Radio România Internațional

Tag: state budget

  • 10 December 2015

    10 December 2015


    The joint permanent bureaus of the Romanian Parliament today submit their amendments to the state budget and social security budget bills, which will be debated on Friday by the joint budget and finance committees. A final vote is expected after the bills are debated by the specialist committees and in a joint meeting of the two Parliament houses. The bills on the 2016 state and social security budget approved by government were submitted on Wednesday to Parliament with the request to be debated and adopted as part of an emergency procedure.



    President Klaus Iohannis is chairing a meeting of the Romanian Supreme Defence Council, the first to be attended by members of the Ciolos cabinet. Talks focus, among others, on the deployment plan for the Romanian troops sent to missions and operations abroad next year and the 2016 budgets of the bodies with national security responsibilities. The Supreme Defence Council will also analyse the measures taken by Romania to implement the regime of international sanctions, as well as the report on the national system for the prevention and combating of terrorism.



    Romanias trade deficit deepened in the first ten months of the year by 1.5 billion euros compared with the same period last year, to reach 6.4 billion euros. According to the National Institute for Statistics, exports accounted for almost 46 billion euros, while imports stood at a little over 52 billion. Cars and transport equipment, as well as other types of manufactured goods held the biggest shares in Romanias exports and imports in the first ten months of the year.



    The director of the Evenimentul Zilei daily Dan Andronic has been detained by prosecutors as part of investigations into the illegal return of property confiscated by the communist regime to the rightful owners. A business man, an advisor to the former Liberal prime minister Calin Popescu Tariceanu and the director of a well-known real estate developer have also been detained as part of the same inquiry. The damage is estimated in this case at 136 million euros. A number of politicians, including the Liberal Ioan Oltean, have been investigated recently for involvement in cases of illegal return of property or illegal compensation granted by the National Authority for Property Restitution.



    Romania face defending Olympic and European champions Norway in a Group D match at the World Womens Handball Championship underway in Denmark. Despite losing to Spain in their latest match, Romania have secured their qualification for the round of 16, having won against Puerto Rico and Kazakhstan. If Romania lose against Spain, their final group game with Russia on Friday will no longer decide their final place in the group. Romania are the only team to have taken part in every edition of the World Championship since 1957, winning three medals in the process: gold in 1962 and silver in 1973 and again in 2005.



    (Translated by: C. Mateescu)




  • 7 December, 2015 UPDATE

    7 December, 2015 UPDATE

    2016 state budget. The Romanian Government will hold a public
    debate on Wednesday to discuss the priorities and structure of the 2016 state
    budget. The budget bill is to be approved by the government this week, before
    being submitted to Parliament for debate and approval. The ministries of
    defence, interior, education and health will be allocated the largest amount of
    funds next year. Less money will go to the ministries of labour and transport.
    Budget returns in 2016 are expected to grow by approximately 800 million euros
    compared with 2015, while expenses are to grow by 2.9 billion euros, to make up
    for the fiscal relaxation measures already approved by Government and
    Parliament. The new budget is based on a budget deficit level of maximum 3% of
    the GDP, in keeping with the EU ceiling, and a 4.1% economic growth rate.




    Army exercises. Romanian military
    started training on Monday, alongside troops from the US and the Republic of
    Moldova, at the Smardan shooting range, in south-eastern Romania, as part of
    the Platinum Lynx 16.2 Black Sea Rotational Force exercise. This exercise is
    aimed at continuing the joint training of the military, increasing the level of
    interoperability between the participant forces and strengthening their
    partnership. In parallel, some 200 Romanian soldiers and 350 US military are
    taking part in the Dacian Thunder exercise at the army air bases in Mihail
    Kogalniceanu, south-eastern Romania, and in Campia Turzii, in the west. The
    exercise comes to an end on December 20th. According to the Romanian
    defence ministry, Dacian Thunder, which is now in its second year, is aimed at
    increasing staff interoperability, ensuring an exchange of experience and
    improving the training of both Romanian and US military staff, in keeping with
    the NATO standards.




