Category: The Week in Review

Romanian Prime Minister’s Visit to London

Romanian Prime Minister Marcel Ciolacu made a two-day visit to the United Kingdom in the middle of the week, the first by a head of government from Bucharest in the last 17 years. The discussions with his British counterpart, Keir Starmer, focused on joint economic, energy and security projects. Starmer sent a message to Romania and other European states, especially the countries on the eastern flank, namely that the United Kingdom wants to cooperate more with these states in the defense sector, that is, to send soldiers to help them, and to train together with the soldiers from the countries on the eastern flank, in a complicated security context and with an increasingly aggressive Russia. Romania and the United Kingdom signed a defense cooperation agreement, by virtue of which the British will contribute to the Regional Maritime Training Center in Romania, intended for the training of Ukrainian soldiers. The head of the Romanian government also participated in the Romanian-British Economic Forum, met with the Lord Mayor of London, Sir Alastair King, and with the Speaker of the House of Commons, Sir Lindsey Hoyle. The Lord Mayor of London conveyed that the British want to work and make transactions with the Romanians and want to prepare more areas for collaboration.

Hearings of the proposed European Commissioners

The hearing of Roxana Mînzatu, proposed by Romania for the position of Executive Vice-President to coordinate policies in the social and education fields, took place in Brussels. Roxana Mînzatu believes that the European Union has the most balanced and efficient social model in the world, but this does not mean that this mechanism does not have its flaws, and some are even deepening. She promises to discuss in the first year with all social actors from all member states, from governments and unions to youth organizations and ordinary citizens. Roxana Mînzatu states that her mandate will focus on three pillars: professional training, quality jobs and social justice.

NBR assessments

Not so great news came from the economy: it stagnated in the third quarter of this year, compared to the previous quarter, while compared to the same quarter in 2023, the gross domestic product decreased by 0.2%. At the same time, the annual inflation rate rose slightly in October to 4.67%, from 4.62% in September. In fact, the National Bank of Romania increased the inflation forecast for the end of this year to 4.9%, from 4%, as it estimated in August. Governor Mugur Isărescu emphasized that the way in which the fiscal-budgetary correction will be made in order to reduce deficits will also influence the evolution of inflation. Reducing deficits, Isărescu insisted, means adapting domestic consumption to the level of production in Romania. He said that the NBR expects from the future government a credible and coherent macroeconomic correction program, which will be politically supported and socially accepted. Mugur Isărescu pointed out that the evolution of prices is marked by a series of risks and uncertainties related to both fiscal policy and wage increases, but also to external factors, such as the evolution of European economies with which Romania conducts most of its trade relations, the dynamics of the international oil price in the context of increasing geopolitical tensions, and how the conflicts in Ukraine and the Middle East will evolve.

F35 for Romania and a warning from the head of the armed forces

The Senate in Bucharest adopted, on Wednesday, as the decision-making body, the bill on the acquisition of F-35 aircraft from the United States government. The document regulates the program through which Romania will acquire 32 state-of-the-art F-35 aircraft, for which it will pay 6.5 billion dollars, the most expensive acquisition in the history of the Romanian armed forces. Engines, logistical support, pilot and personnel training services, flight simulators, as well as air-to-air and air-to-ground ammunition are included. The first F-35 aircraft will arrive in Romania after 2030. In the same register, on Tuesday, on the anniversary of the Defense General Staff, its chief, General Gheorghiţă Vlad, launched an alarm signal: the indicators of the current security situation warn us that peace is no longer a certainty on the European continent. He stated that, in dissonance with the norms of international humanitarian law, the actions of the Russian Federation fuel the negative progression of the potential for security threats and risks. According to the general, in the Black Sea region, an area of strategic interest for NATO, we have a crisis situation in the field of defense. The Romanian armed forces, Gheorghiţă Vlad emphasized, have reconfigured their defensive architecture. Procedures have been adapted, the forces’ reaction capacity has been re-calibrated, and the structures intended for permanent combat service, air police, and increased vigilance have been consolidated. At the same time, situational awareness and early warning capabilities have been improved.

About Romanians voting abroad

Romania is in the midst of an electoral campaign for the first round of the presidential elections, which will take place on November 24, and for the legislative elections on December 1. The Minister of Foreign Affairs, Luminiţa Odobescu, and the President of the Permanent Electoral Authority, Toni Greblă, provided technical details regarding the organization of the elections abroad. Romanian citizens abroad will be able to vote in the 950 polling stations that will be organized for them, a record number. Almost 7,000 citizens have received envelopes for postal voting, and they must send their option no later than two days before the start of the physical vote. On November 24, together with the vote for president, the inhabitants of Bucharest will be called on to answer, in a referendum convened by the general mayor, three questions, two of which concern the way money is divided between the general and sectoral mayoralties, and the third is related to combating drug use in schools.

President Klaus Iohannis at the summit of the European Political Community in Budapest

Romania’s accession to the Schengen Area is not only a political objective, but a firm commitment to the European project, President Klaus Iohannis said at the fifth summit of the European Political Community, held on Thursday and Friday in Budapest. On the other hand, the Romanian head of state drew attention to the fact that migration remains an important challenge at the European level, which requires a common and comprehensive response. The results of the US elections were also in the attention of the participants, gathered to discuss mainly about increasing competitiveness. European leaders called on Donald Trump to avoid trade wars, maintain support for Ukraine, and refrain from disrupting the global order. Hungarian Prime Minister Viktor Orban said that all 42 European leaders present agreed that they must take responsibility for their own security and stop relying on the United States. Donald Trump was congratulated by the international community for his victory in the American elections. In his message, President Klaus Iohannis recalled that Romania is a strong and committed strategic ally of the United States.

