Radio România Internațional

Tag: state

  • Budget for 2025, promulgated

    Budget for 2025, promulgated

     

    The outgoing president Klaus Iohannis signed the decrees promulgating the 2025 state budget and social security budget laws. The two bills had been quickly endorsed last week in the joint plenary meeting of the Romanian parliament. MPs in the opposition—AUR, Save Romania Union, SOS Romania and the Young People’s Party—submitted thousands of amendments, but these were dismissed one by one by the vote of the ruling coalition, comprising the Social Democratic Party, the National Liberal Party and the Democratic Union of Ethnic Hungarians in Romania.

     

    The opposition claimed that many amendments were rushed away without careful consideration. The budgets of ministries, on the other hand, were adopted as received from the reporting committees, and one of the few amendments to pass concerned an increase in the funding of the health ministry. Another amendment scrapped the approx. EUR 140,000 originally earmarked to the Constitutional Court of Romania for covering medical prescription claims for employees and retired judges.

     

    The draft budget for 2025 was passed by the government on February 1 and is based on a 2.5% economic growth rate and a budget deficit of 7% of GDP. The 2025 budget will enable the country’s development process to continue, PM Marcel Ciolacu said. He emphasised that higher amounts have been earmarked for the health ministry, for motorways and railways, as well as for education, and he dismissed the idea of ​​an austerity budget.

     

    In turn, the finance minister Tanczos Barna described the state budget for 2025 as “modest” and based on a prudent increase in revenues, “without exaggeration.” He claimed that there is “enough money for salaries, pensions and social benefits”.

     

    The budget was criticised not only by the opposition, but also by employers and trade unions, while Fiscal Council experts said that revenues were overestimated.

     

    The 2025 budget was finalised after late last week an IMF delegation completed its talks in Bucharest with the main institutions responsible for Romania’s monetary and fiscal policies. It was not an assessment mission, but only a fact-finding one, and PM Marcel Ciolacu assured the IMF of the government’s determination to comply with the budget deficit target of 7% of the GDP and to implement the reforms undertaken in the National Recovery and Resilience Plan.

     

    The IMF made public its latest forecasts regarding the Romanian economy last autumn, when it estimated a 7% deficit for the end of 2025, the same as predicted by the Government. The IMF estimates are, however, more optimistic both in terms of the economic growth rate (3.3%, compared to only 2.5% forecast by Bucharest) and inflation (3.6%, below the 4.4% target set by the government). (AMP)

  • December 16, 2023 UPDATE

    December 16, 2023 UPDATE

    BUDGET The 2024 state budget and social security budget bills will be reviewed by Parliament’s specialist committees as of Monday. On Tuesday the draft laws will be discussed in a joint plenary
    meeting, with a final vote expected on Wednesday. The budget is based on a 3.4%
    economic growth rate, with investments amounting to 7% of GDP and the largest
    appropriations in history for public education. PM Marcel Ciolacu dismissed
    claims that the figures are over-optimistic, and voiced his confidence that budget
    revenues would be raised from 27% to 30% of GDP. Under the bill, as of June 1
    whole-economy minimum wages will be around EUR 745. Ciolacu also said he was
    counting on better EU fund absorption, on improved tax collection and on
    curbing tax evasion.


    EU President Klaus Iohannis says the EU winter summit, which came to an
    end in Brussels on Friday, will be remembered for the historic decision to
    initiate accession negotiations with Ukraine and the Republic of Moldova. The
    Romanian official encouraged the government of Moldova to step up the reforms
    required for EU integration. As for Ukraine, the president of the European
    Commission,Ursula von der Leyen, says
    the decision was a promise kept and an investment in stability and security. EU
    leaders also discussed the Israel-Hamas war, and condemned the continuing
    hostilities with growing numbers of victims among Palestinian civilians in Gaza
    and the West Bank. They argued that peace will only be achieved through a
    two-state solution. A revision of the 2021-2027 Multi-Annual Financial
    Framework, support for Ukraine, security and defence, migration and the future
    EU Strategic Agenda were also discussed at the European Council meeting on
    Thursday and Friday in Brussels.


    COMMEMORATION In Timişoara (west) events were organised to mark 34 years
    since the start of the 1989 Revolution which eventually led to the fall of
    dictator Nicolae Ceauşescu’s communist regime. The rally in support of the
    Reformed pastor László Tőkés, who was under political police (Securitate)
    surveillance, turned into an uprising against the communist dictatorship. In
    this context, the Revolution Memorial was opened to the public in Timişoara on
    Saturday. The organisers prepared a complex programme, providing information on
    the events of 1989. The commemoration also includes exhibitions, concerts, a
    special meeting of the Local Council, and a commemorative march. In this
    context, the Senate Speaker Nicolae Ciucă said in a message that the sacrifice
    and courage of Timişoara’s heroes were the foundation of today’s free and
    democratic Romania.


    UNEMPLOYMENT Around 63% of the Romanians aged 15 to 64 had a job in
    July-September, according to the National Statistics Institute. The
    unemployment rate was 5%, but among youth aged 15 to 24 the rate reaches 22%. The
    economic analyst Constantin Rudniţchi says the INS data is not very different
    from previous reports and that the Romanian labour market is below its
    potential. As for unemployment, he believes the overall trend is to look for
    and to create jobs. Rudniţchi believes the most urgent issue to be the one
    million Romanians who are outside the social and employment system, i.e. who
    are neither in school nor employed.


    AGREEMENT Romania, Turkey and Bulgaria intend to sign an agreement on
    January 11, 2024, concerning a joint plan to remove mines floating in the Black
    Sea as a result of the war in Ukraine, the Turkish defence minister Yasar Guler
    said, according to Reuters. Officials from the 3 NATO member states met with
    the authorities of Georgia, Poland and Ukraine in April 2022 to discuss the
    issue, and also discussed the plan in a NATO meeting in Brussels in October and
    in Ankara, last month. Yasar Guler explained that the initiative will only
    include Turkey, Romania and Bulgaria for the time being, and the signing
    ceremony will take place in Istanbul.