    French elections. France’s far-right National
    Front is the big winner of the first round of regional elections held on
    Sunday. With a record national score of 30% of the votes, the Front pulled
    ahead of both the moderate right, in opposition, and the ruling Socialist
    Party. Commentators say the second round, due on December 13th, may
    confirm the rise of the far-right, whose anti-immigration and anti-Islam
    discourse has become more and more appealing to voters following last month’s
    attacks in Paris.




    Ukraine-Biden. Ukraine still has a lot of hard work to do on
    reforms, in particular the fight against corruption, said US vice-president Joe
    Biden on Monday in Kiev, in a joint press conference with Ukraine’s president
    Petro Poroshenko. Biden announced new US financial aid of 190 million dollars
    to help Ukraine fight corruption, a scourge which, almost two years since the
    regime change in Kiev and despite the promises of the new authorities, is still
    a problem in this country. Also on Monday, Biden called on Moscow to fulfil the
    peace deal in Ukraine’s pro-Russian east and hand back to Kiev the Crimean
    peninsula which it annexed in 2014.






    Humanitarian appeal. The United Nations is seeking 20 billion dollars in funding to help some
    87 million people from 37 countries next year, the largest humanitarian appeal
    in history, said the UN under-secretary-general
    for humanitarian affairs Stephen O’Brien in Geneva. He said conflicts and disasters have driven millions of children, women and men to the edge of survival. The
    humanitarian appeal for 2016 is based on response plans and strategies in 27 crises in 37 different countries
    around the world. The conflicts in Syria, Iraq, Sudan and Yemen will remain
    among the greatest drivers of prolonged humanitarian needs in 2016, according
    to the United Nations.




    Britain-EU. Uncertainty
    over the UK’s future in the EU is destabilising Europe. That is why we must
    find a way to answer the British concerns as quickly as possible, said the
    president of the European Council Donald Tusk on Monday. In a letter to EU
    leaders, who are due to meet on the 17th of December in Brussels for
    the winter summit, Tusk said reaching an agreement with the authorities in
    London is a matter of urgency. He said there is strong will among member
    states to find solutions that respond to the British requests with regard to
    the reform of the European Union, but that there is presently no consensus on
    Britain’s proposal to restrict benefits for people coming to the UK from the
    EU.




    Pollution. The Chinese authorities have issued the first ever red smog alert, in
    place from Tuesday until Thursday, and have taken exceptional measures. The
    alert comes as smog engulfs Beijing for the second time this month. According
    to the World Health Organisation, the air pollution level has in some places
    exceeded 40 times the recommended limit. The authorities have decided to close
    nurseries, schools and factories, halt all building works and impose
    restrictions on car travel.





    Handball.     The Romanian women’s handball team on Monday
    defeated Kazakhstan 36:20 in their second match at the World Championship
    hosted by Denmark. In their first match on Saturday, Romania won against Puerto
    Rico 47:14. In their next fixture on Tuesday, Romania face Spain. Their group
    also includes Norway and Russia. The four best-ranked teams in each group will
    qualify for the round of last 16. The World Championship is important for the
    teams’ qualification for the Olympic Games in Rio. The winner of the
    championship will qualify automatically, while the teams in places 2-7 will
    play the Olympic test events in April 2016. Romania are the only team to have
    taken part in all editions of the World Championship since 1957, winning three
    medals in the process: gold in 1962 and silver in 1973 and again in 2005.

    (Edited and translated by: C. Mateescu)

  • December 5, 2015 UPDATE

    December 5, 2015 UPDATE

    The Romanian Ministry for Finances made public the draft budget for 2016. The ministries that will receive more money than in the previous financial year include the defence, interior, education, culture and healthcare. Fewer funds than in 2015 will be allocated for the transport, labour, justice and finance ministries. According to the bill, the budget revenues for next year will be nearly 0.8 billion euros higher than in 2015, while expenses will be 3.5 billion euro higher, and cover all the measures approved this year by the Government and Parliament. According to the Government, next year’s budget reflects a number of principles, including fiscal predictability, aimed at encouraging private investments and enhancing the confidence of the business community, efficient budget spending, improved transparency in spending public money and a transformation of the relationship between the state and taxpayers, in the sense of a more friendly attitude of public institutions towards citizens.