Prime Minister Marcel Ciolacu’s visit to Paris

In Paris, the Romanian Prime Ministers, Marcel Ciolacu, and French PM Michel Barnier, discussed the consolidation of the bilateral Strategic Partnership, concluded in 2008, with an emphasis on the economic and defense components. The two heads of government established that investments in key areas, such as IT, aeronautics and energy, are essential. The doubling of the volume of bilateral trade in the 16 years of Strategic Partnership, its upward trend, and economic relations with tradition, such as Dacia Renault, represent solid arguments to continue the cooperation in a consolidated form – said Marcel Ciolacu. The head of the government in Bucharest appreciated the solid cooperation in security matters, as well as the fact that, by a decision of President Emmanuel Macron, France assumed the role of framework nation of the NATO Battle Group in Romania, immediately after the invasion of Ukraine by Russia, an essential element for consolidating the Alliance’s position on the eastern flank. France’s desire to increase its military presence in Romania, which currently stands at 800 soldiers, was also highlighted.

Romania – Japan cooperation

On Tuesday, in Bucharest, the head of the Romanian executive had a meeting with a delegation of Japanese investors from the fields of energy, research and technology, industry, infrastructure, and banking, led by the Japanese Deputy Minister of Economy, Trade, and Industry, Shinji Takeuchi. On this occasion, the level of bilateral relations developed on the basis of the Strategic Partnership, the common values promoted by the two countries, and the economic opportunities offered by the current international context, was evaluated. According to Prime Minister Marcel Ciolacu, Romania’s role as a factor of stability in Europe and in the region, as well as its geostrategic, economic, and political advantages qualify the country as a destination for investors. For its part, the Japanese economic delegation showed its interest in strengthening financial support for Romania in projects in the fields of transport infrastructure, energy, digitization, and high technology. Previously, during the first edition of the Romania-Japan Energy Forum that took place on Monday and Tuesday,in Bucharest, the Ministry of Energy signed a memorandum of understanding with a Japanese company for the Tarniţa-Lăpuştești hydropower plant project, in Cluj county (north-west Romania ). ELCEN (the Elecrocentrale Bucharest State Company) and Panasonic are working on a joint project aimed at a complex system of photovoltaic panels, battery storage, and green hydrogen production.

Roxana Mînzatu, Romania’s proposal for the position of European Commissioner, received approval in the Parliament from Bucharest

The proposal of the Romanian Government for the position of European Commissioner in the future Community Executive, Social Democrat Roxana Mînzatu, was approved, on Tuesday, by the specialized commissions of the Parliament in Bucharest. The MEP, appointed by Ursula von der Leyen, vice-president of the European Commission, would hold the “People, skills and training” portfolio. In this capacity, she said, she will be responsible for approximately 20% of the Union’s multiannual budget. Roxana Mînzatu specified that the position of executive vice-president of the Commission includes coordination in the area of preparation for emergency situations. For Roxana Mînzatu, a new round of hearings follows, on November 12, this time in the European Parliament’s Committees on Employment and, respectively, Culture and Education.

IMF visit to Bucharest

A mission of the International Monetary Fund visited Bucharest this week for discussions with Romanian officials about the latest economic developments. It is a regular visit to evaluate and update macroeconomic perspectives, with several components: inflation, balance of payments, public debt and budget deficit, as well as monetary and fiscal policy. The delegation had meetings in particular at the Central Bank and the Ministry of Finance. Currently, Romania does not have an agreement with the Fund.

Electoral campaigns in Romania

The electoral campaign for the parliamentary elections in Romania started on the night of Thursday to Friday and will end on November 30. During this period, the parties, alliances or independents entering the race for a seat in the new bicameral Legislature of the country will have to convince the electorate to grant them the vote on December 1. There are currently 330 parliamentarians in the Chamber of Deputies, and 136 in the Senate. A week before, the presidential election campaign started in Romania. The first round of voting for the highest office in the State will take place on November 24, and the second round – on December 8. On Wednesday, the Permanent Electoral Authority approved the list of the headquarters of the 950 polling stations abroad for presidential and parliamentary elections. There are 35 more polling stations than in June, when Romanians abroad elected their representatives in the European Parliament. 2024 is, after two decades, the year of all types of elections. In the summer, combined with the European parliaments, local ones also took place in Romania.

Romania, in solidarity with Spain

Prime Minister Marcel Ciolacu summoned, on Thursday, the ministers and representatives of several government institutions to discuss the situation of Romanians in southeastern Spain affected by the recent catastrophic floods. According to the spokesperson of the Ministry of Foreign Affairs in Bucharest, approximately 160,000 Romanian citizens live in the Valencia region alone. The prime minister asked those present at the meeting to form an action group to see under what conditions a logistics center can be set up in Castellón de la Plana, through which the Romanian State can offer the affected Romanians additional help compared to what the Spanish state offers. Marcel Ciolacu also requested the ministries to maintain permanent contact with the Spanish authorities and with the Romanians in Spain, and to offer support, including by providing transport for repatriation, in case there are requests in this regard. Meanwhile, in the flood-affected areas, the rescue operations of people who have been severely affected by the weather continued. As for the damages, if initially it was about hundreds of millions of euros, now we are talking about billions. Houses, cars, tunnels, bridges, viaducts, or train lines were completely destroyed.

Government debt on the rise

The government debt increased, in Romania, to over 876 billion lei (about 175 billion euros), meaning to 52% of the Gross Domestic Product, according to the data made public, this week, by the Ministry of Finance. They reflect the situation at the end of July. For the end of 2024, according to an emergency ordinance approved on Wednesday, the Executive instituted the increase of the public debt ceiling to the level of 53% of GDP. On the other hand, a mission of the International Monetary Fund will come to Bucharest, next week, to analyze the country’s recent economic and financial developments. In the Fund’s most recent report on the outlook for the global economy, the estimates regarding the advance of the Romanian economy this year are revised down, from 2.8%, as forecast in April, to 1.9%.