    FAIR A special Christmas fair was opened at the Săvârşin Castle of
    Romania’s late King Michael I. The organiser, Her Majesty Margareta, Custodian of
    the Crown of Romania, said the event was intended to promote and preserve the
    authenticity of Christmas traditions. It is something spiritual, and we often
    forget that Christmas has grown a little too commercial. So we are glad to have
    valuable people here, she said. On the estate in Arad County, western Romania,
    a Royal Automobile Museum, a souvenir shop, the auto repair shop of King
    Michael I and a Tea House are also opened to the public. During the event, carol
    performances and handicraft exhibitions are also organised for the visitors. (AMP)

  • December 14, 2023

    December 14, 2023

    BUDGET Romania’s draft 2024 budget is to be endorsed by the
    Cabinet in a meeting today. The document will subsequently be submitted for
    review in Parliament. The budget is based on a 3.4% economic growth rate, a
    budget deficit target of 5% of GDP and an estimated annual inflation rate of 6% of GDP. The
    draft law also includes the already announced salary and pension increases, as
    well as most of the measures in the Government’s new legislative package. The
    ministries that will receive more money than in 2023 are the education,
    development, environment and family ministries, while lower appropriations
    would be received by the energy ministry and the ministry for investments and
    EU projects.


    SUMMIT The president of
    Romania, Klaus Iohannis, takes part on Thursday and Friday in the European
    Council meeting in Brussels, where important and complex topics will be
    approached, according to the Romanian Presidency. These include the EU
    enlargement, a revision of the 2021-2027 Multi-Annual Financial Framework,
    support for Russia-invaded Ukraine, the situation in the Middle East, security and
    defence, migration and the Union’s future Strategic Agenda. As far as the
    Multi-Annual Financial Framework for 2021-2027 is concerned, president Iohannis will plead
    for an approach that promotes financial balance between the already existing
    commitments and the new priorities on the EU agenda, and does not involve a cut
    in the funding of the Common Agricultural Policy and the Cohesion Policy, the
    Presidency says. As for the situation in the Middle East, Mr. Iohannis will
    insist on the need for increased involvement of the EU in the region, in view of protecting
    civilians, de-escalating the conflict and resuming the two-state peace process.


    UKRAINE The reconstruction of Ukraine and Romania’s strategic role
    in this process is the topic of an international conference held in the
    Romanian mountain resort of Sinaia. Taking part are Romanian and foreign
    officials, independent experts, business people, academia and diplomats. The
    head of the Romanian government, Marcel Ciolacu, and the Ukrainian prime
    minister Denys Shmyhal, sent a video message to the participants, highlighting
    the Romanian-Ukrainian partnership and Romania’s support for Ukraine.


    FUNDING On Friday, December 15, Romania will submit its 3rd
    payment request under the National Recovery and Resilience Plan, the PM Marcel
    Ciolacu said at a meeting of the inter-ministry coordination committee for this
    programme. The funding under the Plan amounts to EUR 2.7 bln and covers 74
    targets and benchmarks for the second half of the year 2022.


    ISRAEL The
    Romanian foreign ministry this morning announced the death of another person
    with Romanian and Israeli citizenship taken hostage in Gaza by the Islamist
    group Hamas. Tal Haimi was kidnapped on October 7, and his death had
    already been announced by the Israeli Embassy in Romania. According to a
    Facebook post by the Israeli diplomatic office, Tal Haimi’s wife had come to
    Bucharest in late October to request Romania’s assistance in the efforts to get
    the Hamas hostages freed. On December 2, the foreign ministry said the Israeli
    authorities announced the death of a person with dual, Romanian and Israeli
    citizenship, captive in Gaza. Two other people with Romanian and Israeli
    citizenship are currently held hostage by Hamas, and Romania’s foreign ministry
    reiterates the need for all hostages to be released. The Romanian Embassy in
    Tel Aviv stays in touch with the Israeli authorities, the foreign ministry also
    said.


    ALERT Alert
    messages were sent to the citizens in the counties of Galaţi and Tulcea, near Romania’s Ukrainian border, on Wednesday night. People
    were warned against objects falling from the airspace, were urged not to panic
    and take shelter if necessary. These were the first RO-ALERT messages sent to
    the population in nearly 3 months, in the context of the war in Ukraine. This
    year the defence ministry identified parts of 3 drones used by Russia in
    strikes on Ukrainian Danube ports, which had fallen in Tulcea County. (AMP)

  • Government pushes on with tax and budget measures

    Government pushes on with tax and budget measures

    The
    bill that the Government of Romania is seeking to push through Parliament is
    intended to increase the effectiveness of the fight against tax evasion, to
    curb the squandering of public funds and to ensure tax equity by scrapping
    exemptions and privileges.




    Under
    the new legislation, all employees will pay public healthcare contributions,
    including the staff in constructions and agriculture, who benefited from
    exemptions so far, while IT personnel with salaries above EUR 2,000 a month
    will now have to pay income taxes as well.




    On
    the other hand, public sector staff with salaries above EUR 1,600 will no
    longer receive holiday vouchers and meal allowances. A special tax is
    introduced for owners of houses worth over EUR 500,000, unless they have taken
    out bank loans to pay for them. Large companies and banks will pay a 1% tax on
    turnover.




    As
    for the VAT, there are no substantial changes. According to PM Marcel Ciolacu, the
    9% rate for foodstuffs and medicines and the 5% rate for power, firewood,
    natural gas and books will stay in place.




    The
    PM dismisses claims that these are austerity measures. But, he says, Romania
    can no longer afford to grant privileges and facilities amounting to EUR 15
    bln, nor can it allow tax evasion to account for 15% of its GDP (i.e. EUR 30 bln
    a year). Marcel Ciolacu mentioned that minimum wages will be raised by 10%,
    while in the constructions sector the raise will reach 12.5%.




    The
    PM argues that this set of measures will implement the most ambitious reform of
    the public sector in post-communist Romania. The Opposition, however,
    criticises the draft law and says it must be stopped by all constitutional
    means available.




    According
    to procedure, one such option is a no-confidence vote, which would lead to
    dismissing the Cabinet if the Opposition wins. But this is only possible in
    theory, given that the actual parliamentary make-up favours the Social
    Democratic Party and the National Liberal Party, the current ruling coalition. Another
    option is to challenge the bill before the Constitutional Court.