    The Romanian Health Ministry announced that all the victims of the October 30th fire at Bucharest’s Colectiv nightclub who are still in hospitals in Romania would be transferred abroad if their doctors recommend it and their families agree. The decision comes after the management of the Hospital for Plastic, Reconstructive and Burns Surgery in Bucharest admitted that three of the patients injured in the tragedy died from infections acquired in the hospital. Sixty people died in that fire and many others were injured. At present there are 31 patients in hospitals in Bucharest and 30 in clinics abroad. The protests against corruption in central and local administration that followed the tragedy led to the resignation of the Social Democrat Victor Ponta’s Cabinet.



    Orthodox, Greek Catholic and Roman Catholic Christians in Romania Sunday celebrate St. Nicholas, also known as Nicholas the Wonderworker. Born in the 3rd Century in the Middle East, he has a reputation for gift-giving, and a lot of miracles are attributed to him. Nearly 800,000 Romanians bearing his name are also celebrating their name day on Sunday. According to Romanian tradition, the evening before St. Nicholas’ Feast Day shoes are taken out, and during the night the Saint will put gifts in them.



    Romanian troops will be training for a week, as of Monday, together with military from the USA and the neighbouring Republic of Moldova, at a shooting range in south-eastern Romania, which is hosting the Platinum Lynx 16.2 module of the Black Sea Rotational Force multinational exercise. The exercise is aimed at carrying on the joint training of troops, at enhancing the interoperability of participating forces and strengthening their partnership.



    The US Federal Bureau of Investigations officially rated as an act of terrorism the attack that killed 14 people and wounded 21 others on Wednesday in San Bernardino, California. The FBI chief, James Comey, said there are indications that the attackers were inspired by foreign terrorist organisations, but added that there is no evidence that they were members of a terrorist group.



    Romania’s national women’s handball team Saturday won its first match at the World Championship in Denmark, outperforming Puerto Rico 47-14. The next game, against Kazakhstan, is scheduled for Monday. The same Group D also includes Spain, Norway and Russia. The top four ranking teams in each group qualify into the eighth-finals. The World Championship is also a qualification criterion for the Rio Olympics, with the winner of this competition qualified to the Olympic Games and the teams ranking 2nd to 7th getting access to the pre-Olympic tournaments of April 2016. Romania is the only country which has taken part in all the World Championships final tournaments since 1957. The Romanians won gold in 1962 and silver in 1973 and 2005.

  • December 5, 2015

    December 5, 2015

    The Romanian Ministry for Finances made public the draft budget for 2016. The ministries that will receive more money than in the previous financial year include the defence, interior, education, culture and healthcare. Fewer funds than in 2015 will be allocated for the transport, labour, justice and finance ministries. According to the bill, the budget revenues for next year will be nearly 0.8 billion euros higher than in 2015, while expenses will be 3.5 billion euro higher, and cover all the measures approved this year by the Government and Parliament. According to the Government, next year’s budget reflects a number of principles, including fiscal predictability, aimed at encouraging private investments and enhancing the confidence of the business community, efficient budget spending, improved transparency in spending public money and a transformation of the relationship between the state and taxpayers, in the sense of a more friendly attitude of public institutions towards citizens.



    The Romanian Health Ministry announced that all the victims of the October 30th fire at Bucharest’s Colectiv nightclub who are still in hospitals in Romania would be transferred abroad if their doctors recommend it and their families agree. The decision comes after the management of the Hospital for Plastic, Reconstructive and Burns Surgery in Bucharest admitted that three of the patients injured in the tragedy died from infections acquired in the hospital. Sixty people died in that fire and many others were injured. At present there are 31 patients in hospitals in Bucharest and 30 in clinics abroad. The protests against corruption in central and local administration that followed the tragedy led to the resignation of the Social Democrat Victor Ponta’s Cabinet.