The Republic of Moldova and the European Union

The Constitutional Court of the Republic of Moldova confirmed, on Thursday, the results of the October 20 referendum on European integration. As a result, the Constitution will be supplemented with a new chapter on the basis of which the accession of the majority Romanian-speaking state to the community block becomes a strategic objective. Regardless of the political color of the governments that will follow, they will be obliged to promote policies that correspond to this objective. Also, the Parliament will be able to ratify the constitutive agreements of the European Union only with the help of a simple majority. We recall that, in the election about two weeks ago, the difference in votes in favor of the integration of the Republic of Moldova into the European Union was only a few thousand votes. On the other hand, the European Commission praised the progress of the Republic of Moldova, but also of Ukraine, on the path of reforms necessary for joining the EU. In the annual report on the expansion of the Union, in which it makes an assessment of all candidate or aspirant states for accession, the Commission expresses its hope that, next year, it will be able to start discussions on negotiation chapters with the officials from Chisinau and Kiev. Brussels points out, however, that efforts are still needed in many areas.

Radio Romania – 96 years

Radio Romania turned 96 on Friday! On November 1, 1928, the first broadcast of the Radiotelephone Broadcasting Society in Romania was broadcast, with the announcement “Hello, hello, here is Radio Bucharest”, uttered by the president of the Society, Dragomir Hurmuzescu, the founder of Romanian radio. In the beginning, Radio Bucharest (as the Society was known) broadcast only a few hours a day, with news, dance and classical music, as well as weather reports. Gradually, the broadcast expanded and complex broadcasts appeared, which have been entering the homes of listeners from the country and abroad for 96 years. As a sign of appreciation, November 1 was also declared, by law, National Radio Day, in recognition of the decisive role of the Romanian Broadcasting Corporation in the country’s history.

The electoral campaign at the start

The electoral campaign for the presidential elections in Romania started at midnight from Thursday to Friday and will end on the morning of November 23. 14 candidates are registered in the race for the highest position in the State – 10 supported by political formations, and 4 independents. Voting throughout the country, in the first round, will take place on Sunday, November 24, between 7:00 a.m. and 9:00 p.m. local time. If at the time of closing the polls there will be voters in line or in the precinct, the president of the polling station can order the extension of voting until 11:59 p.m., at which time the system will close automatically. Voters can vote only in the locality where they have their domicile or residence, and in Bucharest, only in the sector where they are registered on the permanent lists. The address of the polling station to which the voter belongs can be found on the website of the Permanent Electoral Authority. Voters who are in another locality can express their choice at any section, and will be registered on additional lists. Romanian citizens with domicile or residence abroad can vote either by mail, if they have chosen this option, or at any section organized in the country or abroad. The second round of the presidential elections is scheduled to take place on December 8. Interspersed between the two rounds, the elections for the country’s bicameral Parliament will take place on December 1, Romania’s National Day.

Romania and the elections in the Republic of Moldova

The fate of the Republic of Moldova must be decided only by its citizens – declared, on Monday, the Romanian president, Klaus Iohannis, who welcomed the vote given the day before in the referendum for European integration and in the presidential elections in the neighboring state. 50.46% of the participants in the referendum – validated by the Central Electoral Commission from Chisinau – answered ‘YES’ to the question ‘Do you support the amendment of the Constitution with a view to the accession of the Republic of Moldova to the European Union?’. At the same time, the current president, pro-European Maia Sandu, who is running for a new term, won over 42% of the votes, while the candidate of the Socialist Party, Alexandr Stoianoglo, obtained almost 26%. The two will face each other in the decisive round on November 3. The Ministry of Foreign Affairs in Bucharest welcomed the organization of the presidential elections and the referendum in the Republic of Moldova at high democratic standards, but expressed its concern about Russia’s interference of an unprecedented scope, complexity and toxicity, recorded since the period before the polls opened.

Official visit to Montenegro

Towards the end of his term as President of Romania, Klaus Iohannis was, on Wednesday, on an official visit to Montenegro, where he discussed with his counterpart Jakov Milatović about the European course of that country, which Romania strongly supports. Romania supports the process of expanding the European Union with the partners from the Western Balkans and with the candidate states from the eastern neighborhood – declared the president. In his opinion this policy represents the best investment in the democratic consolidation of Europe. Klaus Iohannis and Jakov Milatović also analyzed the ways to increase investments and trade, and talked about cooperation within NATO, both in terms of the Black Sea region, support for Ukraine, and the consolidation of the Eastern flank. On the other hand, military ceremonies were scheduled, on Friday, on the occasion of the celebration of the Romanian Army Day, within the country, in the military bases in the theaters of operations where Romanian soldiers are deployed, in the states where Romania has accredited defense attachés, as well as at cemeteries and monuments of Romanian soldiers from Austria, Bosnia and Herzegovina, Bulgaria, the Czech Republic, the Republic of Moldova, Slovakia and Hungary.

Bad news from the IMF

This week, the International Monetary Fund has revised downward the estimates regarding the growth of Romania’s economy this year from 2.8%, as forecast in April, to 1.9%. Instead, for 2025, the IMF estimates a growth of 3.3%. Average annual inflation should reach 5.3% at the end of this year, and 3.6% next year, and unemployment should remain at 5.6 percent and decrease, in 2025, to 5.4. Also this week, the Bucharest Chamber of Deputies adopted, as a decision-making body, the draft law on the minimum wage. The law transposes a European directive that aims to improve the working and living conditions of employees. The document stipulates that the gross minimum basic salary guaranteed in payment should be established annually, through periodic updating, after consulting the trade unions and representative employers at the national level, and take into account the cost of living and economic and social indicators.

Help from the European Commission

The European Commission approved, on Thursday, a State aid scheme for Romanian farmers affected by the drought. 400 million euros will be granted for damages from September 2023 to August 2024. The money is intended for agricultural producers who had losses for one or more of the 39 types of selected crops. To qualify for this type of aid, farmers must demonstrate that they have lost more than 30% of their crops. The maximum aid value is 200 euros per hectare for a 100% loss. This year alone, the Government estimates that around 2 million hectares have been affected by drought.

The Central Electoral Office announced, on Thursday, the final list of candidates for this year’s presidential elections.

