Category: The Week in Review

  • THE WEEK IN REVIEW

    THE WEEK IN REVIEW

    Hypothesis: a Russian drone fell in Romania


    The North Atlantic Alliance reaffirms its strong solidarity with Romania, after being informed about the incident near its border with Ukraine, where possible fragments of a Russian drone were identified. We will continue to closely monitor the situation and remain in contact with our ally, Romania – says NATO in a statement. The Secretary General of the alliance, Jens Stoltenberg, said that there was no information indicating an intentional attack by Russia. He also said that the event demonstrates the risk of an accident caused by the conflict in Ukraine, and recalled that similar incidents had occurred in Poland. The Romanian Minister of Defense, Angel Tîlvăr, announced that Defense Ministry specialists collected evidence near the village of Plauru in Tulcea county (south-east), approximately 70 meters from the Danube. The spokesperson of the ministry specified that measures have been established to strengthen the technical capacity for monitoring and securing the airspace. President Klaus Iohannis declared that, in case it would be confirmed that the drone belonged to Russia, the incident represents a serious violation of Romania’s sovereignty and territorial integrity. The day before, the head of state had stated that there was not a single part, nor a drone, nor any other part of any device, that arrived in Romania. The Russians frequently target the river ports of Ismail and Reni, in southern Bessarabia, an eastern Romanian territory annexed by the Stalinist Soviet Union in 1940, following an ultimatum, and taken over by Ukraine in 1991, as a successor state. These ports are an important outlet for Ukrainian exports after Russia withdrew from the Black Sea grain transit agreement in July. Essential for the transport of goods on the Danube, Reni is about 13 kilometers in a straight line from the Romanian city of Galati, and Izmail is on the Chilia arm of the Delta, which is now the border between Romania and Ukraine.





    Regional summit in Bucharest


    Bucharest hosted, on Wednesday, the Summit of the Three Seas Initiative, which includes the member countries of the European Union located between the Baltic, Black and Adriatic seas. On this occasion, Greece became the 13th member country of the Initiative, and Ukraine and the Republic of Moldova obtained the status of associated states. In the final joint statement, the leaders of the participating states reaffirmed their support for Ukraine, and condemned, once again, the Russian invasion launched a year and a half ago. On the sidelines of the summit, on Thursday, the Business Forum of the Three Seas Initiative took place, which brought together over a thousand representatives of the business environment, political decision-makers, and representatives of civil society. The Romanian authorities have reiterated that they are interested in carrying out projects that increase the degree of interconnection in the region.





    The government assumes responsibility for reducing the fiscal deficit


    The social-democratic leader of the PSD-PNL Government, Marcel Ciolacu, announced on Tuesday that his executive team will assume, by the end of this month, responsibility in Parliament for the measures by which they hope to reduce the budget deficit. Without going into details, the prime minister declared that the package of measures will include combating tax evasion, which experts say is quasi-generalized in some sectors. The package is also said to include reforms in the central and local administrative systems, which experts say are also inflated, as well as a tax overhaul, which appears as a milestone in the National Recovery and Resilience Plan, agreed upon with Brussels. The Social Democrats and Liberals comfortably dominate the Parliament, so it is very likely that, once agreed between them, the reforms promised by Ciolacu will pass, and the government will continue its mandate. The two poles of the opposition, USR and AUR, which declare themselves ideologically incompatible, announce that, in the current legislature, they will separately initiate censure motions against the government cabinet, while the press claims that the chances of any of them being adopted are zero.





    Arrests in the Crevedia case


    The owners of the company that owns the LPG station in Crevedia (southern Romania, not far from Bucharest), where two explosions took place last month resulting in numerous victims, were put in detention for 30 days. The prosecutors seized several properties and bank accounts of the two, so that the state could ensure compensation for the victims. According to the authorities, following the explosions on August 26, five people died and over 50 were injured. Six houses were completely destroyed, and almost 80 partially. The owners of the company are accused of having, for at least three years, systematically promoted the violation of legal provisions regarding the performance of the LPG fuel supply, transport, transfer, and storage operations.





