Radio România Internațional

Tag: Social Democratic Party

Changes on the Romanian political scene

On June 9, the Social-Democratic Party (PSD) and the National Liberal Party (PNL), the biggest political parties and coalition partners, won the European parliamentary election by a landslide, after fielding candidates on a single list. Then, in the local election, both parties fared honorably, with the Social-Democrats securing most of the town halls and county councils. Nothing foretold the electoral disaster sustained by the PSD and PNL candidates in the first round of the presidential election. The Liberal and Social-Democrat presidential candidates have tied their names to two historic failures: the leader of PNL, Nicolae Ciucă, ranked fifth with less than 9%, thus becoming the first Liberal candidate not to obtain a two-digit score, while the leader of PSD, Marcel Ciolacu, seen as favorite to win the first round, came only third, with 19%, becoming the first left-wing candidate not to advance to the presidential runoff. Both owned up to their failure and resigned from the leadership of their parties.

On December 1, in-between the two rounds of the presidential election, the parliamentary election is scheduled, and the main parties must quickly recover from the electoral shock. PSD seeks to regain the trust of Romanians in the parliamentary election and will come up with a new approach for communicating with citizens, said the vice-president of the party and the European Parliament, Victor Negrescu, appointed to deal with political communication until the parliamentary election. A strong representation of Social-Democratic values is needed in the future Parliament, Victor Negrescu said, arguing that PSD will intensify its efforts to better explain their governing program to the Romanian people. “We have good results in terms of governance and, in this respect, we will also come up with a new approach in the way we communicate with citizens, more directly, more openly, we will them what we are able and want to do in a very direct and honest approach”, Negrescu added.

The entire leadership of the Liberal Party resigned, and Ilie Bolojan was appointed interim president. Bolojan is known for his good administrative and economic results in Bihor County (northwest) and in the municipality of Oradea. Ilie Bolojan announced that PNL will support Romania’s pro-European direction and center-right policies, which is why in the second round the party will unequivocally support Elena Lasconi, the leader of the Save Romania Union. We recall that, in the presidential runoff slated for December 8, Elena Lasconi will face the surprising winner of the first round, Călin Georgescu, a figure unanimously considered toxic and dangerous due to his extremist and pro-Russian views. Over the coming period, Bolojan pointed out, the Liberals will present the public policies that PNL will support in Parliament: state efficiency and waste reduction, public policies that allow the development of local communities through decentralization and support programs addressing local officials, policies that support the rule of law, an independent justice system and policies related to equity, meritocracy and rules that generate fair behaviors at society level. (VP)

26 November 2024
The priorities of Parliament’s new session

The first day of autumn will open a new session of the Romanian
Parliament in Bucharest. The number one priority of the ruling coalition is the
law on vulnerable consumers. Already adopted by the Senate, the bill is on the
agenda of the Chamber of Deputies and will provide financial state support to
families with low income, helping them pay one energy bill. The
Social-Democrats in opposition have called for the swift debate and adoption of
the law, claiming it should take effect this cold season, not starting January
2022, as the Government has proposed.

The Social-Democrats also want a
mechanism for capping prices in the event the market reports an artificial
price hike. Coalition leaders are expected
to decide on the way they want to eliminate the Special Section for
Investigating Crime in Justice, which both Romanian and foreign experts claim
it was a useless institution, aimed at intimidating magistrates and blocking
the fight against corruption. All voices within the ruling coalition have
agreed to disband the section, although they have not yet reached a consensus
on how to do that. The Social Democrats also want to debate and swiftly adopt
the bill No more criminals in public office, a topic which for years has been
upheld by the right-wing. The Social-Democrats also plan on filing a
no-confidence motion against Florin Cîţu’s Cabinet. Most pundits say the
Social-Democrats now enjoy a very comfortable position, considering recent
polls.

The frustration and anxiety of Romanian society has become transparent
in surveys as well, as two thirds of respondents say things are not going well
in Romania. In the event of an election, 35% of respondents would vote for PSD,
while only 21% for PNL. AUR would grab the third-largest number of votes,
followed by the USR-PLUS alliance. As always, UDMR is barely meeting the
electoral threshold of 5%. The coalition is far from working smoothly, and is
yet to meet some of the promises made in the election campaign, such as
eliminating the Special Section and returning to the two-ballot system for the
local elections. Finally, this autumn both PNL, as well as the USR-PLUS
alliance, are due to host special congresses to elect a new leadership.
Traditionally, this occasions a fierce infighting, sprayed with blows below the
belt and scandals that often make headlines. (VP)

1 September 2021
A New Government in Bucharest

Following December 6th elections, Romania has a new Government, with full powers and supported by a centre-right coalition formed by the National Liberal Party, the Save Romania Union – PLUS Alliance and the Democratic Union of Ethnic Hungarians. On Wednesday, the new majority, born after tough negotiations, which entailed a harmonisation of governing programs and sharing ministerial and parliamentary posts, managed to validate the 18 ministers and to have the new Government sworn in. The new Prime Minister is Florin Cîţu, the one who, as a Minister of Finance in the former Liberal minority Cabinet, managed to avoid the budget collapse that many had been forecasting, against the economic crisis triggered by the pandemic.