There are 10 candidates supported by political formations and 4 independents in the race for the position of president of Romania. The CEO defined, by drawing lots, the order in which they will appear on the ballots in the first round. Thus, the first place will be Elena Lasconi – Save Romania Union, and the second place will be George Simion – Alliance for the Union of Romanians. The third position is occupied by the current prime minister, Marcel Ciolacu, from the Social Democratic Party. Followed by Nicolae Ciucă – National Liberal Party, Kelemen Hunor – Hungarian Democratic Union from Romania and Mircea Geoană, independent candidate. The candidacy for the presidency of the leader of the party S.O.S. Romania, Diana Şoşoacă, was invalidated by the judges of the Constitutional Court. In justifying the decision, they claimed that, through her public speech, Diana Şoşoacă questions and disregards the obligation to respect the Constitution and urges the change of the democratic foundations of the state. She said that the decision of the CCR was abusive. The first round of the presidential elections is scheduled for November 24, and the second for December 8. The electoral campaign for the presidential elections officially starts on October 25.

Again about Schengen

The accession of Romania and Bulgaria to the Schengen Area and land borders was, once again, on the agenda of the European Ministers of the Interior gathered, on Thursday, in Luxembourg. Austria is the only state still opposed, but the Austrian interior minister, Gerhard Karner, says that the discussion is on the right track. Present at the JAI council, the Romanian Minister of the Interior, Cătălin Predoiu, reaffirmed that Romania meets all the accession criteria. Here is Cătălin Predoiu:

“Romania is prepared from all points of view to join Schengen on the land borders as well. We met all the conditions, and the process of joining the air borders went very well. The figures show how much we have reduced illegal migration”.

The European Commissioner for Internal Affairs, Ylva Johansson, says that the accession of Romania and Bulgaria will be discussed again at the Council in December, and that, until then, negotiations will take place. The European official said: “Romania and Bulgaria fulfilled all the conditions and did even more than was necessary, and I am very optimistic and I hope that this decision will be taken as soon as possible, while I am in office”.

Important steps for the defense of Romania

Romania will purchase four high-power radars from the United States. The Sentinel system is capable of detecting a wide range of aerial objects and will significantly increase Romania’s ability to deter and defend against potential threats. State-of-the-art radars will complement the country’s air defense capabilities, especially in terms of early detection of unmanned aerial vehicles, threats that manifest themselves in the proximity of national borders, in the context of Russia’s war of aggression against Ukraine, the Minister of Defense, Angel Tilvar, said. In fact, he visited the Western Balkans the other day, at the beginning of the new rotation of an important part of the military detachments deployed in Pristina, in Kosovo, and in Sarajevo, in Bosnia-Herzegovina. Taking over the command of the EUFOR mission represents a recognition of the professionalism and dedication of the Romanian military in this important mission, the minister said in Sarajevo, where he had a meeting with the command teams of the EU and NATO structures, and at a meeting with the Romanian military who are carrying out missions in Bosnia and Herzegovina. Also in Pristina, Angel Tîlvăr assured that Romania is ready to honor its obligations for maintaining security in the Western Balkans. He met with the command team of the NATO peacekeeping operation KFOR, to which Romania has an important contribution, and with the Romanian soldiers on mission in this theater of operations. Also in the context of security in the region, the Minister of Foreign Affairs, Luminiţa Odobescu, participated, on Wednesday, at the Ukraine – South-Eastern Europe Summit in Dubrovnik, an event in which the participating states adopted a joint declaration recording the “collective commitment of multidimensional support for Ukraine’.

Decisions taken in Bucharest

The Romanian government adopted a decision allowing the import of eggs and poultry meat from Ukraine, only if they meet the standards of the European Union. The decision comes in the conditions where the Romanian poultry breeders signaled to the authorities that cheap poultry products from the neighboring country that do not meet EU standards have appeared on the domestic market. The executive also adopted two measures to support domestic agricultural producers affected by the drought: financial compensation and the suspension of the repayment of current and outstanding loans until August 2025. On the other hand, also this week, the Romanian Parliament tightened the penalties for human traffickers, based on increasing the incidence of this phenomenon. Thus, the Chamber of Deputies adopted, as a decision-making body, a draft law which provides that determining or facilitating the practice of prostitution or obtaining benefits from the practice of prostitution by one or more minors will be punished with imprisonment from 7 to 15 years. In addition, the state will grant free legal assistance and financial compensation to victims of abuse.

European cultural heritage summit in Bucharest

Between October 6 and 8, Bucharest hosted the European Cultural Heritage Summit, the most important event dedicated to the preservation of cultural heritage in the European Union, as well as the “Europa Nostra 2024” awards ceremony. Specialists in the field discussed financing policies and projects for restoring and protecting heritage. On this occasion, 60 non-governmental and professional organizations signed, for the first time, a memorandum for the protection of cultural heritage in Romania. The document includes five urgent measures to improve the legal framework and capitalize on heritage.

German support for Romania’s accession to Schengen by land

The fastest possible accession of Romania to the Schengen area by land will contribute to ensuring the growth of economic exchanges, declared, on Monday, in Bucharest, the prime minister of the state of Baden-Württemberg, Winfried Kretschmann, who was received by President Klaus Iohannis. The discussions focused on the development of cooperation in the economic, political, social, and educational fields, by expanding the successful projects regarding dual professional education. Two declarations of cooperation were signed – between the executive from Bucharest and that of the German federal state, and between the ministries of the interior respectively. Among German states, Baden-Württemberg is the main commercial partner of Romania, with a volume of commercial exchanges that last year reached the level of 8.32 billion euros, 12 times higher than 11 years ago. The German official also met with Prime Minister Marcel Ciolacu. He told the latter that he wants the meetings of the mixed governmental commission to resume as soon as possible, and this is because all the new projects identified in areas of common interest such as economy, energy, environmental protection, culture, internal affairs, agriculture, education and health can be implemented as quickly as possible.

Diaspora summit

100 Romanians from the diaspora, who distinguished themselves in various fields of activity, such as entrepreneurship, management, health, art, science, or sport, were awarded during the 9th edition of the RePatriot summit, which took place on Thursday at the Palace of the Parliament in Bucharest. Romania is now one of the safest countries in Europe and investments are being made in all areas, was the idea highlighted at the diaspora summit. The citizens who left the country by the millions in the last 35 years must be encouraged to return, the representatives of the authorities who participated in the event argued in unison.