    But
    the most dangerous scenario would be for the new measures to be invalidated by
    economic reality. The Economic and Social Council, an independent body, has
    already passed a negative opinion on the legislation, stating that the measures
    to cut public expenditure are unconvincing and will have a negative impact on
    the economy. In the past, covering the budget deficit by increasing the tax
    burden on the business sector ended up having the opposite effect, and very
    likely revenues to the state budget would decrease instead of going up, the
    Council warns. (AMP)

  • Tax measures under review

    Tax measures under review


    New fiscal measures are set to take effect on October 1 in Romania, after they were posted for public review by the finance ministry, following months of negotiations. The authorities are hoping to narrow the budget deficit and to avoid losing billions of Euro in EU funding.



    One such measure is a 1% tax on turnover for small and medium-sized enterprises with annual revenues of up to EUR 60,000, and a 3% tax if their revenues go above this threshold. Banks and large companies with turnover in excess of EUR 50 mln are to pay a minimum tax of 1%.



    In the IT industry, the income tax exemption valid so far will only remain in place for employees making up to EUR 2,000 a month, while contributions to public health insurance funds are reintroduced for workers in agriculture, the food industry and constructions.



    Holiday vouchers will be worth more, but they will only be received by public sector employees with net incomes below EUR 1,600, and a ceiling will be introduced for the bonus paid for dangerous or harmful working conditions.



    In turn, the VAT for housing and photovoltaic panels will be raised from 5 to 9%, and foodstuffs with high sugar content will carry a standard 19% VAT rate. The 5% VAT remains in place for firewood, thermal power, books and access to tourist sites and cultural events.



    In the case of houses worth over EUR 500,000 and vehicles over EUR 75,000, a 0.3% tax will be levied on the difference between those ceilings and the asset value.



    The government also plans to cut at least 25% of the state secretary positions, to scrap vacant posts and restrict executive positions in public institutions and in companies running on public capital.



    The bill outlining these measures is first to be passed in Cabinet, and then the ruling coalition made up of the Social Democratic Party and the National Liberal Party will take responsibility for it before Parliament. Within 3 days after the document is presented to Parliament, a no-confidence motion may be tabled, and if endorsed, it leads to the Cabinet stepping down.



    The Opposition argues that the proposed measures will have a negative impact on the economy, on entrepreneurs and the liberal professions, which is why Save Romania Union announced it was already discussing with other parliamentary parties the options for a no-confidence motion.



    In theory, such a motion stands no chances to pass, but in practice nothing is impossible. And since in 2024 Romania will hold local, parliamentary, presidential and EU elections, the stakes are huge and a failure, either for the government, or for the Opposition, is equally dangerous. (AMP)


  • December 9, 2022

    December 9, 2022

    SCHENGEN Romania’s and Bulgaria’s bid to join the Schengen
    free-movement area may be included on the agenda of the European Council
    meeting next week, at the request of the president of Romania, Klaus Iohannis,
    political sources in Bucharest said. I am convinced we will reach the
    accession of Romania and Bulgaria during this mandate and this will be my
    priority, Ylva Johansson, the European Commissioner for Home Affairs, said in
    her turn. The statement comes after on Thursday at the EU Justice and Home
    Affairs Council meeting, Austria opposed Romania’s entry.


    AMBASSADOR The
    Romanian foreign ministry announced that following Austria’s veto regarding
    Romania’s Schengen accession, the country’s ambassador to Vienna, Emil
    Hurezeanu, was recalled for consultations by minister Bogdan Aurescu. The
    embassy will be headed by an interim charge d’affairs. According to diplomatic procedure,
    the decision is an indication of Romania’s firm disagreement with Austria’s
    position and also of the deterioration of current relations with that country.


    BUDGET The draft state budget
    and social security budget of Romania were passed by the government and have
    been forwarded to Parliament for discussion. The ministries set to receive more
    funding include the defence, agriculture, transport, development and education.
    Less money than this year will be earmarked for energy, judiciary and public
    healthcare. The two bills also stipulate a 10% increase in public sector
    salaries, a 12.5% increase in pension point value and an increase of the
    national minimum wage to approx. EUR 610 per month. AUR party in opposition
    already announced it would table amendments because it disagreed with the draft
    budget.


    WORKERS Another 100,000 non-EU citizens will be given access to the
    Romanian labour market next year. The figure decided by the government is
    similar to the one approved for 2022, and it is intended to cover the labour
    deficit in sectors like constructions, hospitality, protection and guard
    services, road transport and trade.


    INVESTMENTS Net investments in the Romanian economy in the 3rd
    quarter of the year reached EUR 8 bln, up 13.3% compared to the corresponding
    quarter of last year, according to unaudited data made public by the National
    Statistics Institute today. For the first 9 months of the year, the figure is
    around EUR 19 bln, up 4.5% since 2021. Major increases were reported in
    constructions and heavy industry. According to the National Statistics
    Institute, net investments are expenditure incurred with creating new fixed
    assets or with developing, upgrading and rebuilding existing ones, and with the
    transfer of ownership on existing fixed assets.


    GAUDEAMUS The 29th edition of the Gaudeamus Book Fair organised by Radio
    Romania is under way in Bucharest until Sunday. The event brings together 200
    participants and a variety of editorial products on different formats, for all
    ages and areas of interest, including music and educational games. The line-up
    features 600 different events and related projects. As a first, the fair also
    has special areas dedicated to interactive activities for young visitors. All
    stands are also available online on the gaudeamus.ro website. The fair’s
    honorary president this year is poet Ana Blandiana.


    FOOTBALL The FIFA 2022 World Cup in Qatar has reached the
    quarter-final stage. Two matches are scheduled for today, pitting Croatia
    against Brazil and the Netherlands against Argentina. On Saturday, Morocco
    takes on Portugal and England is facing France. (AMP)

  • December 7, 2022

    December 7, 2022

    BUDGET
    The finance ministry has made public the draft state budget of Romania for next
    year. The document is based on an estimated GDP growth of 2.8%, an 8% inflation
    rate, a growing number of employees and a declining 2.7% unemployment rate. The
    ministries set to receive less money include the energy, justice and public
    healthcare, whereas the defence, development, transport and education
    ministries will receive substantially higher budget appropriations. The ruling
    coalition made up of the Social Democrats, and Liberals and the Democratic
    Union of Ethnic Hungarians in Romania intends to endorse the draft budget tomorrow
    and send it to Parliament the next day, for discussion next week.


