spaces remain banned. (V.P.)

  • Authorities extend the state of alert

    Authorities extend the state of alert

    Like
    in most European states, the COVID-19 pandemic continues its downward trend in
    Romania as well. Almost all the country’s counties are now in the green area,
    with an infection rate below 1.5 per thousand inhabitants. The number of new
    cases and critical patients continues to do down, and the vaccination campaign
    is reporting good progress. Even so, Prime Minister Florin Cîţu decided to
    extend the state of alert by another 30 days starting Thursday, in order to
    keep the pandemic in check. Some of the restrictions will be lifted. As regards
    the obligation of wearing face masks in open areas or restrictions for
    vaccinated people, Florin Cîţu said he will take under advisement the experts’ recommendations.


    Some
    measures are now pointless. For instance, in mountain resorts, some of the
    restrictions, introduced two months ago for skiers, will be lifted as now they
    are pointless. We will consult with experts first and, depending on their
    recommendations, we will come with an answer. In my opinion, people who got
    vaccinated and no longer pose a risk to society should enjoy a normal life.


    In
    turn, State Secretary Raed Arafat said health safety regulations should be
    observed in the coming period as well, and announced the lifting of some
    restrictions, such as the ban on participation in religious processions and
    pilgrimages. On Thursday, people celebrating Ramadan will be able to travel
    freely at night. Sports and cultural events will be held again at half-capacity,
    with access given only to certain categories of people.


    Participation will be allowed only for vaccinated
    people or those who’ve had the disease in the last three months, or to people
    who present a negative PCR test for COVID-19, no older than 72 hours. The
    Health Ministry has also requested an antigen test taken 24 hours before the
    event, with the presentation of a certificate attesting to the negative result.


    As
    regards the hospitality sector, Secretary Arafat said a possible reopening of
    restaurants at full capacity will entail certain access protocols, and a final
    decision will be taken before June 1. Right now, restaurants are open at half
    capacity with free access to people in areas where the infection rate remains
    under 1.5 per thousand inhabitants. Parties for anniversary occasions or
    private parties in enclosed or open spaces remain banned. (V.P.)

  • March 19, 2021 UPDATE

    March 19, 2021 UPDATE

    Covid-19RO. Some 5,600 new cases of COVID-19 were registered in Romania in 24 hours, out of 38,670 tests run nationwide, which means an infection rate of 14.46%, the Strategic Communication Group announced on Friday. Also, 143 Covid-19 related fatalities were reported during the same 24-hour interval. The number of people currently in intensive care has exceeded 1,300, a national record since the start of the pandemic. Over 887,000 people have been infected with SARS-CoV-2 in Romania since last year. Bucharest and another eight counties are in the so-called red scenario, where the incidence of the virus exceeds 3 per one thousand inhabitants. Several localities around the capital city are now under lockdown. In another move, starting December 27, 2020, over 1.6 million people have been vaccinated in Romania, mostly with Pfizer- BioNTech and Moderna, but also AstraZeneca. On Monday, the vaccination campaign entered its third stage, for the general population. For the time being, the campaign is carried out in localities where the incidence rate exceeds 4.5 per one thousand inhabitants. The rest of the population can register on waiting lists on the online platform.

    AstraZeneca. The benefits of the Covid-19 vaccine produced by AstraZeneca outweigh the risks, is the conclusion reached on Friday by WHO experts. Several European countries, including France, Germany and Spain, have announced they will resume vaccination with the AstraZeneca serum, after European pharmaceutical agencies stated the vaccine is safe and effective. On Thursday, the European Medicines Agency expressed confidence that the benefits of the vaccine outweigh the risks, following concerns after blood clots were identified in people who were given the serum. So far, over 45 million doses of AstraZeneca have been administered in the European Economic Area.

    CVM. The European Commission supports the lifting of the Cooperation and Verification Mechanism monitoring the Romanian judiciary by the end of 2021, Prime Minister Florin Cîţu said on a Facebook post. The announcement follows a meeting with European Commission vice-president, Vera Jourová. Florin Cîţu says the Government wants to eliminate and repair the amendments brought to the justice laws over 2017-2019, and shares the Commission’s desire to finalize by mid-2021 all commitments regarding the rule of law. The European Commission has mainly recommended the elimination of the Special Section Investigating Crime in Justice, the updating of the Criminal Code and Criminal Procedure Code, continuing the fight against corruption and defending freedom and pluralism of the press.