When will Romanians be able to travel visa-free to the USA

Romanians will be able to travel visa-free to the United States most likely next year. The Ambassador of Romania to the USA, Andrei Muraru, said

“The fiscal year in the United States has ended, and the last condition that Romania had to fulfill was satisfied. Of course, we are waiting for a confirmation from the American partners over the next period, but our assessment, based on the number of visa applications this year, as well as the strong downward trend in recent years, is that Romania has dropped below the 3% percentage of the rejection rate. Eliminating visas for the United States is the best recognition of an irreversible solidarity between Romanians and Americans.”

However, the United States ambassador to Bucharest, Kathleen Kavalec warned that Romania still has important steps to take in the coming months, in order to really be eligible to participate in the Visa Waiver Program. She also said that additional consultations between the two governments will take place this fall to review Romania’s adherence to a series of previously agreed security measures.

Injured children in the Gaza Strip treated in Romanian hospitals

Foreigners are leaving Lebanon as Israel steps up its bombing of the capital Beirut. Several dozen Romanians were also evacuated in an aircraft of the Romanian Ministry of National Defense. On the other hand, in the first part of this week, eight children injured in the Gaza Strip and their 24 relatives were brought to Bucharest, in an aircraft of the Romanian Ministry of National Defense, to benefit from medical treatment in hospitals in Romania. Bucharest grants this support based on the request for international assistance formulated by the World Health Organization, through the European Civil Protection Mechanism.

“Our support efforts are doubled by diplomatic efforts to restore security, conclude a cease-fire agreement, and release all hostages”, said the Romanian Prime Minister, who participated in the support action, together with the Minister of Foreign Affairs, Luminiţa Odobescu, and Raed Arafat, the head of the Department of Emergency Situations.

Mugur Isărescu reconfirmed governor of the National Bank

The Governor of the National Bank, Mugur Isărescu, was reconfirmed by Parliament for another 5-year term. As the world’s longest-serving central bank chief, he has been in this position since 1990, with a brief one-year break during his tenure as prime minister. Leonardo Badea, first vice-governor, Florin Georgescu and Cosmin Marinescu, vice-governors, are also in the executive management of the Central Bank, voted in by Parliament. The Parliament also validated the mandates of some members of the Board of Directors of the Financial Supervisory Authority and the National Broadcasting Council. Also approved were the requests of the head of state regarding the deployment of NATO security assistance missions for Ukraine on national territory, and for the maritime training of Ukrainian personnel.

The first budget adjustment in 2024
This past week, the Romanian Executive adopted the first budget amendment this year. Although it was operated on a revised downward economic growth of 2.8%, and on a larger than estimated budget deficit of 6.9 percent, the correction was a positive one. Finance, Transport, Health and Education received more money, while the budgets of the Ministries of Economy and Development were reduced. The budget adjustent is based on an increase in the revenues collected at the State budget and on investments. Prime Minister Marcel Ciolacu gave assurances that the deficit, already large and viewed, therefore, with concern by specialists, can be borne by the economy. He gave as an example the strongest states in the Union, Germany and France, which promote investments, against the background of a deficit growth. The investments, Ciolacu insisted, will return to the budget 8 times more money than was spent on them. For his part, the Minister of Finance, Marcel Boloş, recalled that the budget for 2024 was built around essential investments in infrastructure, large strategic projects and the improvement of public services for Romanians. He denied that next year Romania will give up the flat tax and switch to the progressive tax, in order to cover the holes in the budget.

A less optimistic forecast
The European Bank for Reconstruction and Development drastically lowered the estimates regarding the evolution of the Romanian economy in 2024, which would register an advance of only 1.4% this year, down from the 3.2% estimate announced in May. In 2025, the GDP growth would be 2.6%, from a level of 3.4% forecast in May. The EU countries in South-East Europe are affected by a weak external demand, although consumption has been resilient, following solid wage increases, the EBRD explains in the report. According to the report, in Bulgaria and Romania, the increase in the minimum wage stimulated demand, but resulted in the expansion of the trade deficit and added to inflationary pressures. In Romania, the IT sector slowed down significantly, in line with the global trends, while industrial production stagnated. On the other hand, infrastructure investments continue to support growth. The international institution also notes that the recent estimates of the Fiscal Council show an expansion of the deficit towards 8% of GDP in 2024. The International Monetary Fund has also revised downwards the estimates regarding the growth of the Romanian economy this year, from 3.8% to 2.8 %.

National intervention at the UN
The President of Romania Klaus Iohannis participated in the 79th session of the General Assembly of the United Nations. “As insecure as the world is today, the answer to our problems will always be more cooperation and more solidarity. Romania will always support the international world order, with the UN at its center”, said the Romanian head of state in his speech. Russia’s war against Ukraine, the president said, has triggered the biggest security crisis in recent European history, violating international law and having implications far beyond the continent. Ukraine needs the support of all UN member states, determined to respect international law and the UN Charter, Klaus Iohannis also stated. He emphasized that Romania fully supports President Zelenskyi’s peace initiative, as the only approach that can ensure a just and lasting peace, in full agreement with the UN Charter and international law. In Iohannis’ opinion, there is no viable alternative to the United Nations, and the principles on which it was built remain more valid than ever. We are now focusing, the president said, on continuing the reform of the UN, so that it is able to face current and future challenges.

American loan for the Romanian army
On Wednesday, Romania signed a loan agreement with the United States worth almost 1 billion dollars. Bucharest is confident that the 920 million dollars from the United States will allow the strengthening of the country’s defense capacity, by equipping the Romanian Armed Forces with modern equipment and developing the local defense industry. Kathleen Kavalec, the ambassador of the United States to Bucharest, said that the document is more than a simple financial agreement, as it represents the strength and resilience of the bilateral partnership, as well as the common commitment to ensure peace, stability and security in the region. By offering American funds, Washington’s goal is to ensure that Romania remains at the forefront of innovation and military equipment for many years to come, which will equally strengthen bilateral economic relations, Kathleen Kavalec said.