    SECURITY Romania has constantly worked to
    identify solutions to enhance security at the Black Sea, the Romanian foreign
    minister Bogdan Aurescu said in Ankara on Tuesday, when he had
    a meeting with his Turkish counterpart, Mervlut Cavusoglu. The two officials
    discussed the best avenues for cooperation, both at bilateral level and within
    the NATO framework. They finalised and agreed on the text of the political
    declaration setting up the Romania – Turkey High Level Strategic Cooperation
    Council, organised as a regular meeting of the two countries’ governments and
    focusing on strategic areas of mutual interest, which will be launched in 2023.
    Another topic approached in the meeting was cooperation in the energy sector,
    recognised by both officials as a priority, particularly in light of the recent
    challenges. An agreement was reached to strengthen joint efforts to ensure the
    security of Romania’s energy supplies by transiting Turkish territory. Also,
    the multidimensional effects of the war in Ukraine have been analysed, with
    special attention paid to the refugee crisis and food security.


    JUSTICE The Romanian justice minister Cătălin Predoiu will
    take part in the meetings of the Justice and Home Affair Council and General
    Affairs Council of the European Union, between December 7th and 14th.
    According to a JHA Council news release, on the sidelines of the two meetings the
    justice minister will also have meetings in Brussels and Luxembourg with
    counterparts from other member countries and EU officials. At the JHA Council
    Mr. Predoiu will present Romania’s position with respect to the EU judicial
    instruments and policies in the judiciary currently on the Council’s agenda. The
    home affairs section of the Council is scheduled to make a decision regarding
    the accession of Romania, Bulgaria and Croatia to the Schengen area.

    ECONOMY The GDP of the European Union saw a 0.4% growth and
    that of the Euro-zone a 0.3% increase in the 3rd quarter of this
    year compared to the previous quarter, with the most substantial growth rates
    reported for Ireland, Cyprus, Malta and Romania, according to data released on
    Wednesday by Eurostat. The economic growth rate in Ireland was 2.3%, and in
    Cyprus, Malta and Romania 1.3%. The most substantial decline is reported for Estonia
    (negative 1.8%), Latvia (negative 1.7%) and Slovenia (negative 1.4%). Among EU
    member countries, the most significant annual growth rate is reported for
    Ireland (10.6%), Croatia (5.5%), Cyprus (5.4%), Malta (5.2%), Portugal (4.9%) and
    Romania (4.7%), the only negative rates being reported for Estonia (negative 2.3%)
    and Latvia (negative 0.4%).

    OIL Global oil
    prices dropped to the lowest level this year, in spite of the estimates of some
    international experts that expected the EU and G7 ban on Russian crude and the
    cap on crude prices to trigger market turbulence. In Romania, the lowest petrol
    price is EUR 1.3, and diesel is sold for EUR 1.54. On the other hand,
    neighbouring Hungary is facing a fuel crisis caused, according to AFP, by the
    price cap introduced by Viktor Orbán’s government a year ago. The fuel shortage
    comes in the context of a 30% decrease in imports as foreign companies cut down
    their sales to Hungary as a result of the price cap, the country’s association
    of independent petrol stations said.


    GAUDEAMUS The 29th
    edition of the ‘Gaudeamus’ Book Fair, organised by Radio Romania, kicked off in
    Bucharest today. Until Sunday, 200 participants will be exhibiting releases in
    various formats, addressing all age brackets and fields of interests, as well as music and educational games. 600 events have been announced in addition to
    various related projects. As a novelty, 2 areas have been arranged within the
    Fair, for interactive activities targeting the youngest visitors. Pavilions are
    also available online on gaudeamus.ro. The honorary president of this year’s
    edition is the writer Ana Blandiana.


    FOOTBALL In the FIFA
    World Cup in Qatar on Tuesday, in the round of 16, Portugal smashed Switzerland
    6-1, while Morocco scored a surprising win against Spain 3-0 on penalties. In the
    quarter-finals on Friday, the Netherlands will be up against Argentina, and
    Croatia takes on Brazil, while on Saturday England will be facing defending
    champions France and Morocco will take on Portugal. The semis are scheduled for
    December 13 and 14, and the final on December 18. (AMP)

  • August 6, 2022 UPDATE

    August 6, 2022 UPDATE

    INFLATION
    The National Bank of Romania Friday raised the monetary policy interest rate
    for the 6th time this year, in an effort to keep inflation in check.
    The key interest went up 0.75%, to 5,5% per year, and takes effect on Monday. The
    central bank also decided to raise the interest rates for loans and for
    deposits. Keeping a firm control on cash flows in the monetary market and
    maintaining the current levels of minimum compulsory reserves for banks’
    domestic and foreign currency liabilities are also decisions made on Friday by
    the National Bank. Experts expect a steady annual inflation rate in Q3 and a
    gradual decrease later on. In June the inflation rate reached 15.1%.


    DIASPORA
    The Romanians in the diaspora who plan to return and invest in a business that
    creates at least 2 new jobs may obtain funding of up to EUR 40,000 under the 3rd
    edition of the Start-Up Nation programme, the Romanian tourism ministry
    announced. Applicants whose start-ups create only one job may receive up to EUR
    20,000. To benefit from the EUR 4 million programme, applicants must submit
    proof of their residence abroad.


    BUDGET
    A state budget adjustment is scheduled for next week in Romania, according to
    PM Nicolae Ciucă. Among other things, expenses with supplies and services will
    be cut by 10% for each ministry. An analysis will also be conducted to ensure
    the coherence of the forthcoming budget adjustment and of the funding programmes
    for Romania.