    Premiere at the US Open


    Romanian tennis player Sorana Cîrstea qualified, for the first time, in the quarter-finals of the US Open tournament, the last Grand Slam of the year, where she was eliminated by Karolina Muchova, from the Czech Republic. Cîrstea achieved her greatest performance at the New York tournament. She played only one quarterfinal at a Grand Slam tournament, in 2009, at Roland Garros, when she was only 19 years old. Thanks to the points won at Flushing Meadows, she will climb four places in the world ranking, and will be on the 26th WTA position starting Monday. In the absence of the former world number one, Simona Halep, suspended for a year for an alleged doping charge which has not yet been clarified, Sorana Cîrstea seems to have become, according to sports media, the de facto leader of Romanian tennis.


  • THE WEEK IN REVIEW

    THE WEEK IN REVIEW

    A (new) Romanian tragedy


    The commune of Crevedia, near Bucharest, was put, on the evening of August 26, on the map of Romanian tragedies that could be avoided. The devastating explosions produced at an LPG (liquefied petroleum gas) station in the locality left people dead, and dozens more injured, most of them firefighters who intervened after the first deflagration. Although the circumstances and the number of victims are different, the comparison with the tragedy at the Bucharest club Colectiv, in which more than 60 young people died, is justified, especially if the investigations will confirm the abuse and illegalities that would have allowed the fuel station to operate, despite the fact it it no longer had an operating license since 2020. Four investigations were launched: the first, by the General Prosecutors Office, aims at the causes of the explosions, the second, by the Military Prosecutors Office, analyzes how the firefighters acted, and two investigations, by the Anti-Corruption Directorate, investigate possible abuse of office on the part of some civil servants who had to check the license of the LPG station. As always in such cases, the authorities are mobilized and have extensive controls, at the national level. As a result, irregularities were discovered at fuel stations in Romania. And, because nothing seems to be by chance, the media found out that one of the shareholders in the company that owned the LPG station where the explosions took place is the son of a PSD mayor from another county, a generous donor to the party. In 10 years, the turnover of the company, which has dozens of contracts, including with the state, would have increased almost 500 times.




    Reorganization of the Romanian Police


    The heads of Constanţa Police, the county in the south-east of the country where a tragic road accident caused by a young drug addict recently took place, called for their own dismissal, in the week when the Minister of the Interior, Cătălin Predoiu, presented the conclusions of the Control Office in case of accident. Predoiu promised a complete reshuffling of the entire law enforcement apparatus in the structures of his ministry, the MIA, a reset that will start with the Constanța Police Inspectorate. There, according to his own words, the battle with crime has been lost in recent years. We remind you that a 19-year-old driver under the influence of drugs killed two young people and injured three others near the commune of 2 Mai. He had been stopped in traffic by the police about three hours before the road accident and taken to the station, where, after he was tested for alcohol and the result came out negative, he was let go. Predoiu announced that a preliminary investigation was ordered for negligence in the case of several officers involved in the faulty management of the case. He also said that he intends to militarize all the educational institutions of the MIA, and that he will redesign the National Anti-Drug Agency, in relation to the evolution of consumption in Romania. The Minister of Justice, Alina Gorghiu, stated, on the other hand, that the fight against drugs requires a joint effort, and that the number of prosecutors currently dealing with such cases is very small. Almost 4,700 cases related to drugs were solved this year in Romania, although only 14 prosecutors are active in the department for combating drug trafficking.




    Diplomacy meeting


    Organized, traditionally, around Diplomacy Day, which is marked on September 1, the general meeting of Romanian diplomacy had, this year, the theme of managing challenges in the Black Sea area and maximizing opportunities. Romania will continue to support Ukraine as long as it is necessary, and will stay on the side of the Republic of Moldova through financial assistance, expertise, and political support, for an irreversible European path and in the construction of a safe and prosperous state, President Klaus Iohannis firmly stated at the meeting with the heads of diplomatic missions and directors of cultural institutes. On the other hand, it is Romanias duty to continue to be an authentic provider of security in the region, so that the Black Sea becomes a region where peace and prosperity can no longer be subject to any threat, the president emphasized. A painful delays in the process of full integration into the Union, Romanias accession to the Schengen area remains a priority for the next period of time, Iohannis promised. The diplomatic meeting represents an opportunity to update priorities in a context dominated by Russias war of aggression against Ukraine, an unprecedented threat to peace, security and international rules based order, Foreign Minister Luminiţa Odobescu said. She declared that efforts will be intensified to strengthen Romanias profile within the European Union, NATO, and internationally.