    Romanian troops will be training for a week, as of Monday, together with military from the USA and the neighbouring Republic of Moldova, at a shooting range in south-eastern Romania, which is hosting the Platinum Lynx 16.2 module of the Black Sea Rotational Force multinational exercise. The exercise is aimed at carrying on the joint training of troops, at enhancing the interoperability of participating forces and strengthening their partnership.



    France is taking a day for reflection today, ahead of the first round of regional elections, scheduled for Sunday. According to opinion polls, the National Front, having little competition on the far right, ranks first with around 30% of the voting intentions, followed by right and centre-right parties and by the ruling Socialist Party with only 22%. The election campaign took place amid security measures taken after the terror attacks of November 13th in Paris, which left 130 people dead. The Radio Romania correspondent in Paris notes that for the second round the Socialists suggested an alliance with the moderate right, but the offer has been rejected by some of its leaders.



    The US Federal Bureau of Investigations officially rated as an act of terrorism the attack that killed 14 people and wounded 21 others on Wednesday in San Bernardino, California. The FBI chief, James Comey, said there are indications that the attackers were inspired by foreign terrorist organisations, but added that there is no evidence that they were members of a terrorist group.



    The Romanian women’s handball team is today playing its first game in the final tournament of the World Championship in Denmark, against the national team of Puerto Rico. The same Group D also includes Kazakhstan, Spain, Norway and Russia. The top four ranking teams in each group qualify into the eighth-finals. Ahead of the World Championship, the Romanian national team played four friendly games, outperforming the Czech, Cuban and Swedish teams and losing to France. Romania is the only country which has taken part in all the World Championships final tournaments since 1957. The Romanians won gold in 1962 and silver in 1973 and 2005.


    (translation by: Ana Maria Popescu)

  • The Week November 23-29

    The Week November 23-29

    The 2016 state budget to be ready in two weeks’ time


    In Romania, the
    state budget for 2016 aims to clarify issues related to fiscal stability and to
    include all legislative changes in terms of salaries. The draft budget should
    be completed by December 15 and then sent to Parliament to be debated by the
    expert committees, before being submitted to the plenary sitting for approval.
    In the meantime, the document will also be subjected to public debate. According to President Klaus Iohannis, Romania’s 2016 state budget
    should consider a long-term strategy for development, so that reforms could
    begin in critical domains in the following months. Prime minister Dacian Cioloş has said Romania
    will be able to keep the budget deficit below the 3% target and has given
    assurances that it plans to include all measures stipulated by the new Fiscal
    Code in next year’s budget.




    Klaus Iohannis signs into law bill to raise
    public sector salaries




    Under a
    new bill signed into law by the Romanian President Klaus Iohannis, public
    sector salaries will grow by 10% as of December 1st, while salaries in the
    healthcare sector will be increased retroactively by 25%, as of October 1st.
    The Romanian prime minister Dacian Cioloş has said that, to
    avoid cutting down on investments, the government would focus on attracting
    European funds. The prime minister has also pointed out that, besides these pay
    rises, which are important and justified, Romania should also work out a programme
    for investments, so that the country’s economic growth should not be based on
    consumption alone.




    Parliament passes bill to allow Romanians to give up
    their houses to clear mortgage debts


    The nightmare of defaulting
    on the mortgage payment may soon come to an end for a lot of Romanians
    thanks to a bill allowing them to give the mortgaged house to the
    bank so as to get rid of loan payments. The bill has been recently passed by
    the Romanian Chamber of Deputies. In order to come into force President Klaus
    Iohannis needs to sign it into law. The bill was initiated by the Liberal MP
    Daniel Zamfir, who
    says that it is meant to correct the risk sharing between banks and customers
    taking out loans. Even as a draft, this law has triggered a lot of controversy, as bankers
    say it is tailor-made for real estate speculators, it endangers the real estate
    market and violates the Romanian Constitution, the European law and the civil
    code.