    ECONOMY
    East-Europeans started to feel the effects of the war in Ukraine later than the
    major Western economies, due to 2-digit salary increases and generous
    subsidies. Now however, they have to reduce their expenses in order to make
    ends meet, reads a Reuters analysis, according to which the 2-digit inflation,
    the over 15% rise in foodstuff prices and the growing energy costs are affecting
    the spending power of people in Eastern Europe. In Poland, people are
    shortening their holidays, Czechs are saving by eating out less and looking for
    a second job, while in Hungary people are buying less food and a lot fewer
    durable goods. According to analysts, the risk of 2-digit inflation extending
    into 2023, as well as the new revised estimates regarding the Eurozone point to
    a risk of recession.


    NATURAL
    GAS An EU-wide 15% reduction of natural gas consumption will come into force
    early next week, the Czech presidency of the EU Council announced. The
    regulation was adopted officially, and the text will be published in the
    Official Journal on Monday and will take effect the next day. The president of
    the European Commission, Ursula von der Leyen, called on member states to
    prepare for the worst-case scenario of Russia suspending gas supplies. Member
    states must also secure 80% of their winter needs ahead of time.


    COVID-19 Over 6,400 new COVID-19 cases were confirmed on Saturday in
    Romania. More than 3,800 patients are hospitalised, nearly 260 of whom in ICUs,
    and 28 Covid-related deaths were reported.Since
    the start of the pandemic, nearly 66,200 people have died of COVID-19 in
    România.


    UNTOLD Cluj Napoca, north-western Romania, is hosting the most eagerly
    awaited music festival this summer, Untold. The event takes place on several
    stages, with over 200 Romanian and foreign artists, as well as the world’s best
    DJs, performing until Sunday night. This year’s theme of the festival is Temple
    of Luna, an artistic concept that highlights the mythological side of
    Transylvania, seen as a land of the night and magic. Scores of stands sell
    food, drinks, clothing and gadgets. The organisers expect over 400,000 people
    to attend this year’s edition.

  • December 21, 2021

    December 21, 2021

    COMMEMORATION The
    heroes of the anti-communist uprising of December 1989 are commemorated in
    Bucharest today. Religious services and military ceremonies are held at the
    Revolution Heroes Cemetery and at the dedicated monuments downtown. Similar
    events are scheduled on Wednesday at the Romanian Revolution Heroes Monument,
    at the Radio Hall and the Romanian Television Corporation. Originating in Timișoara
    (west), on 16th December, the uprising spread across the country,
    culminating with dictator Nicolae Ceauşescu fleeing the capital city on 22nd
    December amid the protests of hundreds of thousands of Romanians. Captured by
    the Army, Ceauşescu and his wife Elena were subject to a summary trial and
    executed in the southern town of Târgovişte. Romania was the only country behind the
    Iron Curtain where the change of regime was accompanied by bloodshed. Over 1,000
    people were killed and some 3,000 wounded.


    BUDGET The draft 2022 state budget and social security budget laws
    will be discussed and voted on in Parliament on Thursday. MPs have until this
    afternoon to table amendments. Also today, the budgets of the main public
    institutions are discussed in Parliament’s specialised committees. The
    government passed the bills on Monday and promised they are based on
    predictability and stability. The budget is based on an estimated
    economic growth rate of 4.6% and a GDP of some 260 billion euro, a predicted
    inflation rate of 6.5% and gross average salaries of 1,200 euros per month, with
    the budget deficit expected to stay within the limits agreed on with the
    European Commission under the excessive deficit procedure, namely 5.84% of GDP.
    The public pension fund will receive 7.32% of GDP. The Liberal
    president Florin Cîţu criticised the fact that only 6.7% of GDP was earmarked
    for investments, instead of 7% as agreed within the ruling coalition. The
    Social Democratic leader Marcel Ciolacu argued however that the budget
    execution is more important than the exact breakdown of expenditure. The leader
    of USR party in opposition, Dacian Cioloş, says the draft budget relies on
    over-estimated revenues and said although public education is a priority for
    President Iohannis, not enough funding has been earmarked for the sector.


    TALKS The PM of Romania Nicolae Ciucă continues his first visit
    to Brussels since taking over the office less than a month ago. After last
    night’s working dinner with the president of the European Council, Charles
    Michel, Nicolae Ciucă has meetings scheduled today with the head of the
    European Commission Ursula Von Der Leyen, and with the NATO secretary general,
    Jens Stoltenberg. Radio Romania’s correspondent in Brussels says Romania’s
    Schengen accession is a priority in the prime minister’s talks with EU
    officials. European security, with a focus on tensions in Romania’s
    neighbouring areas and at Ukraine’s eastern border, will be tackled in the
    meeting with the NATO secretary general.



    COVID-19 Traffic is hindered in downtown Bucharest today, as protesters
    encouraged by the nationalist opposition party AUR are picketing the Parliament
    Palace, disgruntled with the authorities’ plan to make the digital COVID
    certificate a requirement at the workplace. Measures to prevent a potential new
    pandemic wave were discussed by the health minister Alexandru Rafila with
    business community representatives, and the idea of a law making access to jobs
    conditional on the digital COVID certificate was put forth. According to the
    health ministry, the measure could be taken in case the number of COVID-19
    infections goes up 1.5 times for 3 consecutive weeks. Today the
    authorities announced 826 new COVID infections in 24 hours, and 88 related
    fatalities, 22 of them from a previous date. Since the start of the pandemic, some 1.8 million COVID-19
    cases have been reported in Romania and over 58,000 COVID patients died. Romania
    has the second-lowest vaccination rate in the EU, after Bulgaria. (tr. A.M. Popescu)

  • Romanian-American consultations in Washington

    Romanian-American consultations in Washington

    Romania and the US reconfirmed on Monday in Washington
    their commitment to consolidating the Strategic Partnership, covering areas
    from military and security cooperation to political cooperation, economy,
    energy and grassroots relations.


    The US Secretary of State Antony Blinken emphasised,
    during the meeting with the Romanian diplomacy chief Bogdan Aurescu, that Romania
    is a stalwart
    NATO Ally and the 2 countries work
    closely together on many topics. We stand united in the face of the challenges
    posed by Russia in various places, by China. We stand united as regards Europe’s
    security and stability, the US Secretary of State also pointed out. According to
    a press release by the US State Department, the 2 officials agreed
    to collaborate on Black Sea security issues, among others.