    ENESCU Festival at the 26th edition


    Until September 24, Bucharest will be the musical capital of the continent. 3,500 artists will perform in 90 concerts at the George Enescu International Festival, now in its 26th edition, one that takes place under the motto Generosity through music. The 2023 edition is the first with a new artistic director, master conductor Cristian Măcelaru. He dedicated Rhapsody no. 2 by George Enescu, on the first day of concerts, to those in need of comfort after the tragedy in Crevedia. Among the important orchestras participating in this years edition are the Vienna Philharmonic, the Royal Concertgebouw Orchestra in Amsterdam, the National Orchestra of France, the Tonhalle Orchestra in Zurich, the London Symphony Orchestra and the Czech Philharmonic Orchestra. First-class international conductors will take the stage during the festival: Cristian Măcelaru, Zubin Mehta, Sir Simon Rattle, Wilson Hermanto, Delyana Lazarova, Lawrence Foster, Vladimir Jurowski. Four of Radio Romanias six musical ensembles were invited to perform on the festival stage: the National Radio Orchestra, the Radio Chamber Orchestra, the Radio Academic Choir, and the Radio Childrens Choir.


  • THE WEEK IN REVIEW

    THE WEEK IN REVIEW

    Fiscal reform by the Bucharest Government


    The Bucharest government will assume responsibility in Parliament for the package of laws aimed at reforming the state apparatus, at fiscal balancing measures, and at combating tax evasion. Prime Minister Marcel Ciolacu declared that Romania needs a fair tax system for everyone. Budgetary waste, evasion and evasion of cumulative taxes are the brakes that hold Romania’s development in place – said the prime minister, who added that the discussions over the last few weeks have clearly shown that the country needs deep reforms. On the other hand, finance ministry employees organized, on Thursday, new spontaneous protests in several cities in the country, only two days after the warning strike. Trade unionists from the Fiscal Administration request the preservation of jobs and wages, and their special status. They are dissatisfied with the measures proposed by the Executive to reduce budget expenses, given that they could affect over 22,000 people in the system.




    Romania supports Ukraine


    The President of Romania, Klaus Iohannis, sent, on Thursday, a congratulatory letter to his counterpart from Kiev, Volodymyr Zelenskyy, on the anniversary of Ukraine’s Independence Day. According to the presidential administration, the head of state expressed his appreciation for the valiance shown by the Ukrainian people in defending independence, sovereignty and territorial integrity in the face of Russian aggression. Prime Minister Marcel Ciolacu also conveyed, in his own message to the Ukrainian neighbors, his best thoughts and full support from Romania for regaining peace and freedom. We will be with Ukraine and the Ukrainian people until victory and the restoration of territorial integrity is achieved, and even further, in the process of rebuilding the country, assured the Romanian official. In an online statement, within the third Summit of the Crimean International Platform, the Romanian Minister of Foreign Affairs, Luminița Odobescu, stated that Bucharest will continue to support Ukraine in its courageous struggle to fully recover its territorial integrity. The recent reckless attacks on the Ukrainian ports on the Danube, very close to the border with Romania, show, once again, Russia’s desire to amplify this conflict, said Luminița Odobescu. She also highlighted that Bucharest stood with the neighboring country from the first day of the war, and will continue to do so, until what she called the final victory.




    The Romanian Minister of the Interior, Cătălin Predoiu, met in Vienna with his Austrian counterpart, Gerhard Karner


    The Romanian Minister of the Interior, Cătălin Predoiu, declared, on Wednesday, in Vienna, at the end of a meeting with his Austrian counterpart, Gerhard Karner, that the ambition of the ministry he leads is to make Romania a standard for border protection. The Romanian official announced the signing of a Dublin administrative agreement that simplifies asylum procedures. He emphasized that the discussions being held represent a very good start for a building road on all topics of interest. Predoiu also showed that migration is a serious subject, treated as such in Romania. For his part, the Austrian Minister of the Interior declared that the cooperation model agreed with Romania in the field of combating cross-border crime related to migrant trafficking should also be promoted at the European level. According to him, the cross-border collaboration also shows special results within an action carried out by the authorities in Romania, Hungary, and Austria. We recall that Austria is the only country that opposes Romania’s admission to the European Schengen free movement area, although the latter fulfills all the necessary conditions – a fact recognized by the other EU member states and community institutions. The Schengen system, as a whole, does not work, Gerhard Karner reiterated on Wednesday, who also stated that he does not consider that an expansion is opportune at the present time.