Good start for FCSB in Europa League
Upon returning to the continental competitions, FCSB defeated the Latvian team RFS with a score of 4-1, on Thursday evening, at the National Arena in Bucharest, in the first stage of the new Europa League football format. The Romanian champion will play seven more matches in the group, and its opponents include the Scots from Glasgow Rangers, Manchester United, PAOK Thessaloniki and Olympiakos Piraeus, as well as the Germans from Hoffenheim. FCSB is the only representative of Romania in European cups. (MI)

Elections upon elections!

The Romanian government adopted the calendar for this year’s presidential elections. The first round will take place on November 24, and the second will be on December 8. Last week, the executive also decided the calendar of the legislative elections, scheduled to take place on December 1, the National Day. This year, European parliamentary and local elections also took place in June. The PSD and PNL candidates, Marcel Ciolacu and Nicolae Ciucă, would enter the second round of the presidential elections, if the voting were held on Sunday – according to a CURS survey carried out between August 6-22. Regarding the parliamentary elections, PSD would lead in the preferences of the electorate, followed by its governing partner, PNL. The current PSD-PNL coalition can work in the future as well, believes Romanian Prime Minister Marcel Ciolacu, the leader of the Social Democrats. He believes that the future government could be inaugurated before Christmas, on December 23. According to him, despite the acid statements coming from both sides on the background of the launch of the candidacies for the presidential election, the Bucharest executive will work in the current formula until the general elections. The prime minister also said that, in the future, PSD sees no other coalition in power than that with the National Liberal Party. The president of the Liberals, Nicolae Ciucă, also pleaded for the continuation of the government, regardless of what happens in the coalition.

Pension chaos

The week was notable in Romania for the chaos created by the new law on indexation of state pensions. Through this, the rulers aimed to correct certain discrepancies in the system, but the result displeased hundreds of thousands of people. Even though a large part of pensions have increased, many have received recalculation decisions where the income is lower or even much lower than what they were receiving until now. In addition, some categories of pensioners say that after the recalculation they will no longer benefit from periodical indexation for many years from now. They are also afraid that these decisions that reduce their pensions could be applied in the future, although both the prime minister and the relevant minister have given multiple assurances that, regardless of the result of the recalculation on paper, no pension will decrease. People also report many miscalculations. In any case, the so-called “special pensions” of certain categories of employees, much larger and not based on contributions, were not affected in any way. In order to calm the tensions, the pension taxation threshold will increase, from October 1, from the current 2,000 lei (400 euros) to 3,000 lei (600 euros), as announced by the minister of labor, Simona Bucura-Oprescu. Whether or not the pension chaos will influence the upcoming election remains to be seen.

Budget deficit above expectations

Romania’s budget deficit exceeded, after the first 7 months of this year, the threshold of 4% of the Gross Domestic Product, according to data from the Ministry of Finance. The analysis of the budget execution shows that the State had, in the January-July period, total revenues of over 331 billion lei (the equivalent of over 66 billion euros), an increase of over 15 percent compared to the first 7 months of 2023. The expenses, however, increased by over 23%, reaching more than 402 billion lei (over 80 billion euros). We remind you that the budget for this year is built on a deficit of 5 percent of GDP. On the other hand, the Minister of Investments and European Projects, Adrian Câciu, announced that Romania has so far collected funds from the Cohesion Policy worth almost 24 billion euros in the 2014-2020 financial year, and has reached a level of absorption of over 99%.

Heatwave and drought

Romanian farmers whose crops were destroyed by the drought will receive compensation from the government. The measures, which will be adopted next week, aim to grant funds for this summer’s damage, but also a mechanism to insure autumn and spring crops. The Minister of Agriculture, Florin Barbu, specified that up to 3,000 lei per hectare (about 600 euros) will be granted, something that will lead to the unlocking of credit for farmers, according to discussions with bank representatives. The necessary funds will be provided from the national contribution, to which is added 17 million euros from the risk fund of the European Union. Also, the State aid scheme called “Farmer’s Credit” will be supplemented with 400 million lei (approximately 80 million euros). Soil drought has settled in Romania in several areas after an extremely hot and dry summer.

Two pieces of good news

Romania officially received the approval in the field of competition within the process of joining the Organization for Economic Cooperation and Development. According to a press release from the Competition Council, the opinion was issued after the completion of the evaluation process of the activity carried out in the period 2018-2022. During the analysis, the Council had to demonstrate that the way it acts meets the requirements of the international organization. Recommendations were also made, and the status of their implementation will be presented in a year’s time. Joining the OECD is a priority for Romania, being considered the third major strategic objective after joining NATO and the European Union. On the other hand, the administration inWashington would announce, on October 15, a decision regarding the lifting of visas for Romanians, which would apply starting from 2025, stated government sources from Bucharest.

Elections are coming

The government in Bucharest established, this week, the calendar of the parliamentary elections scheduled for December 1, right on the National Day of Romania. The electoral campaign will start on November 1, and will end in the morning of November 30. In the country, Romanians will be able to vote on December 1, between 7:00 and 21:00, and in the diaspora, voting will begin on November 30, at 7:00 local time and will end on December 1, at 21:00 local time. As the presidential elections will take place in Romania towards the end of the year, the list of candidates is gradually starting to take shape. One of the aspirants to the highest office in the state is Social-Democratic Prime Minister Marcel Ciolacu, who recently announced that he will enter the presidential race. The President of the Senate, Liberal Nicolae Ciucă, said he was convinced that he would reach the second round with the PSD leader. Among those who have so far announced their intention to run are USR president Elena Lasconi, AUR leader George Simion, and MEP Diana Iovanovici Şoşoacă.

Who does Romania propose for the European Commission?