    In turn, Bogdan Aurescu told Radio Romania that all
    the dimensions of the Strategic Partnership were discussed during the bilateral
    talks:


    Bogdan Aurescu: We discussed first of all our
    cooperation within NATO, the need to consolidate defence and deterrence on the
    Eastern Flank, especially at the Black Sea, in the context of the latest
    security developments in the region, and we also discussed the importance of an
    enhanced military presence of the US in the region and obviously in Romania.


    The Romanian foreign minister also pointed out the
    importance of developing some major strategic interconnection projects,
    Rail2Sea and Via Carpathia. These projects will have a direct positive impact both
    on the region’s economic development, and on military mobility. As regards
    bilateral economic cooperation, Bogdan Aurescu stressed the need for increasing
    American investments in the region.


    He also reiterated Romania’s interest in concrete
    progress with respect to Romania’s inclusion in the Visa Waiver programme, so
    as to scrap visa requirements for the Romanians traveling to the US. He called
    for the involvement of the American side in meeting this goal, among others by
    supporting an adequate communication campaign to help lower the visa refusal
    rate, which is the last criterion yet to be met by Romania.


    Bogdan Aurescu: Obviously, at present we are dealing
    with a refusal rate standing at 10.14%, as against the 3% ceiling stipulated by
    the American legislation. This is why we need common goals, so as to find out
    precisely the reasons that lead to this visa refusal rate and to be able to
    calibrate a public information campaign.


    The Romanian foreign minister’s visit to Washington
    marks, among other things, the official opening of the 7th Strategic
    Dialogue exchange. (tr. A.M. Popescu)

  • State of alert extended once again

    State of alert extended once again

    The government of Romania decided to extend the state of alert in the country by another 30 days, beginning on Tuesday, April 13, to contain and mitigate the COVID-19 pandemic.



    In other words, all the measures already known to Romanians remain in place, from mandatory face covering both outdoors and indoors to physical distancing. Indoor restaurants, theatre and cinema halls are also closed.



    A night curfew is in place between 10 pm and 5 am. In places with infection rates above 4 per thousand, the curfew begins at 8pm at the weekend, and shops close at 6pm. These measures apply throughout the week in places where the infection rate is above 7.5 per thousand. Gyms are also closed if the Covid infection rate is over 4 per thousand, to be opened when the figure drops below 3.5.



    The only concessions made by the authorities have to do with the religious holidays celebrated these days. After Catholic Christians were able to enjoy an almost normal Easter holiday and Jews in Romania were able to attend the Passover ceremonies, Orthodox Christians will also be able to travel without restrictions on Resurrection night, celebrated on 1 May, unlike last year when church attendance was prohibited. Muslim believers were not overlooked either, with the government allowing them to move freely on the night of 8 May when they celebrate the Ramadan.



    On the other hand, traditionally 1 May is the start of the holiday season in Romanias Black Sea resorts. Given that for the past year the hospitality industry has suffered severely because of the Covid-19 containment measures, this year the government decided that seaside resorts may open, at a maximum 70% of their accommodation capacity and in full observance of relevant regulations, just as it is the case at present with mountain resorts.



    The interior minister Lucian Bode has recently travelled to Constanța, the biggest Romanian city on the Black Sea coast, to warn police and gendarmes that their mission during the Easter and 1 May weekend will be particularly difficult, as lots of tourists will be coming to the seaside. Health is paramount, the minister cautioned, so the police must do everything in their power to ensure restrictions are observed. (tr. A.M. Popescu)

  • March 13, 2021

    March 13, 2021

    COVID-19 On Saturday
    the Strategic Communication Group reported nearly 5,000 new COVID-19 cases in Romania,
    with 79 new deaths and over 1,200 patients in intensive care. The total number
    of infections so far is over 855,000, with the death toll standing at over
    21,400. As of March 14, Romania extends the state of alert by another 30 days,
    amid growing numbers of COVID-19 cases. All
    restrictions valid so far will be maintained, and a night curfew will be in
    place between 10 pm and 5 am, one hour longer than at present. Accommodation
    facilities in mountain resorts will only be allowed to receive guests at 70% of
    their capacity. Meanwhile, the vaccine rollout continues, with nearly 1.4
    million people immunised since late December, most of them with the Pfizer
    vaccine. Romania has
    temporarily suspended the use of an AstraZeneca vaccine batch, but continues to
    use doses from other batches. The decision came after several European
    countries reported severe side effects and even deaths among people who have
    received doses from the respective batch.




    PANDEMIC The World Health Organisation said there are no reasons not to use the AstraZeneca COVID-19 vaccine, after several European countries announced they had suspended it as a precaution, according to WHO spokesperson Margaret Harris. The European Commission calls on states to follow the advice of the European Medicines Agency (EMA), which says that so far nothing points to higher blood clot risks in people having received the AstraZeneca shots. Meanwhile, the “digital green passport project to be presented in Brussels on Wednesday will only take into account the COVID-19 vaccines authorised by the EMA, a senior EU official said on Friday. Four vaccines are authorised for use in the EU at this point–Pfizer/BioNTech, Moderna, AstraZeneca/Oxford and Johnson & Johnson. The Chinese vaccine Sinopharm, used in Hungary even by PM Viktor Orban, is not included, and neither is Russias Sputnik V, ordered by Hungary, the Czech Republic and Slovakia and under EMA assessment since March 4. Around the world, according to worldometers, over 119 million people have so far caught the virus. Some 95 million people recovered and more than 2.6 million died.




    ENERGY The Romanian energy minister Virgil Popescu announced he will be in Brussels on Monday and Tuesday, to discuss the restructuring of the Oltenia Power Compound. In December, the Romanian government notified the European Commission of the restructuring plan for the power production unit, which included state aid. On February 5, the EC announced launching an in-depth investigation into the state aid measure. The Oltenia Power Compound needs the Commissions approval by the end of April, if it is to receive state aid enabling it to pay the CO2 emission certificates for last year.