    Chiefs of the Police from Constanța County were relieved of their duties upon request


    The Romanian Minister of the Interior, Cătălin Predoiu, stated that four police chiefs from Constanța county (south-east) were relieved of their duties upon their own request. This follows the road accident in which a 19-year-old young man, who was driving under the influence of several drugs, killed two people and injured three. The driver had been stopped in traffic by the police three hours before the accident, but they let him go without subjecting him to a test for consumption of controlled substances. Moreover, drugs were found on him, and his unusual behavior in traffic had been reported by a citizen to the emergency line 112. On the other hand, traffic police reacted to the weekend accident in Constanţa county by conducting raids at the national level. The purpose is to detect drivers under the influence of controlled substances or alcoholic beverages. The Judicial Inspection service is also going through the cases in which investigations are carried out for the possession of controlled substances and crimes committed under their influence, all in the context of the tragedy caused by the intoxicated driver.




    Romanian firefighters in the fight with the indemnities from Greece


    The Romanian firefighters on mission in Greece were requested to take part in a mission to extinguish a fire affecting the dry vegetation near the highway to Alexandroupolis. According to a press release from the General Inspectorate for Emergency Situations in Bucharest, more than 50 people were mobilized, with ten fire trucks. The situation of forest fires in Greece is also monitored from space through the European Copernicus satellite program.



    Romanian football teams in the Europa Conference League play-offs


    Romania’s football champion, Farul Constanţa (south-east), defeated, on Thursday evening at home, Finnish team HJK Helsinki with a score of 2-1, in the first leg of the Europa Conference League football play-off. In the same stage of the competition, also on home ground, the winner of the Romanian Cup, Sepsi Sfântul Gheorghe (center), tied 2-all, with the Norwegian team Bodoe/Glimt. The return games will take place in a week.


  • THE WEEK IN REVIEW

    THE WEEK IN REVIEW

    The Romanian naval forces, an important role on NATOs eastern flank


    The Romanian Naval Forces contribute significantly to the improvement of regional, European and Euro-Atlantic security, and the missions carried out by allies and partners from NATO and the European Union to make the territorial waters and those of the world safer fully prove this fact. This is what President Klaus Iohannis declared on Tuesday, at the celebration for military sailors. For the second consecutive year, Navy Day was marked in the context of the Russian-Ukrainian conflict. The President stated that Romanias security has been strengthened and that efforts to strengthen the Alliances structures on the countrys territory, especially the NATO battle group established in 2022, will be continued. For his part, Prime Minister Marcel Ciolacu promised that the executive will maintain the budget allocation of 2.5% of GDP for the armed forces, and will ensure the necessary resources for the endowment and modernization of the Naval Forces. Former head of the General Staff, Nicolae Ciucă, now president of the Senate, said that the Black Sea area has become an area of great strategic relevance for the North Atlantic partners. The security of these waters ensures the stability of the entire region and turns Romania into an important security provider, Nicolae Ciucă believes. In the opinion of the Minister of Defense, Angel Tîlvăr, the war in Ukraine shows how important it is for Romania, a country with access to the Black Sea, to have the capabilities to protect its territorial waters and exclusive economic zone. Minister of the Interior, Cătălin Predoiu, stated that, from the position of a border country of the European Union and the North Atlantic Alliance, Romania fulfills its responsibilities as a member of these key organizations for the prosperity and security of the country .