Prime Minister Marcel Ciolacu announced that he will propose for European Commissioner from Romania the social democrat Victor Negrescu, vice-president of the European Parliament and chief negotiator of the Parliament regarding the Union budget for 2025. The announcement was made in Brussels, where the Prime Minister had a meeting with the head of the European Commission, Ursula von der Leyen, who is in full negotiations with the European political groups for the configuration of the future community executive, and for those who will occupy the positions of commissioners. Marcel Ciolacu stated that he is leaning towards a relevant economic portfolio in the future configuration of the Commission. The Prime Minister also discussed with the President of the European Commission about the renegotiation of the PNRR, as well as the future agreement on the reduction of the budget deficit.

Increased pensions, but not too much

Retirees from the public pension system in Romania have started, since Monday, to receive the decisions to recalculate their pensions based on a new law that is intended to be reparative and fair. In most cases, people will receive higher pensions from September. But there will also be retirees whose pensions will decrease, but – the government promises – only on paper, because they will continue to collect the same money as before. To make things clear, in the coming days, an official document will be sent to pensioners from the public system informing them that, whatever the calculation is on paper, the pension paid will not be lower than before. Hundreds of pensioners complained about the recalculation decisions they received, which, in their opinion, did not reflect the real value of the period in which they were employed. Those who have received recalculation decisions with lower pensions must know, however, that they will remain with the current non-indexed income for a longer period of time, meaning until, after the indexation of the reference point, the recalculated pension will exceed the one they now receive.

Economic outlook in decline?

Romania could have, this year, an economic growth of 3.4%, lower than the Government’s expectations – the Fiscal Council pointed out. In its annual report, the independent institution warns, at the same time, that the budget deficit will exceed 7% of GDP at the end of the year, and that there is even a risk that it will move towards 8%, under the conditions in which the new pension law, in addition to the wage increases granted in the public sector, it will generate additional costs. The representatives of the Fiscal Council signal that there is a need for policies that support fiscal and budgetary consolidation in the medium term both in terms of revenues and increasing the level of collection.

TAROM

The national air transport company TAROM – owned by the Romanian State – last year reduced its losses to 18 million euros, from an average of 55 million euros per year in the period 2017-2022, and could turn a profit in 2024, after accumulating losses of almost 300 million euros in the last 6 years. The interim head of the company, Costin Iordache, said that the restructuring would be completed this year, after TAROM benefited, in April, from state aid approved by the European Commission. TAROM recently sold the rights to operate flights at London Heathrow airport, and is going to sell four Airbus 318 aircraft, in order to modernize its fleet by integrating the new Boeing 737 MAX 8 aircraft, scheduled to arrive in Romania next year. The recovery of the TAROM company also occurs against the background of the increase in the number of passengers registered at Romanian airports.

Romania buys American missiles

The USA has approved the sale to Romania of missiles compatible with F16 aircraft – the American diplomatic mission in Bucharest said. The initial sale is valued at approximately $180 million, with the option to purchase additional missiles. This sale contributes to the modernization effort of the Romanian Air Force. The missiles are also compatible with other NATO and American aircraft, including the F35 aircraft.

Romanian Navy Day marked on August 15

In Romania, Navy Day was celebrated, on Thursday, in the big port cities on the shores of the Black Sea or the Danube. The most impressive events took place in Constanţa, where, along with the thousands of spectators, attending were President Klaus Iohannis, President of the Senate, Nicolae Ciucă,as well as the ministers of Defense and the Interior. The demonstration exercise, the biggest naval show of the year, was attended by over 2,000 Romanian military sailors and from the allied forces deployed in the country, 15 maritime and river military ships, Coast Guard ships, F-16 fighter aircraft, two patrol and search and rescue airplanes, American and French, Puma Naval helicopters, and paratroopers. At the end of the exercise, there was a parade of military ships and aircraft, sail ships and civilian boats, in front of the several thousand people who attended the event. The head of state stated that Romania is recognized and appreciated at the allied level as a solid pillar of regional security, and a major contributor to the process of strengthening NATO’s deterrence and defense pillar on the eastern flank. He specified that, although these are times marked by multiple security challenges, in the context of the war started by Russia in Ukraine, Romania is, today, a safe and stable country, and the citizens are defended and protected against any potential threats. On Navy Day, the head of state conveyed to the sailors that the devotion, tenacity, and spirit of sacrifice that define them represent an example of excellence, and that the Romanian naval forces are a symbol of national power and resilience.

Romanian firefighters fighting fires in Greece and Albania

Romania sent, on Tuesday, a second contingent of firefighters to support the efforts to fight the vegetation and forest fires affecting the Attica region of Greece. According to the General Inspectorate for Emergency Situations, 40 firefighters and two special extinguishing and rapid intervention vehicles were supplied to Greece by air, and two other machines for extinguishing forest fires. A massive fire that wreaked havoc near Athens was extinguished after three days with the help of Romanian firefighters. On Monday, the Inspectorate announced that a Romanian firefighter, who participated in extinguishing a fire, suffered superficial injuries to the face, but did not require specialized treatment. The missions will continue over the following days, depending on the concrete situation on the ground. Whole towns in Greece were evacuated. Meteorologists have announced a red code for fires, due to high temperatures that will reach 40 degrees Celsius in many regions of the country, as well as strong winds. Also, since Wednesday, two Romanian aircraft have been helping the intervention forces from Albania to put out the forest fires in this country. According to a press release from the Ministry of Defense, they were a Spartan aircraft configured for firefighting and a Hercules for logistical support.

Investigation into suspicious deaths at St. Pantelimon hospital in Bucharest

Prime Minister Marcel Ciolacu sent his Control Corps to the Ministry of Health to examine how the institution carried out inspections, in April, at St. Pantelimon Hospital in Bucharest, after an employee from the ICU Department reported several suspicious deaths of some patients, within a span of a few days. The conclusions of the inspection showed that the accusations are not confirmed, and that there were only communication problems inside the hospital. On Wednesday, the head of the Control Corps of the Ministry of Health, Sorin Luca, resigned, amid the investigation subsequently launched by prosecutors, as well as the arrest of two of the ICU physicians with St. Pantelimon, accused of having knowingly caused the death of at least one patient in serious condition.