Critics say, however, that Florin Cîţu burdened Romania with an excessive debt. To the new Premier, the short-term objectives of the new Government are clear, just like the country development model. Florin Cîţu:

Both myself and my team will do our best to fulfil the two objectives that I have mentioned already and with which I’m sure all political parties agree: to get as fast as we can over the health crisis and to bring the economy back on its feet. The Covid-19 crisis has highlighted the need for a new governing and economic and social development model. Against this background, the center-right coalition comes with a governing program that combines crisis exit measures with long-term development policies, aimed at building a normal Romania, which every Romanian dreams of. The new model of economic and social development is focused on investments as an engine for economic development, which would generate the biggest growth in the European Union over the 2021-2024 period.

The main actor of the parliamentary opposition will be the Social Democratic Party, winner of the parliamentary elections, but politically isolated. The Social-Democrats have harshly criticised the government’s program. Their head, Marcel Ciolacu, has announced that the Social Democratic Party will make a total opposition, a warning that targeted almost directly his Liberal counterpart, Ludovic Orban:

The Social Democratic Party will never endorse such a government. Romanians have just one ally left in the Romanian Parliament – the Social Democratic Party! We will defend their rights, we will fight you everywhere, in committees and in plenum. Mr. Orban, remember what I’m telling you here, in Romania’s Parliament: You have hoped to save yourself, but your darkest nightmare is just beginning!

President Klaus Iohannis has warned the new ministers that people are expecting now to see the promised public reforms become reality, the state restructured, and bureaucracy curbed. In office since 2014 and in his second term, the president is offered, for the first time, the chance of a partnership with a government supported by a stable majority, built around the National Liberal Party, the party he comes from. (M. Ignatescu)

24 December 2020
A New Government in Bucharest

Following December 6th elections, Romania has a new Government, with full powers and supported by a centre-right coalition formed by the National Liberal Party, the Save Romania Union – PLUS Alliance and the Democratic Union of Ethnic Hungarians. On Wednesday, the new majority, born after tough negotiations, which entailed a harmonisation of governing programs and sharing ministerial and parliamentary posts, managed to validate the 18 ministers and to have the new Government sworn in. The new Prime Minister is Florin Cîţu, the one who, as a Minister of Finance in the former Liberal minority Cabinet, managed to avoid the budget collapse that many had been forecasting, against the economic crisis triggered by the pandemic.

Critics say, however, that Florin Cîţu burdened Romania with an excessive debt. To the new Premier, the short-term objectives of the new Government are clear, just like the country development model. Florin Cîţu:

Both myself and my team will do our best to fulfil the two objectives that I have mentioned already and with which I’m sure all political parties agree: to get as fast as we can over the health crisis and to bring the economy back on its feet. The Covid-19 crisis has highlighted the need for a new governing and economic and social development model. Against this background, the center-right coalition comes with a governing program that combines crisis exit measures with long-term development policies, aimed at building a normal Romania, which every Romanian dreams of. The new model of economic and social development is focused on investments as an engine for economic development, which would generate the biggest growth in the European Union over the 2021-2024 period.

The main actor of the parliamentary opposition will be the Social Democratic Party, winner of the parliamentary elections, but politically isolated. The Social-Democrats have harshly criticised the government’s program. Their head, Marcel Ciolacu, has announced that the Social Democratic Party will make a total opposition, a warning that targeted almost directly his Liberal counterpart, Ludovic Orban:

The Social Democratic Party will never endorse such a government. Romanians have just one ally left in the Romanian Parliament – the Social Democratic Party! We will defend their rights, we will fight you everywhere, in committees and in plenum. Mr. Orban, remember what I’m telling you here, in Romania’s Parliament: You have hoped to save yourself, but your darkest nightmare is just beginning!