    Ukrainian civilian targets near Romania, targets of Russian attacks


    The structures of the Ministry of Defense that ensure the monitoring of the airspace have not identified threats of a military nature to the national territory or the territorial waters of Romania. The information from the ministry in Bucharest was likely to calm the population after the drone attacks carried out in the middle of this week by the Russian army on the infrastructure in the Ukrainian Danube ports of Ismail and Reni, located near the borders of Romania. The explosions were also heard as far as the Romanian river port of Galati (south-east). The Ministry announced that it has strengthened the vigilance measures established according to national and allied plans, and constantly monitors the national land, sea, and air space in cooperation with NATO structures, acting to strengthen the defense on the entire Eastern Flan, and to deter any aggression against allied territory. At the same time, the Ministry of Defense strongly condemns the attacks repeatedly carried out by Russia against the areas inhabited by the civilian population and elements of the critical infrastructure of Ukraine, and reaffirms that the war of aggression launched by Moscow represents a flagrant violation of international law. Foreign Minister Luminiţa Odobescu condemned in firm terms Russias repeated attacks on innocent people and civilian infrastructure, including the grain silos in the Ukrainian ports of Reni and Ismail. Through these flagrant violations of international law, Russia continues to endanger global food security and the safety of navigation in the Black Sea, Luminiţa Odobescu wrote on Twitter. The ports of Ismail and Reni have become the main exit route for Ukrainian grain, after Russia withdrew from the UN-backed agreement that ensured safe transport on the Black Sea.



    Economic data and forecasts, plus a warning


    The National Institute of Statistics announced that the Gross Domestic Product of Romania increased by 0.9% in the second quarter, compared to the previous quarter, and in the first semester it increased by 1.7% compared to the first semester of last year. The National Strategy and Forecast Commission maintains, moreover, the economic growth forecast for 2023 at 2.8%, as it estimated in the spring version, but for 2024 it reduced it from 4.8% to 4.2% . The downward revision of GDP dynamics was based on the slow recovery process of the industrial sector in the conditions of maintaining uncertainty regarding the evolution of the conflict on Romanias border. The World Bank recently maintained at 2.6% the estimates regarding the growth of the Romanian economy this year, while the International Monetary Fund indicated a GDP advance of 2.4%. In the spring, the European Commission improved the estimates regarding the growth of Romanias GDP this year and next year, and, according to the new forecasts, the economy would register an increase of 3.2% in 2023 and 3.5% in 2024. On the other hand, the Fiscal Council revised upward the budget deficit projection for the current year, estimating that it will probably exceed 6% of GDP, in the absence of measures to correct the budget slippage. According to the institutions Annual Report, the fiscal-budgetary consolidation process calls for a significant increase in fiscal revenues, which are at an inadmissably low level in relation to the needs of Romania and the other EU member states. It is necessary, says the Fiscal Council, to remove the exceptions from the current legislation and increase the efficiency of collection by discouraging tax optimization and reducing evasion.




    Two Romanian football teams in the Europa Conference League play-off


    The Romanian soccer champion, Farul Constanţa (southeast), and the Cup holder, Sepsi Sfântul Gheorghe (center), qualified for the Europa Conference League play-off. In the middle of the week, Farul also won the return leg against the Flora Tallinn team from Estonia, and the Covasna team defeated Aktobe in Kazakhstan, after they had tied in Sfântu Gheorghe. Two northern teams will be the opponents of the Romanians in the play-off: HJK Helsinki (Finland), for Farul and FK Bodoe/Glimt (Norway) for Sepsi. Another Nordic team, FC Nordsjaelland, from Denmark, blocked the way of the vice-champion FCSB (Bucharest) to the Europa Conference League play-off.


  • THE WEEK IN REVIEW

    THE WEEK IN REVIEW

    August 10 five years after


    Civic associations in Romania organized, on Thursday, a protest in front of the government headquarters to demand the urgent trial of the gendarmes guilty of the violence at the anti-government rally of August 10, 2018, considering that there are only three years left until the statute of limitations runs out, and the guilty could get away without punishment. On Tuesday, the General Prosecutor’s Office announced, five years after the day of the violence, the indictment of 16 gendarme officers and non-commissioned officers, including the heads of the intervention corps at the time at the protest in Bucharest. According to the indictment drawn up by the military prosecutors, the forceful intervention of the gendarmes against the entire mass of protesters in front of the government headquarters was illegal and unjustified. At the same time, the use by law enforcement of some devices can be considered inhumane and degrading treatment. The document notes that there were several incidents between some protesters and the law enforcement forces as a result of which military gendarmes and demonstrators were injured, suffering various injuries, some of which required medical attention, but the situation on the ground did not at any time justify the forceful intervention on the entire mass of protesters. The military prosecutors state that the vast majority of protesters were demonstrating peacefully, among them women, children and elderly people.