Romanian football teams in European competitions

Romania’s vice-champion in football, CFR Cluj (north-west), qualified for the Conference League play-off, after defeating the Israeli team Maccabi Petah Tikva with a score of 1-0, on Thursday evening, at home, in the second leg of the tour the third preliminary round. CFR Cluj also prevailed in the first leg with the same score. Romanian Cup winners Corvinul Hunedoara were beaten 6-1 away by Kazakhstan’s FC Astana in the Europa Conference League on Wednesday, and exited the European competitions. Also, on Tuesday, the title holder, FCSB, was eliminated from the Champions League by the Czech team Sparta Prague, which prevailed with the score of 3-2, in Bucharest, in the second leg of the third preliminary round. The first game had ended in a tie, 1-1. FCSB will continue in the Europa League play-off, where they will face the Austrian team LASK Linz. On the other hand, the Romanian Olympic and Sports Committee announced, on Wednesday, that it received from the Organizing Committee the bronze medal for gymnast Ana Maria Bărbosu, for the third place won in the floor event at the Olympic Games in Paris. Last Saturday, before the end of the Olympic Games, the Court of Arbitration for Sports decided that Ana Maria Bărbosu won the bronze medal, and that Sabrina Voinea, her compatriot, finished the competition in 4th place. This decision overturned the ranking decided by the referees at the end of the floor event of August 5. The International Olympic Committee sent that American Jordan Chiles, who had won third place, must return the medal. We recall that Romania ended its participation in the Olympic Games in Paris with nine medals: three gold, four silver and two bronze, coming in 23rd in the nation ranking.

Gas interconnector between Romania and Serbia

The Romanian Minister of Energy, Sebastian Burduja, signed, this week, together with the Minister of Mines and Energy from neighboring Serbia, Dubravka Dedovic Handanovic, the Memorandum of Understanding regarding the Construction Project of the Gas Interconnector between Romania and Serbia. The two countries will make every effort to start the actual construction next year, and the investment should be completed by 2028. The project represents a major step in strengthening the energy security of both countries, and in the regional integration of the markets, by diversifying the routes supply. According to Minister Burduja, through this investment, the country will provide benefits for all Romanians: a more competitive market, which will bring the lowest price to consumers, energy security, integration of energy systems, and diversification of supply sources. The project will connect the natural gas transmission system in Serbia with the BRUA main in Romania.

Female doctors detained for premeditated murder

The court accepted the request of the prosecutors for preventive arrest for 30 days of two female doctors from a hospital in Bucharest, accused of intentionally causing the death of a patient hospitalized in intensive care. The investigators claim that the 54-year-old patient, in serious condition, went into cardio-respiratory arrest, after they suddenly reduced his dose of noradrenaline, an essential substance in intensive care, with the role of maintaining blood pressure. In the same case, a nurse was charged with perjury. The prosecutors opened a criminal file regarding the crime of premeditated murder, after, in April, they received a notification from a nurse at the hospital related to the death of 17 patients between April 4-7 in the IC ward.

The reaction of the authorities to complaints regarding acts of sexual harassment in the university environment

The Bucharest government has decided to amend the legislation on acts of sexual harassment to allow anonymous complaints and to adopt measures to protect victims. It is the reaction of the authorities to the situations reported recently in the university environment in Romania – former students have launched accusations of sexual harassment in the public space against three university professors, against some of whom cases have already been opened with the police. One of them, Alfred Bulai from a major university, was dismissed from his position by the management of the school, while the other two – Dorin Ştefan Adam from the University of Architecture in Bucharest and Marius Pieleanu, from the same school as Bulai, requested the suspension of their own activity. Meanwhile, the public consultation period for the Ministry of Education’s project regarding regulation of university ethics commissions was extended until August 23. According to the document, complaints regarding abuses or violations of other rules can also be submitted anonymously to the registry of the university institution.

A new edition of the ‘Start Up Nation – Romania’ program

The executive approved, on Thursday, a new edition of the ‘Start Up Nation – Romania’ program, which has a budget of almost 450 million euros for a maximum of five years. The program has two components: one for access to training courses for young people under 30 years of age, and the second is intended for those between the ages of 30 and 35 who want to start a business. Start Up Nation is dedicated to young entrepreneurs, as well as those who live in underprivileged areas, or belong to disadvantaged categories. The project is coordinated by the Ministry of Economy, and the line minister, Radu Oprea, stated that, this year, more money is allocated for each participant compared to previous years. 80% are European funds and 20% from the state budget.

A new edition of the UNTOLD festival

In Cluj-Napoca, in the northwest of Romania, the ninth edition of the UNTOLD festival is taking place. During the four days of the festival, over 250 artists from Romania and from all over the world will perform on the eight stages of the event. Among them are famous performers who have performed in Romania before, such as the pop rock legend Lenny Kravitz, or the DJ Salvatore Ganacci, Some artists are premiering here, such as the British Sam Smith, or Burna Boy – the only African artist who had two events sold-out, two years in a row, at the London Stadium. UNTOLD, a festival that comes in 3rd in the ranking of the 100 biggest festivals, annually attracts fans from all corners of the world.

Tally for the Romanian athletes at the Olympic Games

Romania has so far won eight medals at the Paris Summer Olympics – three gold, four silver and one bronze. Gold was won by swimmer David Popovici in the 200 meter freestyle, rowers Andrei Cornea and Marian Enache in the men’s double sculls, and the women’s crew of eight plus one (Maria Magdalena Rusu, Roxana Anghel, Ancuța Bodnar, Maria Lehaci, Adriana Adam, Amalia Bereş, Ioana Vrînceanu , Simona Radiş, Victoria Ştefania Petreanu). The silver was obtained by Ancuța Bodnar and Simona Radiș in the women’s double rowing, by Ioana Vrînceanu and Roxana Anghel in the women’s double sculls, by Gianina van Groningen and Ionela Cozmiuc in the women’s double rowing – light category, and by weightlifter Mihaela Valentina Cambei, in the 49 kg category. Finally, a bronze medal was won by David Popovici in the 100 meters freestyle.