President Klaus Iohannis has warned the new ministers that people are expecting now to see the promised public reforms become reality, the state restructured, and bureaucracy curbed. In office since 2014 and in his second term, the president is offered, for the first time, the chance of a partnership with a government supported by a stable majority, built around the National Liberal Party, the party he comes from. (M. Ignatescu)

24 December 2020
Parties build their lists for Parliament

2020 is a very difficult year for Romania, with two scheduled
elections, one already postponed due to the coronavirus pandemic. Originally
slated for June, the local election was held at the end of September. The
National Liberal Party, which won the highest number of seats in county and
local councils, is racing against the Social-Democratic Party, which holds
majority in Parliament, for winning the legislative election scheduled for
December 6. Both parties are striving to strengthen their ranks with credible
candidates who would boost their election score. Constantly accused of favoring
the access of high-ranking party officials to key positions, the
Social-Democrats have recently enrolled two leading doctors, Alexandru Rafila,
the country’s representative at the World Health Organization, and Adrian
Streinu-Cercel, the director of the Matei Balş Institute for Infectious
Disease. The former features extensively on TV news, invited to better explain
the pandemic to the masses. The latter was himself a favorite of media outlets,
until news came out of a visionary, if not utopic, reform of the health system,
one that would help combat the pandemic and which he spearheaded. Even so,
Streinu-Cercel still enjoys the respect of his peers.

Social-Democrat president
Marcel Ciolacu says the new list of candidates include people of integrity,
professionals widely known in their fields of activity. Romania, Ciolacu
argues, is undergoing the most severe health and economic crisis in history,
and a competent and responsible Government should work with specialists to take
Romania through this deadlock. Unfortunately, this is not the case, and the
country is on the brink of disaster, Marcel Ciolacu went on to say. According
to the Social-Democrat leader, the Social-Democratic Party must build a strong
team for Parliament, one that should implement the governing program, solve the
health crisis and boost the economy and people’s living standards.

The Liberals
were quick to respond. Prime Minister Ludovic Orban believes Rafila and
Streinu-Cercel will be criticized by the public for their decision to run for
Parliament on behalf of the Social-Democratic Party, and that any opinion the
two would voice regarding the pandemic is no longer trustworthy. The Liberal
leader finds it hard to understand how the two doctors chose the Social-Democratic
Party, which he claims has been systematically undermining the efforts of the
authorities and specialists in the last months to limit the spread of the
pandemic. On the other hand, the National Liberal Party has also enrolled the
current Defense Minister, Nicolae Ciucă, the former chief of general staff in
the Romanian army. Meanwhile, the Save Romania Union – PLUS Alliance surprised
everyone with internal quarrels over available places on the lists for
Parliament. Some voices within the Alliance are disgruntled with the fact that
the Alliance has not nominated the people who are in the first line of battle
with traditional parties. In turn, the People’s Movement Party are staking
their odds on credibility and professionalism, by putting former Foreign and Justice
Minister Cristian Diaconescu on the top position on their lists for the Senate.

(Translated by V. Palcu)

19 October 2020
September 26 – October 2 , 2020

Local elections in the time of pandemic

46% of the Romanians with the right to vote went to the polls
last Sunday to elect their local authorities. Although lower than at the previous
such election, the turnout was good in the complicated context created by the
pandemic, which imposed unprecedented health safety measures on election
Sunday. The vote has already brought about changes and heralds a tough
confrontation at the parliamentary elections due in December. For the first
time, the governing Liberals won the political vote, practically doubling its
number of county council presidents and winning the majority of town halls. Moreover,
the National Liberal Party broke the monopoly of the Social Democrats in counties
that had been loyal to them for 2 or 3 decades. However, the Social Democratic
Party, with the largest number of members in parliament, is still the political
party that holds most mayoralties and the first place with regard to the number
of county council presidents. The great loss for the party is the one recorded
in Bucharest, which it had totally controlled for four years. The independent
Nicusor Dan, supported by the National Liberal Party and the Save Romania -
PLUS Alliance will be the mayor of the capital, replacing Gabriela Firea.

The candidates of the center-right alliance created ad-hoc in
Bucharest also won in three of the 6 sectors of the capital. At the Municipal
Council, the Social Democratic Party is on the first position, but the Save
Romania – PLUS Alliance obtained scores that will allow them to decide together
the administration of a city rich in resources, but poor in vision and
projects. Through the second place obtained at the political vote on Bucharest
and the winning of some important municipalities like Timişoara and Braşov, in
which they dethroned liberal mayors, the Save Romania – PLUS Alliance confirms
its status as an alternative political force. The victory of a German in
Timişoara and a French woman in sector 1, the richest in Bucharest, is the proof
that the Alliance comes with something new in Romanian politics. Unperturbed by
the pandemic, the electoral process is overshadowed by scandals and cross-fire accusations
of fraud between the Social Democratic Party and the Save Romania – PLUS Alliance, especially regarding the number
of votes obtained in Bucharest and sector 1 in particular.