    BNR report on inflation


    The National Bank of Romania announces that it expects a slightly higher inflation towards the end of this year than it anticipated a few months before – 7.5%, compared to 7.1%. The governor of the National Bank of Romania, Mugur Isărescu, said that both economic growth and consumption show signs of slowing down. Mugur Isărescu:


    ‘We have economic growth, but significantly weakened for this year, compared to what we thought would happen at the beginning of the year. We have an increase in the annual rate of consumption by the population in the first quarter. This slightly surprised us too. We had an increase in consumption coming from incomes, but we are observing a softening of consumption. This attenuation is extremely visible, it is probably also related to term deposits by the population. They increased significantly during this period, categorically also due to higher interest rates, therefore, lower consumption, higher savings.’


    Mugur Isărescu also said that Romania should have an economic growth based less on consumption and more on investments, and attracting European funds is essential from this point of view. However, the NBR official adds, the central bank’s forecast is influenced by uncertainties, and one of them is the tax program that the PSD-PNL governing coalition is considering. It mainly announces spending cuts in the budget, and excise duties on vices and assures that it will not come up with new taxes.



    Energy price – capped


    Energy prices will be capped this winter, as happened last season – the Romanian Prime Minister, Marcel Ciolacu, assured on Thursday. He asked the relevant ministries to prepare in time for the coming winter and, above all, to ensure that they will supply the population with energy at capped prices. The Ministry of Energy must draw up, as soon as possible, the program for the winter, and submit it to the executive. In addition, in Thursday’s government meeting, a normative act was adopted that settles some payments to energy suppliers, so that the system continues to function well. We recall that the pressures that appeared on the energy market in 2021 and 2022, mainly as a result of Russia’s war against Ukraine, generated an accelerated increase in prices, and led to the implementation of specific measures in most European countries, mainly for consumer protection. In Romania, an emergency ordinance adopted by the government announces capped prices between January 1, 2023 and March 31, 2025, as well as partial compensation by the state for electricity and natural gas bills. It should also be noted that, also on Thursday, the executive in Bucharest adopted a normative act that provides that the holders of foreign driving licenses will be able to exchange these documents with the Romanian equivalent directly, after taking the exam in Romania, without the need for the hours of driving school, as it was planned until now.



    The Romanian kidnapped in Africa in 2015 is in the country


    Iulian Gherguţ, the Romanian kidnapped in Burkina Faso in 2015, has been released and is now safe in the country, announced the Ministry of Foreign Affairs. He was the oldest hostage in the Sahel, in Africa. He was 39, and a security officer at a manganese mine in northern Burkina Faso, close to the border with Niger and Mali, when he was kidnapped in April 2015 by a terrorist group. The MFA then created a crisis cell, but communicated very little about the progress made towards his release. According to the French publication La Croix, his kidnapping was the first terrorist act committed on the territory of Burkina Faso, marking the country’s entry into a long cycle of violence and jihadist attacks that have now spread over most of the territory.



    A win and two draws for Romanian football teams


    Romania’s football champion, Farul Constanța (south-east), won 3-0 the match played on Thursday evening, at home, against Flora Tallinn from Estonia, in the first leg of the third preliminary round of the UEFA Conference League. In the same phase of the competition, vice-champions FCSB ended the match played in Bucharest with the Danes from FC Nordsjaelland in a draw, 0-0, and the winner of the Romanian Cup, Sepsi OSK Sfântu Gheorghe (center), ended the game 1-1 on the field own against FC Aktobe from Kazakhstan. The decisive games will take place next week.


  • THE WEEK IN REVIEW

    THE WEEK IN REVIEW

    Romanian gas extraction from Neptun Deep getting closer


    The final development plan for the Domino and Pelican Sud commercial deposits in the Romanian Neptun Deep perimeter in the Black Sea was confirmed, on Thursday, by the National Agency for Mineral Resources. The announcement was made by OMV Petrom and Romgaz, the Austrian and Romanian companies that exploit natural gas from the mentioned perimeter. As a result, the Neptun Deep project enters the development phase, which involves both the awarding of contracts and the execution of drilling activities and the construction of the infrastructure necessary for the extraction of natural gas. OMV Petrom and Romgaz will invest up to 4 billion euros for the development phase of the Neptun Deep project, which will generate a production of about 100 billion cubic meters of natural gas, with the start of production estimated for 2027. The Neptun Deep perimeter has an area of 7,500 sq km, and is located at a distance of about 160 km from the shore, in waters with depths between 100 and 1,000 meters. Exploration of the perimeter was accelerated in 2008, and the first gas finding took place in 2012.