    Plan. The Government in Bucharest held a special meeting on Friday to discuss the National Recovery and Resilience Plan. Prime Minister Florin Cîţu stated after the meeting that next week, the Government will adopt by means of a memorandum the mandate for the negotiation of the program. He also stated that the NRRP, which represents Romania’s priorities, allocates major resources for road and rail infrastructure, motorways, the gas network, the building of new hospitals, and also for social measures. The document has to be submitted to the European Commission in April, for Romania to benefit from more than 30 million Euro for development until 2026, when all the projects included in the plan must be completed.

    Visit. On Friday, the Romanian Interior Minister Lucian Bode paid a visit to Italy. During the meeting with his counterpart Luciana Lamorgese, he stated that Romania was expecting the EU to recognize, by quickly adopting the Decision on the country’s joining the Schengen agreement, the essential role it played in the EU’s security architecture. We recall that Romania’s and Bulgaria’s joining the Schengen area, initially set for March 2011, has been repeatedly postponed, because of the opposition of several member countries, claiming the lack of judiciary reforms in these countries. As regards the current situation of the migration flows into the EU, Lucian Bode gave assurances that the situation on Romania’s borders is under control and permanent monitoring. In another move, Lucian Bode stressed the fact that the largest Romanian community outside Romania’s borders lives in Italy, and their presence in the peninsula is a vector of the consolidated strategic partnership that Romania has with Italy.

    Russia. Russian President Vladimir Putin has stated he is ready to hold online talks with the American President Joe Biden, Reuters reports. The White House, on the other hand, says Biden doesn’t regret calling the Kremlin leader a killer. Moreover, Moscow believes Biden’s statements are a clear sign that Washington isn’t in the least interested in fixing relations with Moscow. On Wednesday, Russia recalled its ambassador to the United States for consultations, expressing at the same time its willingness to avoid an irreversible degradation of relations with the USA.

    Vacation. Greece will open in mid-April for tourists coming from the EU, including Romanians, Charis Theocharis, Greece’s tourism minister, told a news conference in Bucharest on Friday. The Athens official is visiting Romania at the invitation of his counterpart Claudiu Năsui. Initially, Greece announced that it would open its borders to tourists starting May 14, if the evolution of the pandemic allows it. Charis Theocharis also said that entry into Greece will only be allowed to those who before the trip were either vaccinated or acquired antibodies following a coronavirus infection or will have a negative test result for a recent COVID-19 test. He pointed out that all tourists can be subjected to random tests, in the same way as last year. However, a significant difference compared to 2020 are the rapid tests, due to which the quarantine, for positive cases, will be instituted immediately, without the waiting time of 24 hours, the Greek minister said. He stated that Romania is the first country he visits after finalizing the plan to open the tourist season in Greece. Romania is one of the five largest markets for Greece, as in 2019, almost 1.4 million Romanians chose to spend their holidays in that country.

    Tennis. Romanian tennis player Jaqueline Cristian (160 WTA) was defeated on Friday by Svetlana Kuznetsova of Russia (39 WTA), in the quarterfinals of the WTA 500 tournament in St. Petersburg, with 565 thousand dollars in prize money. That is still Jaqueline Cristian’s best performance of her career. On Thursday, she had ousted Jelena Ostapenko of Latvia, a former winner at Roland Garros and seeded 6th in the competition. (MI)

  • One million people vaccinated in Romania

    One million people vaccinated in Romania

    The Covid-19 vaccination campaign started in Romania two months ago, and that has brought hope in the fight with the dreaded virus. In the first stage, the medical staff was covered, and in the second, currently unfolding, there are several categories of the population that are getting the jab: people over 65, people suffering from chronic diseases, irrespective of age, and employees in essential sectors. The company includes a third stage, for the rest of the population.