Daily records of new coronavirus infections

This week, Romania has for the first time exceeded the threshold
of 2000 daily infections. Specialists had anticipated that this would be the
case, especially after the opening of schools. The number of daily infections
is increasing throughout Europe and there is talk of the imminence of a second
wave of the pandemic. In Romania, more than 130,000 cases of infection have
been reported, and the number of dead is approaching 5,000. Some 500 patients
are constantly in intensive care, but only one third are intubated and need
ventilation, said the Minister of Health, Nelu Tataru. At national level, the
incidence of COVID-19 cases is close to one in one thousand inhabitants, but
the differences are big from one area to another. That is why the
reintroduction of restrictions or even quarantine must be established according
to the local situation of the coronavirus epidemic, and not at the level of the
entire county, said Prime Minister Ludovic Orban. He also called on the
authorities responsible for daily inspections to ensure compliance with health
protection measures. The Ministers of the Interior, Transport, Labor and Health
are called upon to draw up a plan containing clear actions for the
implementation of these measures

The EC Report on the rule of law and Bucharest’s response

The health crisis caused by the pandemic has consumed almost all
the energy of the political actors in Bucharest. Thus, the commitment to put back
on track the judiciary, severely affected by the controversial changes to the
laws of justice and criminal and criminal procedure codes during the last
left-wing government, seemed forgotten. In its latest report on the rule of law
in Romania, the European Commission states that the laws of justice, the
functioning of the National Audiovisual Council, access to public information
and the excess of emergency ordinances are the main problems. The document
emphasizes that in 2020, the Government reaffirmed its commitment to correct
through judicial reforms the measures with negative impact adopted in the
period 2017-2019, which led to the alleviation of tensions in the judiciary.

According
to the evaluation, the controversial measures with a negative impact on judicial
independence continue to apply, such as the functioning of the Section for the
Investigation of Crimes in the Judiciary, which deals exclusively with
prosecuting crimes committed by judges and prosecutors. Further implementation
of these measures increases uncertainty with regard to the functioning of the justice
system, especially through the effects they have together, the European
Commission warns. On the day the report was published in Brussels, in
Bucharest, the Ministry of Justice launched a public debate on the proposals to
amend the justice laws. They aim at strengthening the role of the Superior
Council of Magistracy in organizing and conducting competitions and examinations
through the National Institute of Magistracy and professionalizing the process
of selecting magistrates by eliminating any means of entering the judiciary
without competition. Also, the line ministry decided the elimination of the
early retirement scheme for magistrates, the strengthening of the principle of prosecutor
impendence in the judiciary and the dismantling of the Section for the
Investigation of Crimes in the Judiciary.

Less
optimistic economic forecasts

The European Bank for
Reconstruction and Development has revised downwards its forecasts regarding
Romania’s economic evolution in 2020 and 2021, as a result of the crisis
triggered by the pandemic. According to the latest forecasts, Romania’s economy
would record a 5% drop this year, as to the 4% estimated in May. For 2021, EBRD
expects a 3% expansion of Romania’s GDP, against a 4% growth forecast in
spring. Therefore, after a robust growth of 4.1% in 2019, Romania is facing
recession in 2020. According to the European Bank for Reconstruction and Development,
the key transmission channels are lower consumption and declining exports. (M. Ignatescu)

3 October 2020
No-confidence vote against the Liberal Government

233 votes in favor are needed for the no-confidence motion filed against the
Liberal Government to pass. The Social-Democrats in opposition, who were
removed from power at the end of last year, claim they have the necessary votes
to topple the Government, whom they accuse of losing control over the
epidemiological developments in Romania, destroying the economy, which resulted
in a collapse of the population’s living standards. The Social-Democratic Party
says it has devised a realistic governing program. With details on that, here
is Social-Democrat vice-president, Sorin Grindeanu:

The
Social-Democratic Party’s top three priorities are healthcare, education and
the economy. We virtually elaborated this program in response to four
fundamental issues: the professional management of the health crisis, opening
schools safely, re-launching the economy and increasing Romanians’ income.

The Liberals in
turn accuse the Social-Democrats of acting irresponsibly, trying to use the
health crisis to serve their interests in the upcoming election. The Liberals
have referred the vote to the Constitutional Court, saying they are expecting
until September 1 a ruling on an alleged legal conflict between the Government
and Parliament. Meanwhile, both sides are making their own calculations, and
negotiations have so far been fierce. Prime Minister Ludovic Orban:

As you well
know, negotiations are not public. You have to wait for the result. I wouldn’t
call it a no-confidence motion per se, I would call it an attempt from the
Social-Democrats to poison Romania once again.