    Romania and the war in Ukraine


    The Ministry of Foreign Affairs in Bucharest confirmed that the ad-interim charge daffaires at the Romanian Embassy in Moscow was summoned by the Russian authorities, in order to inform them that they are introducing identical quotas regarding the number of diplomatic and technical-administrative staff of Romania in Russia, in mirror with the recent decision of the Romanian authorities by which the number of staff of the Russian Embassy in Bucharest was limited. The entire responsibility for adopting measures to reduce the number of Russian diplomatic agents and technical-administrative officials belongs exclusively to the Russian side, given the continuation of the illegal war of aggression in Ukraine and the increase in security risks in the Black Sea region – stated the Romanian Ministry of Foreign Affairs. On the other hand, the Russian army attacked, once again, the Ukrainian ports of Reni and Izmail on the Danube. Izmail is located just a few hundred meters from Romania. President Klaus Iohannis spoke of war crimes, and the Ministry of Defense reported that, following assessments, no direct military threats to Romanias territory or its territorial waters were identified. Russias attacks come after it pulled out of an agreement that allowed Ukrainian grain to be exported safely across the Black Sea. However, traffic on the Danube is the last route by which Ukraine can export its grain by water, and Romania is trying to eliminate the congestion on the river generated by Moscows decision. The data shows that, at present, the Danube and the mouths of the river are congested with ships trying to enter or leave Ukrainian ports.




    A new Forestry Code in Romania


    In Romania, a new Forestry Code was launched for public debate on August 1. The forested areas where deforestation will be prohibited would increase approximately 10 times, and the vehicles that illegally transport wood material would be confiscated. The authorities stated that, at the present time, complete deforestation is prohibited on approximately 5% of Romanias forested area, and, through the draft of the new Forestry Code, this prohibition will apply to an area of almost 50%. Based on the new Code, the state will also be able to undertake the reforestation of lands that were previously deforested and later abandoned by the owners. With the adoption of this draft law, the Penal Code will also be amended, which will punish with up to five years imprisonment false statements regarding the transportation of wood materials.




    ʹRabla Localʹ is a success


    This week, the ʹRabla Localʹ program started in Romania, through which individuals can scrap their car older than 15 years in exchange for 3 thousand lei (about 600 euros), without being obligated to buy a new one. 80% of the money is paid from the State budget, and 20% from local budgets. 500 town halls were registered in the program, and the total amount allocated is 240 million lei (48 million euros). People can sign up until August 31, or until the program runs out of money. It didnt even start, however, that ʹRabla Localʹ reached its objective — according to the Minister of the Environment, Mircea Fechet, according to which there are already localities that have exhausted the allocated funds. The other two existing programs in Romania — ʹRabla Clasicʹ and ʹRabla Plusʹ — also enjoy major interest and register significant increases compared to last year — said the president of the Environmental Fund Administration, Laurenţiu Neculaescu. The data so far shows a 25% increase in registrations of new cars with internal combustion engines and a 57% increase in electric ones, while the import of used cars has decreased by 21%.



    UNTOLD 2023


    The biggest and most anticipated music festival of the year in Romania, but also one of the most popular internationally, debuted on Thursday in Cluj-Napoca (north-west). Between August 3 and 6, at UNTOLD, now in its 8th edition, more than 400,000 people are expected. About 250 top national and international artists were invited to perform on eight stages. Among them — the band Imagine Dragons, for the first time in Romania, David Guetta, Armin Van Buuren, Bebe Rexha, Ava Max, Martin Garrix, Steve Aoki or Salvatore Ganacci. UNTOLD 2023 expects revenues of around 80 million euros.