    According to the National Committee for the Coordination of Vaccination Activities against Covid-19, our country ranks among the first in the world with regard to the number of people vaccinated. On Wednesday, an 86-year-old woman was the person number one million to get the vaccine. You will see that things will go faster from now on, Prime Minister Florin Cîţu has stated, also adding that the initial target was one million by the end of March, and the next one is 10.4 million people to get the vaccine by the end of September.

    The vaccination campaign goes well, we are always among the top three in Europe and we will make sure we stay there, Florin Cîţu said. Also, in order to be able to speak of a successful immunisation campaign, we must keep observing the protective measures. I see everywhere – I’ve seen it on the street, and on the subway – people who do not wear a mask. We cannot allow that right now, we cannot relax, the prime minister also stressed.

    Doctors, too, say that the population must observe the anti-Covid-19 rules and not let their guard down. Recently, the coordinator of the national vaccination campaign, Valeriu Gheorghiţă, has stated that the new strains of the virus are more contagious, a fact confirmed by public health experts. In fact, currently, Romania is on a slightly upward trend with regard to the number of infections, and the number of people infected with SARS-CoV-2 who need hospital care is also growing. Specialists say that many cases are severe and most of the patients are young people.

    The World Health Organisation believes that the pandemic is unlikely to end this year. Currently, the organisation is focusing on keeping transmission down and having as many people vaccinated as possible. The situation with regard to vaccine supplies has improved as compared to 10 weeks ago, WHO officials say, although there have been big problems with the distribution and the number of cases is still on the rise. (M.I.)

  • The State Budget – adopted

    The State Budget – adopted

    On Tuesday, Romanias Parliament adopted the 2021 state and social security budget in the form proposed by the Government. This is the first state budget that was not altered in Parliament, with the coalition managing to reject all the amendments proposed by the opposition. Representatives of the National Liberal Party, the Save Romania Union – PLUS Alliance and the Democratic Union of Ethnic Hungarians in Romania, which make up the governing coalition, have described the 2021 budget as balanced, based on sustainability, political responsibility and economic growth.



    Prime Minister Florin Cîţu has stated that this budget marks the beginning of Romanias reconstruction, but this can be done only by reforming the administrative apparatus and through investments. Florin Cîţu:


    “Reform and investments, these are the two things that this budget is focused on. Record investments, half from European funds, and reform, mentioned so many times in the public space, but rather ignored in reality by many politicians. So, its time we did it.”



    Finance Minister Alexandru Nazare says the budget is robust, balanced and realistic. In turn, the Deputy Prime Minister Dan Barna considers that Tuesdays vote in Parliament confirms that Romania now has the most ambitious investment budget it has ever had.



    The Democratic Union of Ethnic Hungarians has drawn attention to the fact that multi-annual budgets are needed to secure economic growth and predictability for investors. Here is the Deputy PM Kelemen Hunor:


    “Weve managed to come up with a very well-structured budget, so in 2021, not only that the deficit goes down to 7.1, but we will be able to make investments in all major fields, from big infrastructure to health-care, from education to environmental protection and local development. These are investments that will change Romania in the coming years.”



    The opposition, which had filed more than 3,400 amendments, claims that the budget is based on the austerity principle. The Social Democrats have accused the governing coalition of instating a “budgetary dictatorship” and getting an absolute control over the budget, despite all constitutional provisions and democratic practices. Here is Lucian Romaşcanu, leader of the Social Democratic Senators:


    “The budget is anti-economic, anti-social, illegitimate and anti-national. It represents by no means the will of those who sent us to Parliament, and the worst thing is that, for the first time in 30 years, a budget was adopted without any amendments”.



    Representatives of the ultranationalist Alliance for the Unity of Romanians have also criticized the budget. Here is Deputy Mircea Chelaru:


    “This is the governing coalitions budget, not Romanians budget. Is an appalling budget, built on political exclusion.”



    Romanias 2021 budget was draw up on the basis of a 4.3% economic growth and a budget deficit of 7.1%, with revenues of up to 75 billion Euro and spending set at some 90 billion Euro. (M.I.)