After quickly
rallying the support of the PRO Romania Party and the Alliance of Liberals and
Democrats, the Social-Democratic Party hopes the vote will improve their
position in the polls ahead of the local election due on September 27, as well
as for the legislative election later this year, some pundits have argued. The
Social-Democrats have lost nearly half of the election score obtained in the
legislative election of 2016. Toppling the Orban Cabinet does not mean the
Social-Democrats will come to power, says President Klaus Iohannis, who has
made it clear on numerous occasions he would not appoint a Social-Democratic
Prime Minister, even if the party would make up a ruling coalition. A potential
interim mandate ensured by the Liberals would however limit their governing possibilities,
as the Cabinet would no longer have the power to issue emergency decrees, an
instrument which the Liberals have used frequently in the absence of a majority
in Parliament. The other parties in opposition, the Save Romania Union and the
People’s Movement Party, announced they would vote against the
Social-Democrats’ motion. The Democratic Union of Ethnic Hungarians has not yet
made public its voting intentions.

(Translated by
V. Palcu)

31 August 2020
No-confidence motion read in parliament

Its a year of local and legislative elections in Romania, and the crisis triggered by the pandemic has opened a wide front, a field conducive to political battles. Just a few days before the congress to elect its leadership, the Social Democratic Party (PSD), the most important parliamentary party, filed a motion of no-confidence against the Liberal minority cabinet led by Ludovic Orban. The document was read in parliament on Thursday.

The Social Democrats criticize the National Liberal Party for how it has managed the health crisis caused by the new coronavirus and claim that not enough medical equipment was purchased to fight the epidemic. They say the Liberals have got things out of control, they have destroyed the economy and the consequence would be a decline in the standards of living. Even worse, the executive is corrupt, say the Social Democrats, invoking a report by the Court of Accounts and an investigation into public procurement conducted by the National Anticorruption Directorate, to support the accusation. In the document presented in parliament by Senator Lucian Romascanu, the Orban Cabinet is blamed for the lack of concrete economic measures and the loans that have been made over this period of time.

Here is Lucian Romascanu: “In only nine months of governing, the public finance minister has borrowed over 105 billion lei, four times more than the Social Democratic government. At a rate of 1,000 Euros per second, the share of government debt exploded to 40% of the GDP in May 2020.”

Prime Minister Ludovic Orban has denied the allegations and called his political opponents irresponsible:

” Its a big lie, from head to toe, and the idea of filing a motion of no-confidence in the current context shows irresponsibility, a total defiance of the fundamental interest that Romania has today. How can one leave the country without a government, when we are fighting the pandemic, when we are fighting the economic crisis and we have to implement an economic recovery plan, and to prepare the start of the new school year?”

For the motion to pass, it needs the votes of parliamentarians other than the Social Democrats. The Social Democratic Party has the promise of a pro-motion vote from Pro Romania. The Democratic Union of Ethnic Hungarians has not made a decision yet. The Save Romania Union and the Peoples Movement Party seem to be supporting the government at the moment. The submission of a motion of no-confidence during an extraordinary parliament session is a first in the more than three decades of post-communist parliamentarism. That is why the National Liberal Party sees it as running counter to the fundamental law and calls on the Constitutional Court to take a stand on this matter. According to the Social Democratic Party, the approach of the National Liberal Party has no grounds and shows nothing but despair. (M. Ignatescu)

21 August 2020
Project to support the economy

Beyond the round-the-clock fight to save the lives of
the gravely sick, another major concern in these difficult times at global
level is to find solutions to keep the economy moving forward. Governments worldwide
have taken pre-emptive measures to support the population facing financial difficulties,
as well as various sectors of the economy, some of them already shaken by the
pandemic. The head of the Prime Minister’s Office, Ionel Danca, has announced
new assistance packages. Therefore self-employed persons as well as family or
individual businesses that have suspended their activity will benefit from a set
allowance tantamount to the minimum wage, irrespective of contributions paid to
the unemployment scheme. Ionel Danca also promised the Government would
introduce new regulations for all types of enterprises and professional
activities: large enterprises, cultural or sporting activities, NGOs affected
by the state of emergency.

In turn, Finance Minister Florin Citu said a
solution would be presented shortly to the clients of banks facing
difficulties, adding that talks are already ongoing with the National Bank and
the banking sector. The Social-Democratic Party, the Alliance of Liberals and
Democrats and the Pro Romania Party have submitted a bill providing for tax
benefits. Among other things, the bill proposes a postponement of social
security contributions for salary incomes and for social-security payments for
a period of three months, starting March. The measure can be requested by each
economic operator individually. Employers, on the other hand, must safeguard
all employment contracts for a minimum period of 9 months.