    FRIGATE The Romanian frigate ‘Regina Maria’ Saturday joined the Standing NATO Maritime Group Two (SNMG-2), operating in the Black Sea. The frigate, with a crew of 238, will carry out NATO monitoring missions along with 5 other vessels from Bulgaria, Greece, Spain and Turkey, as part of SNMG-2, subordinated to the Allied Maritime Command (MARCOM).




    DRUGS Romanian prosecutors with the Directorate Investigating Organised Crime and Terrorism and police officers with the Organised Crime Brigade seized over 1 kilo of cocaine and nearly 4,000 Ecstasy pills in Brasov, as part of a high-risk drug trafficking investigation. Eight people were apprehended, and for 6 of them the court has issued 30-day arrest warrants.




    HANDBALL The best Romanian womens handball teams, SCM Râmnicu Vâlcea and CSM Bucharest, are playing today against each other in the second leg of the Champions League eighth-finals. In the first leg, the Bucharest side won 33 – 24, although playing away from home. The European handball federation has decided that all teams in the 2 groups should move on into the eighth-finals, as a result of many matches being postponed over the Covid-19 pandemic. (tr. A.M. Popescu)

  • 1-7 March, 2021

    1-7 March, 2021


    Parliament endorses state budget for 2021


    After fiery debates, with allegations and retorts flung back and forth between Power and Opposition, the state budget and social security budget bills for this year were endorsed by Parliament as drafted by the government. The MPs dismissed the thousands of amendments tabled by the Social Democrats and AUR party in opposition, which in turn accused the Government of discriminating in favour of the agencies run by their own people and of failing to implement previous legislation increasing pensions and child allowances.



    This is a novelty, PM Florin Cîţu said in turn, arguing that the dismissal of all of the Oppositions amendments was among other things a test of the unity of the ruling coalition. According to the PM, the budget focuses on investments, economic recovery, and the restructuring of public institutions.



    High-profile cases on trial


    The former Minister for Development, Elena Udrea, and the daughter of Romanias ex-president Traian Băsescu, Ioana Băsescu, were sentenced this week to 8 and 5 years behind bars, respectively, for money laundering and inciting bribe-taking. They had been indicted in a case that looked into the funding of the election campaign of the former president back in 2009. The ruling is not final.



    Another case tried this week concerned the anti-governmental protests of August 10, 2018. Under a final ruling, the Bucharest Court dismissed prosecutors request to reopen the criminal case against the heads of gendarme forces, accused of a disproportionately brutal response to the rally. Shortly after the court decision was made public, the closing of the “August 10 case turned into a dispute between magistrates and some politicians, discontent with the ruling. President Klaus Iohannis himself urged the Justice Minister Stelian Ion to provide explanations for this course of events. “Things cannot end here, the head of state argued.



    The Higher Council of Magistrates declined taking a public stand on the issue, as the justice minister had requested, but instructed the Judicial Inspection Corps to check all public statements concerning the investigation, in order to safeguard the independence, impartiality and professional reputation of judges and prosecutors.



    In a first stage, last June, the Directorate Investing Organised Crime and Terrorism (DIICOT) had closed the case on the August 10 protest, including the investigation against the gendarme chiefs, and the allegations of attempted coup. Later on, the former head of DIICOT ordered the reopening of criminal investigations into the gendarme chiefs.



    Romanian Police in action


    Over the past few days, the work of Romanian Police officers has once again come under scrutiny, after previous inefficient interventions and less-than-honourable conduct. Two workers redecorating a flat in the town of Onești, Bacău County (east), were murdered on Monday by the former owner of the apartment, angry for being evicted a few years before. The police opened fire in order to get into the flat where the man was keeping the 2 hostages, after negotiations between the perpetrator and the officers failed. The Interior Ministry promised a comprehensive report on the case, amid suspicions of police breach of duty. The chiefs of the county and local police forces were replaced, and the Prosecutors Office was requested to probe into suspected negligence.



    Also this week, workers from a police unit in Bucharest were detained under the charge of having tortured 2 young men last year who had reprimanded them for not wearing face masks and for issuing illegal fines.



    Not least, investigations are under way with respect to a search conducted by Transport Police on Wednesday near Bucharest at a different address than the one stipulated in the warrant. The police went to the wrong address and threatened to kill the innocent landlady and her daughter.



    Covid-19


    The third wave of the Covid-19 pandemic is gaining strength in Romania, where the number of infections in 24 hours is on the rise. The vaccine rollout pace on the other hand is also increasing. The number of people having received at least one dose of the vaccine has gone over 1 million this week.

    Romanian film wins Golden Bear

    Bad Luck Banging or Loony Porn, the most recent film of Romanian director Radu Jude, has won the Golden Bear at the 71st edition of Berlin International Film Festival – Berlinale, held in an online format. The film looks into the relations between the individual and society when the leaked sex video of a school teacher goes viral on the Internet, turning her life upside down. It is an elaborated film as well as a wild one, clever and childish, geometrical and vibrant, imprecise in the best way. It attacks the spectator, evokes disagreement, but leaves no one with a safety distance, the jury said about Jude’s film. The win comes six years after the director won the Silver Bear for his film Aferim!.(tr. A.M. Popescu)

  • February 20, 2021 UPDATE

    February 20, 2021 UPDATE

    BUDGET The government of Romania passed the state budget and social security budget bills for this year, and the fiscal-budgetary strategy for 2021-2023. The budget is based on a 7.16% of GDP deficit target, a 2.4% annual inflation rate and on roughly 680-euro net average salaries. The Liberal PM Florin Cîţu said the budget pushes for the restructuring of state-owned companies this year, and voiced hopes that Parliament will endorse the bills as soon as possible. He also mentioned that the amendments to be tabled by MPs should not exceed the targeted budget deficit and must make clear where the funds would come from. The Supreme Defence Council approved the draft budgets of public institutions in the national defence and security field.



    VACCINE The national COVID-19 vaccination programme continues in Romania. According to the Vaccination Coordination Committee, more than 1.3 million doses have been used on close to 800,000 people since the start of the programme on December 27. Most people received the Pfizer vaccine, and some others doses produced by Moderna. As of this week, the AstraZeneca vaccine is also available in Romania. Meanwhile, over 2,700 new SARS-CoV-2 cases were reported in the country in the past 24 hours, the Strategic Communication Group said on Saturday. Of a total of at least 7,000 COVID-19 patients currently hospitalised, some 960 are in intensive care. The total number of cases reported so far in Romania is nearly 777,000, 90% of whom have recovered. The death toll stands at nearly 19,800.