  • The 2021 budget under debate

    The 2021 budget under debate

    Lawmakers in Bucharest want to
    adopt the 2021 budget law within less than a week. The law was submitted to
    Parliament for debate last week, in addition to other related laws, including
    an emergency decree on cutting holiday vouchers for public sector employees and
    capping pensions at the level reported last year. The context isn’t great,
    considering the pandemic has pushed Romania into an excessive deficit
    procedure, while the healthcare system continues to eat up considerable funds.
    Lawmakers also need to make sure the business sector is not affected too much.
    The Government says the budget law will allow for a multiannual approach to
    reforms and public finance, by reducing the budget deficit gradually, from
    7.16% to 3.4% in 2024. The law is focused on investment, which will get 5.5% of
    the GDP, the largest allocation so far. The law also enjoys the support of the
    European Commission, which is due to disburse a large amount of funds to
    Romania devoted to reforms and investments, Prime Minister Florin Cîțu has
    said. The Prime Minister expects results from the ministries that asked for
    larger budgets than in previous years.


    We will be using mid-term
    indicators to make an assessment of the budget execution. The same happened in
    previous years, with sectors getting large funds and failing the execute their
    budget. We will also be have a discussion at the end of the first half of the
    year, and some Ministers might leave. We agreed to increase the budget, we have
    a large number of expenses to support, but I would also like to see more
    results. I want to see reforms at the level of state-owned enterprises.


    The Social-Democrats in opposition
    have accused the Government of poor allocation of funds this year. They claim
    the funds stipulated in the law will cover just the first nine months, and that
    additional taxes will be introduced. Social-Democrat Senator Radu Oprea said
    his party intends to vote against the law in Parliament, and will advance
    amendments that will offer solutions for economic recovery and increasing
    living standards, while observing the set budget deficit target. According to
    the European Commission’s economic forecast published last week, Romania’s
    economy will recover in 2021 after shrinking by 5% in 2020. The engine for
    growth this year will be private consumption and investment, determining a 3.8%
    growth of the GDP in 2021 and a 4% growth rate in 2022. The Commission also
    expects exports to recover against the backdrop of an improvement in the performance
    of the main economic operators. (V. Palcu)

  • Draft budget under debate

    Draft budget under debate

    The draft state budget for the current year is based on a deficit of around 7% of the GDP and, according to the coalition Government, will support economic recovery and stop excessive and ungrounded spending from public money. Liberal Prime Minister Florin Cîţu promises a resettling of the economy, also by fixing what he calls the abnormalities introduced in the legislation, in the last four years, by the former Social-Democratic administrations, as well as maintaining the trust of the European Commission, foreign investors and rating agencies. He has also stated he is waiting for detailed reports on the situation of state-owned companies, including plans to restructure those that have reported losses.



    In the budgetary system, the head of the Government has also said, the expenses representing bonuses amount to around 600 million lei, the equivalent of 120 million euros. In pandemic conditions, with very high health expenditures, the amputation of these bonuses would block the haemorrhage of funds, the Government says, giving as an example the so-called computer bonus or the COVID bonus, accounting for 30% of the base salary, which is received by prefecture employees. The package of austerity measures also stipulates that childrens allowances remain unchanged, pensions will increase only from January 1, 2022, this year there will be no more holiday vouchers, and students will no longer benefit from complete free rail transport.



    From the opposition, the Social Democratic Party, which has the largest parliamentary group, has already announced that it will table amendments for all important chapters in the draft budget. The Social Democrats accuse lack of vision and solutions for the current issues. It is a budget of austerity, of cuts, it is not people-oriented and does not give good signals for the economy – the leaders of the left say.



    Beyond the disputes between politicians, austerity measures threaten to escalate tensions in society. Since the beginning of the year, the headquarters of the Executive, of ministries or parties have been picketed, practically, every day, by dissatisfied trade unionists. Nurses, police staff or prison guards, locomotive drivers or civil servants, all demand decent salaries, fair pensions, quality public services.


    The leaders of one of the biggest union federations in the country, CNS Alfa, say Romania needs a development budget, not an austerity one. Operators in the HORECA industry, already affected by the restrictive measures adopted due to the pandemic, are not at all happy with the announcement that no more holiday vouchers will be issued this year. The Employers Organization of Hotels and Restaurants in Romania talks about losses of about 7 billion euros in 2020, in an area that employs 400 thousand people, ie 7% of Romanias active workforce, and produces 5 percent of the Gross Domestic Product. (M.I.)