The Social-Democrats
want the Government to suspend the refund of bank installments to the
population, a measure already implemented in other European states. The
Social-Democratic Party says the Government employs half-measures and
incoherent policies, which is why they are considering the possibility of
calling a no-confidence vote. The motion will not be targeted against the
Government per se, but rather will contain a set of concrete economic measures.
According to a previous Constitutional Court ruling, once voted, the provisions
of any simple motion become compulsory and must be enacted by the Government.
In turn, the Democratic Union of Ethnic Hungarians wants to immediately suspend
fiscal obligations for enterprises that do not fire employees, while the Save
Romania Union says the financial measures announced so far by the Government
are important, but are not enough.

(Translated by V. Palcu)

24 March 2020
The Liberal Government faces censure motion

The extraordinary plenary sitting
of the Romanian Parliament kicked off abruptly with a read-out of the text of
the censure motion filed by the Social-Democratic Party and the Democratic
Union of Ethnic Hungarians in Romania against the Liberal Government led by
Ludovic Orban. The Social-Democrats have accused the Government for taking
responsibility over the law modifying the election law, in the sense that the
local elections due this summer will be held in two rounds. Motion signatories
say the Government must be urgently removed, because modifying the election law
ahead of an election is breaching Constitutional Court rulings and goes against
the recommendations of European bodies. The reasons behind the Liberals’ move
are purely political and disregard citizens’ rights, signatories also say. In
turn, the Liberals claim the modified election law ensures a better
representation of elected officials and guarantees their legitimacy. Even if it
occurs in an election year, the return to the two-round election system will
improve election legislation, therefore it would not infringe on European
recommendations in the field. To pass, the motion needs 233 votes in favor.
Social-Democrat interim president Marcel Ciolacu seems confident, saying the
Social-Democrats will nominate a Prime Minister from outside the party ranks.

I am confident we have the
necessary votes. We also had a thorough conversation with my colleagues from
across the country and it seems we will be nominating a Prime Minister from
outside the party. I will never vote any Liberal Government and as long as I am
interim leader I will recommend against voting Orban as Prime Minister.

Prime Minister Ludovic Orban
however believes the motion will fail.

MPs from the National Liberal
Party will be attending the sitting and voting openly against the censure
motion. I have entrusted the leaders of parliamentary parties with the task of
negotiating with our partner groups and MPs individually, to persuade them of
the benefits of the two-round voting system and hence to make them vote against
the motion.

Whereas at first the motion was
seen as a symbolic gesture, as the Social-Democrats were believed not to go all
the way towards snap elections, the perception has now changed. The risk that
the snap elections should follow the removal of the Orban Cabinet is still high,
but the Social-Democrats have done the math and want to preserve their regional
influence, which has won them so many elections. For that, they must do
everything in their power to block the two-round voting system, in a year when
the election score is close and local and legislative elections can go either
way.

(Translated by V. Palcu)

4 February 2020
Decisions on infrastructure

Over 30 years since the
anticommunist revolution and nearly 13 years since Romania joined the EU, not a
single motorway is crossing the Carpathians. At the end of 2019 Romania had
only 850 kilometers of motorway, of which 100 were built by dictator Nicolae
Ceasescu. A few motorway segments built at great cost are linking our country
to our neighbors, rather than allowing the people to get faster to Bucharest or
easing their trips to the seacoast. Some of the obstacles included politicians’
indifference, bureaucracy but also the selection of builders, who only seek
financial gain. According to statistics, Liberals and Social-Democrats have had
equal shares in governing the country after the 1989 revolution, either by
themselves or part of ruling coalitions. Neither side can however take any
credit in building motorways. Instead they blame each other, in repeated
arguments meant to boost their election scores. Since 2016, when it entered the
opposition, the National Liberal Party has harshly criticized the
Social-Democrats, accusing their incompetence. Last year the former left-wing
Government started negotiations to sign public-private partnerships for the
building of two motorways. In one case a conglomerate from China and Turkey had
been selected, while in the other case companies from the two states, with
major works in their home countries, although not in the European Union, had
made bids. After taking power last year, the Liberals have promised another
approach, a better one, they say. Accordingly, on Tuesday the Liberal
Government decided to cancel the public-private partnerships. Prime Minister
Ludovic Orban explained:

Our goal is simple: cancel all
ongoing procedures and transfer these projects to the relevant ministries. For instance
the Transport Ministry will take over all transport infrastructure projects,
whereas line ministries taking over other projects should present their implementation
plans within a week at the most, so we will know clearly each procedural step
we have to take, the planning of each stage in the project and the funds we
have to earmark for these projects.