    ROMA The president of Romania Klaus Iohannis emphasised on Saturday, in a special message on Roma Emancipation Day, the importance of eliminating prejudice and discrimination, which he said are “much too common in respect of Roma access to education. He mentioned that the emancipation of Roma slaves 165 years ago, had a major role in the evolution of the profile and values of Romanian society in mid-19th Century, paving the way for the country to embrace European modernity. The head of state also said that for the Roma, the hundreds of years of slavery left “deep and hard to heal scars. He explained that the 1856 emancipation was a major challenge for the Romanian society as a whole. The president also called for discouraging and punishing hate speech and all racist, anti-Semitic, chauvinistic behaviours.



    PROTESTS Pupils and students protested in Bucharest on Saturday the scrapping of full subsidies for railway transport. They say these austerity measures hit the most vulnerable, and the right-of-centre government sacrifices students mobility for political purposes. Also on Saturday, nearly 80 workers in Lupeni mine, in Romanias coal-rich Jiu Valley region, carried on their week-long protests over delays in wage payments. On Friday, after meetings in Bucharest with PM Florin Cîţu and with Energy and Finance Ministry officials, the miners were promised their salaries will be paid next week. Meanwhile, the protest led to the shut-down of the Mintia thermal power plant, which runs on coal. Some 5,000 households are now left without heating, and 11 schools in Deva will resort to online teaching as of Monday, because children cannot study in unheated classrooms.



    PANDEMIC The EU is stepping up procurement of coronavirus vaccines, after large-scale criticism for the slow start of the vaccine rollout. The EC president Ursula von der Leyen said she wanted the agreements signed with vaccine producers to give the EU access to serums tailored to fight the new variants. She added the EU antifraud agency is helping member states to identify counterfeits sold in the black market. According to worldometers updates, over 111 million people have caught the virus and at least 86 million have recovered. The global death toll stands at over 2.4 million.



    TENNIS The Romanian Simona Halep goes down to 3rd place in the WTA standings on Monday, and will be replaced by Japans Naomi Osaka, who won the Australian Open on Saturday. Osaka beat the American Jennifer Brady 6-4, 6-3 in the final, to win her 4th Grand Slam. Simona Halep was defeated this year in the Australian Open quarter-finals by the American Serena Williams. Meanwhile, the Romanian womens handball side HC Dunărea Brăila qualified in the quarter-finals of the EHF European League, after on Saturday they won a decisive Group D match against the Russian team Kuban Krasnodar, 36-32. Dunărea will take on another Romanian team, the group winners Minaur Baia Mare. The 2 legs of the EHF European League quarterfinals are scheduled for March 27-28 and April 3-4. (tr. A.M. Popescu)

  • February 19, 2021 UPDATE

    February 19, 2021 UPDATE

    COVID-19 Romania reported 2,712 new SARS-CoV-2 cases in the last 24 hours, and 79 COVID-19 related deaths. Nearly 950 patients are in intensive care. The immunisation programme continues, at a rate of 40,000 vaccine doses daily. According to the National Vaccination Coordination Committee, the total number of doses used stands at roughly 1.3 million, with over 750,000 people immunised since the start of the campaign on 27th December.



    AID The Republic of Moldova Friday received humanitarian aid from Romania, consisting in medical equipment and personal protection equipment to help fight the COVID-19 pandemic. According to the Moldovan Presidency, the donation is worth around 2.3 million euro. The official reception ceremony was attended by Moldovas president Maia Sandu, interim PM Aureliu Ciocoi, the Romanian foreign minister Bogdan Aurescu and other officials. The EU Ambassador to the Republic of Moldova, Peter Michalko, emphasised that Bucharests help is vital.



    BUDGET The Supreme Defence Council convening in Bucharest today in a meeting chaired by president Klaus Iohannis approved the draft 2021 budgets for national security institutions. In order to pass the state budget, the government needed a decision from the Supreme Defence Council with respect to the budget of relevant institutions. Also on Friday the Cabinet held a meeting to approve the state budget and social security budget bills for this year. On Thursday the cabinet had passed an emergency order scrapping a planned pension increase and the holiday vouchers for this year, and granting students a 50% public transport subsidy instead of 100% as it was before. The Liberal PM Florin Cîţu said the budget deficit target remains 7.16%, and that special attention will be paid to investments.



    HEATING Mintia thermal power plant, part of the Hunedoara Power Compound in western Romania, was shut down over a coal shortage, which means that around 4,500 flats in Deva as well as public institutions in that town no longer receive heating. This comes amid protests at the coal mines in the Jiu Valley area, where workers are unhappy with delays in salary payments. It is for the 4th time in 6 months that the thermal power plant is not operational for lack of fuel. The energy minister Virgil Popescu said there are short-term solutions for the problems in Hunedoara, but that a long-term plan is also necessary.



    SENTENCE The businessman Ioan Niculae Friday returned from Italy to Romania and turned himself in, after receiving a final 5-year prison sentence from the Bucharest Court of Appeals, for influence peddling and inciting money laundering and tax evasion. According to prosecutors, in 2008 and 2009, his company declared fictitious financial operations to dodge taxes. The state incurred losses of over 2.2 million euro. Niculae already served another prison sentence in a corruption-related case in 2015.



    SKI The Japanese athlete Ryoyu Kobayashi Friday won the Ski Jumping World Cup leg held in Râşnov (central Romania), after the Norwegian Halvor Egner Granerud, the original winner, was disqualified. Kobayashi won his second competition this season and the 18th in his career, with jumps of 94 m and 98.5 m. Next came Kamil Stoch, of Poland, winner of this years Four Hills Tournament, followed by Karl Geiger (Germany). Granerud tops the overall World Cup standings after 22 legs. Another Japanese athlete, Sara Takanashi, won the womens competition in Râşnov, also held on Friday. A mixed team event is scheduled on Saturday. (tr. A.M. Popescu)