    President Klaus
    Iohannis signs into law bill to ban public activity in spaces at risk


    Given that
    Bucharest is the European capital running the highest risk of being affected by
    earthquakes, cinema and theatre halls, some of them with a national reputation,
    as well as restaurants and bars have been forced to suspend their activity, as last
    week, Romania’s president Klaus Iohannis promulgated the law banning any kind
    of public activity in spaces at risk. The structure of hundreds of buildings
    was affected in particular by the big earthquake of 1977, measuring 7.2 on the
    Richter scale, which killed some 1,600 people. Only a few of these buildings
    have been consolidated. The situation is high on the agenda of Prime Minister
    Dacian Cioloş and Culture Minister Vlad Alexandrescu, who will hold a meeting
    to find solutions, with the participation of the Bucharest municipality.




    US
    Deputy Assistant Secretary for European and Euroasian Affairs Hoyt Yee praises
    Romania for progress made in combating corruption


    The
    United States is expecting Romania’s new government to increase the number of
    cooperation fields between the two countries, from the economic and military
    fields to energy security, the US Deputy Assistant Secretary
    for European and Euroasian Affairs, Hoyt Yee, has said. Attending the 4th
    meeting of the Task Force on the implementation of the Joint
    Declaration on the Strategic Partnership for the 21st Century between Romania
    and the USA, the American official highlighted the significant results
    Romania obtained in the fight against corruption.




    In
    another development, the National Anti-Corruption Directorate in Romania on
    Thursday called on the Senate to green light the pre-trial detention and arrest
    of Senator Dan Sova in a new corruption case for influence peddling.
    Prosecutors say in the 2011-2014 period, Sova, a former Transport Minister in
    the Victor Ponta Cabinet, demanded and received 100,000 euros in bribe for
    striking a deal between CET Govora and a law firm. CET Govora Director Mihai
    Balan was also arrested on Thursday by anti-corruption prosecutors. We recall
    that in March the Directorate had called on the Senate to green light the
    detention and arrest of Sova in a corruption investigation involving the
    Turceni and Rovinari energy companies. Sova was indicted for corruption
    alongside former Prime Minister Victor Ponta.




    Also
    under investigation is the Liberal MP Ion Oltean, accused of abuse of power and
    influence peddling in a case of overrated compensations. The former chief of Romania’s
    National Authority for Property Restitution (ANRP),
    Crinuta Dumitrean has been detained for involvement in the same case.

  • Romania’s Public Budget

    Romania’s Public Budget

    Based on a forecast GDP growth of 2.5%, Romania’s budget for next year reflects the acceleration of structural reforms in key areas, the Government argues. The authorities will push for a 3% economic growth rate, but this also depends on global economic developments, the PM’s adviser Cristian Socol explained.



    This year as well, the budget focuses on investments and creating new jobs, with the funds earmarked for investments up 24% (nearly 2 billion euros) compared to 2014. According to Cristian Socol, the budget is designed to also support private businesses, by increasing the co-funding for European projects, state aid and state guarantee schemes, as well as by providing more support to farmers, specific facilities for high-value foreign investments and the development of industrial and technological parks, and incentives for the technical education field.



    Authorities expect the absorption of EU structural and cohesion funds to improve by up to 80%. In full compliance with Romania’s commitments to the European Commission, the International Monetary Fund and the World Bank, the budget is based on a deficit of 1.83% of the GDP and a 2.2% inflation rate, and guarantees Romania’s financial security by means of buffer funds of 9.25 billion euros, which cover the state’s obligations to its citizens, in terms of pensions and salaries, for six to seven months. This eliminates most risks related to a possible resurging of recession in the eurozone or to problems in international financial markets.



    The goal of further strengthening the country’s fiscal system, which is a prerequisite for improving the sustainability of public finances and the credibility of reforms, is accompanied by a complementary objective, that of strengthening the social safety net, which was strongly affected by the austerity measures taken during the crisis. In 2015, the national minimum wages will be substantially increased, and so will the salaries of teachers and the healthcare staff. Pensions will go up 5% and support measures will be taken for vulnerable categories, such as those living in severe poverty or people with disabilities.



    The largest amounts have been allotted to the ministries of labour, finances, agriculture, European funding, transport and economy. The smallest budgets are those for the healthcare, culture, administration and the interior ministries.



    The Liberals, in Opposition, have already announced they will vote against the budget bill in Parliament, on grounds that the text does not explicitly identify the source of the funds for investments.