The Social-Democrats are now
accusing the Liberals of backtracking the country by proposing feasibility studies
instead of kicking off construction works for the two motorways. The director
of the Pro Infrastructura Association, Ionut Ciurea, has recently estimated
that considering only 43 kilometers of motorway were built in 2019, Romania
could have another 57 kilometers of motorway this year.

(Translated by V. Palcu)

29 January 2020
Fiscal measures at the start of 2020

On January 1 the laws on the state budget and social security budget for 2020, originally
adopted on December 23 by the Government by taking responsibility in Parliament
and subsequently ratified by President Klaus Iohannis, were published in the
Official Gazette. The Social-Democrat speakers of the Senate and Chamber of
Deputies have challenged the Government’s choice of method when adopting the
two laws at the Constitutional Court. Magistrates are expecting the opinions
from the Government and Parliament regarding a potential legal conflict in this
matter.

Interim Social-Democrat leader Marcel Ciolacu recently said that Liberal
Prime Minister Ludovic Orban should resign if Court judges decide that the
Government generated such a conflict. In turn, Prime Minister Orban said the Constitution
has no provision preventing the Government from taking responsibility over the
budget law, whereas invoking a constitutional conflict is just a subterfuge of
the Social-Democrats. The budget was built on a 4.1% growth rate, an inflation
rate of 3.1% and on an average exchange rate of 4.75 lei for a Euro. Convened
in its first session in 2020, the Government passed an emergency decree
modifying some of the provisions of the emergency decree 114, which in 2018
introduced additional taxes for companies in the energy, telecommunications and
banking sectors.

The new decree allows for the implementation of certain
measures included in the budget law for 2020. The new measures stipulate a cap
on the allowances of high-ranking officials at the level of December, 2019, a
one-year postponement of the law on special pensions for elected officials, a 30-euro
cap for 1 point of fine for road traffic offences, and a ban on the temporary
transfer of employees from the private to the public sector. Additional
measures were adopted compelling private pension funds to supplement their
capital and increase their administration fees. The 2% tax will be slashed for
companies in the energy sector, in addition to taxes on banking assets.
Although the Government was also planning to proscribe the accumulation of state-paid
salaries and pensions, it finally decided to wait for the Constitutional Court
to express its opinion in this matter. Finally, the Government gave assurances
that the holiday vouchers for public sector employees will be distributed in
2020 as well.

(Translated by V. Palcu)

7 January 2020
2020, an election year

The European Parliament election of
May 2019 confirmed the Social-Democratic Party had been losing ground, at the
time the National Liberal Party winning most of the vote. Under the heavy
burden of their own mistakes, the Social-Democrats dropped from 45%, a figure
they reported at the legislative election of 2016, to under 23%. The day
following this failure, the Social-Democrats also lost their leader, Liviu
Dragnea, sentenced to prison for corruption and deemed the man responsible for
the party’s sidetracking. His replacement, Viorica Dancila, a Prime Minister
since January 2018, will go down in the dark history of the Social-Democratic
Party as the candidate who won the fewest votes in a presidential runoff. In
November, the acting president Klaus Iohannis secured a new term in office, winning
66% of the vote.

Previously, the Liberal Party had grabbed another victory,
namely removing the Dancila Cabinet from power and taking office. Thus
Iohannis’s winning the election marked the return of the Liberals in power.
Still, the Social-Democrats still hold a relative majority in Parliament, which
forced Ludovic Orban’s Cabinet to take responsibility for a number of laws,
including the state budget for 2020. The Liberals however will find it
increasingly difficult to rule in the absence of a solid majority, which can
only be obtained in an election. It is something that 2020 will decide. Now,
more than ever, there is talk about early elections, which would favor the
Liberals more than the Social-Democrats. In such a case the Liberals would get
a fresh start at the end of a year in office, while the Social-Democrats would
have little time to close ranks after the repeated blows they were dealt last
year. Early elections entail a complicated and difficult process,
constitutionally speaking. This is why no one fathoms such a scenario to
eventually come through, says political pundit Alexandru Lazarescu.

It’s hard to believe we will get
to that point. Of course, right now the National Liberal Party would get a
better score as compared to the end of the year, when legislative elections are
due, but it’s complicated. So I believe the discussion is meant to keep the
topic in the limelight, while it doesn’t seem reasonable to think this will
actually happen.

In mid-2020 Romania will also see
local elections, which will hold an important stake as well. Mayors are
currently elected in one round of elections, which raises serious questions
about their representation. Large parties, the Social-Democratic Party first
and foremost, but also the National Liberal Party, are favored by the current
system, whereas smaller parties, Save Romania Union in particular, want to
change the current legislation to increase their odds. The Liberals said they
want the same thing, though many suspect they wouldn’t be too bothered if the
legislation stayed the same, which would certainly help them win the election
in large cities currently under their political control. The biggest prize is,
as always, Bucharest. Once a traditional fiefdom of the right-wing, the capital
city is now under the full control of the Social-Democrats.

(Translated by V. Palcu)

6 January 2020
Motion against the Finance Minister

Romanian Senators on Monday passed
a simple motion filed by the Social-Democrats against Liberal Finance Minister
Florin Citu. The National Liberal Party, the Save Romania Union, the Democratic
Union of Ethnic Hungarians as well as unaffiliated Senators voted against, while
Social-Democratic Senators voted in favor. The initiators of the motion accuse
Citu of making hazardous declarations at the start of his mandate, causing a
spike in the exchange rate, which in turn entailed higher interest rates and
price hikes for Romanians. Florin Citu claims the motion filed by the
Social-Democratic Party is purely political and that he would step down only if
the Liberal Party demands it. Citu says the former Finance Minister Eugen
Teodorovici knew at the start of 2019 that the budget deficit would increase to
4% without taking additional measures.

The motion is not about me, it is
a political undertaking that tries to conceal the dire political problems of
Romania. Its initiators obviously want me to keep quit regarding the disastrous
situation I found at the Finance Ministry. To them and to all the
Social-Democrats I say the following: the National Liberal Party promised it would tell Romanians the truths at any cost. Enough is enough! Things cannot
continue this way. The time you could steal without being held accountable
stops here.

In turn, Liberal Senator Alina
Gorghiu says the Social-Democrats have no real reasons to launch criticism at
Florin Citu. Social-Democrat Senator Stefan Oprea has told Florin Citu he is
promoting measures that would take the budget deficit to figures he was
estimating while he was in opposition.

The figures you were prophesizing,
at times in a very hysterical manner, when you spoke about the
Social-Democratic governance, must come true today, and you need to make sure
the 4.4% deficit is real, by any means possible. It matters little that budget
revenues have been at a standstill for the past two months, or that public
spending has skyrocketed during your term. All that matters is that your 4.4%
deficit estimate should stand.

Interim Social-Democratic leader
Marcel Ciolacu believes the National Liberal Party did not understand
Parliament’s vote of no-confidence against Florin Citu. After the motion was
passed, Ludovic Orban said he would not replace Florin Citu, arguing the
Social-Democratic Party is not entitled to criticize and ask for resignations
after the disastrous budget it left behind. Under the Romanian Constitution,
the passing of a simple motion does not necessarily entail the dismissal of the
minister in question.

(Translated by V. Palcu)

10 December 2019
The compensatory appeal law has been repealed

Having taken effect two years ago,
the compensatory appeal law was repealed on Wednesday in Parliament by
unanimous vote. Originally designed by Justice Minister Raluca Pruna, the law
was passed in 2017 by the Social-Democratic ruling power. It was meant to do
away with the harsh sanctions Romania was handed down by the European Court of
Human Rights for its improper detention facilities. According to the National
Penitentiary Administration, some 23 thousand felons were released from prison
under the new law, of which 19,000 on probation. 2,300 reoffended and were sent
back to prison, some of them having committed criminal offences shortly after
their release, others because they were being investigated in other criminal
cases at the time of their release. The National Liberal Party in power, in
this matter supported by Save Romania Union, admits the law was originally
designed to deal with the precarious situation in penitentiaries, but claims it
was twisted by the Social-Democrats to serve as an amnesty in disguise. Liberal
MP Ioan Cupsa:

The law 169 of 2017 denoted an
obvious lack of wisdom and goodwill, unlike anything this Parliament has seen.
You knew the effects it would have, but you needed some of your colleagues to
be released earlier from prison, so you let everyone go.

The Social-Democrats defend
themselves, arguing everyone who got an early prison release under the
compensatory appeal law was released by court order. Alfred Simonis, the leader
of the Social-Democratic group in the Chamber of Deputies, who voted in favor
of the repeal, has admitted to the flaws in the former law, saying citizen
safety prevails over any sanctions Romania might receive from the European
Court of Human Rights for its improper detention facilities.

We hope that the new Government
will find alternative means of detention, as well as measures to avoid ECHR
sanctions. We all agree it’s better to pay compensations, if it comes to that,
rather than release people from penitentiaries.

On the very day the law was
repealed, the Finance Ministry published a draft law whereby the state has
loaned 177 million euros from the Council of Europe Development Bank. The money
will be used to build two penitentiaries that will be able to detain 1,900
offenders in line with European standards.

(Translated by V. Palcu)

5 December 2019