  • THE WEEK IN REVIEW

    THE WEEK IN REVIEW

    Romania – heat wave and storms


    Romania faced extreme weather phenomena this week, Wednesday being the most difficult: while the south, southeast and east of the country were under red, orange and yellow heat wave warnings, with temperatures exceeding 40 degrees Celsius, in some counties from other regions there were code red alerts for showers, hail, and storms. The bad weather also caused casualties: on Transalpina, in the center of the country, a woman died after a tree uprooted by strong gusts fell on the car she was in, and in Botoşani (northeast), two brothers died in an open field struck by lightning. In Harghita county (center), railway traffic was blocked after several trees fell on a railway. The storm also damaged the roof of the swimming pool in the county seat, Miercurea Ciuc municipality. The day before, the roof of the Oradea University Library had been blown away, and photovoltaic panels were scattered onto the sidewalks. Tens of thousands of consumers were left without electricity. Several localities in Iasi County (east) were left without drinking water, and the Port of Constanţa (southeast, on the Black Sea) was closed due to strong winds. Rescuers also intervened in Tulcea county, also from the southeast, to evacuate people stuck in cars after a flood that covered the road. More Romanian firefighters are helping, these days, to put out the fires in Greece.




    Russian attack near Romania


    The war unleashed by the Russians in Ukraine came, this week, very close to Romania. For the first time since the beginning of the confrontation, Russia attacked, on Monday, at dawn, two Ukrainian ports on the Danube, destroying grain silos and injuring several people. One of the attacked ports, Reni, is very close to Romania, about 20 km, and the Bucharest authorities strongly condemned Moscow for attacking the Danube ports. The attacks come as the Danube is one of the alternative routes for the transport of grain from Ukraine, after Russia withdrew from the agreement that allowed for the safe navigation of ships loaded with Ukrainian agricultural products on the Black Sea. In Bucharest, the Ministry of Defense gave assurances that, at this moment, there is no direct military threat to the national territory or the territorial waters of Romania. The Minister of Foreign Affairs, Luminiţa Odobescu, declared that Romania, as a member of NATO and the European Union, has the most important and solid security guarantees in its entire history. She had a phone conversation with US Secretary of State Antony Blinken, together with whom she condemned Moscows recent attacks on Ukrainian civilians and river and maritime infrastructure, as well as the cynical way in which the Russian Federation affects global food security.




    Financial data regarding Romania


    Romanias budget deficit reached 2.34% of the Gross Domestic Product in the middle of this year, which represents an increase of over half a percent compared to the similar period in 2022. Revenues were 12% higher, but expenses had an advance of 16.5 percent. According to the data presented by the Ministry of Finance, a significant positive evolution is recorded in the category of investments, where the increase is over 56%. The deficit target for the end of this year is 4.4%, and the Executive is preparing a fiscal package to reach it. Some tax increases and the elimination of some benefits were discussed as proposals, as well as the abolition of more than 200,000 unoccupied budget positions, in parallel with the reduction of expenses in the ministries. The elimination of several exceptions from the payment of the health contribution in sectors such as IT, construction, and agriculture is taken into account, but also the maintenance of only two VAT rates, one of 9% and another of 19%.




    The national plan to prevent and combat cancer in Romania


    The Bucharest executive has adopted the National Plan to prevent and combat cancer in Romania, which will be applied in stages over the next 5 years. The new program favors patients quick access to preventive measures, diagnosis, and treatment and, last but not least, to palliative services. The Minister of Health, Alexandru Rafila, declared that investments will be made in the field of oncology, and the services that patients will benefit from will be settled in full, including advanced radiotherapy. The government will also develop a fund for innovation, the main beneficiaries being oncology patients. On the other hand, the representatives of the Federation of Associations of Cancer Patients criticized the lack of methodological rules for the application of this plan, without which, they say, it is not known how long it will take from diagnosis to when actual treatment begins. In this context, they stated that they intend to take the Ministry of Health to court.




    Medals for Romania at the Fukuoka World Swimming Championships


    Romanian athletes Constantin Popovici and Cătălin Petru Preda won, on Thursday, the first medals, gold and silver, for the Romanian delegation at the 2023 World Swimming Championships in Fukuoka (Japan), after they placed first in the high dive competition (27 meters). Popovici, 34 years old, became Romanias first world high dive champion. At the competition in Japan, Romanian swimmer David Popovici (18 years old), world champion in 2022 in the 100 and 200 m freestyle event, did not manage to get any medal.


  • THE WEEK IN REVIEW

    THE WEEK IN REVIEW

    Heat wave


    The heatwave has also affected Romania and persisted all week, without, however, having the intensity of the wave that affected the south of the continent. Temperatures reached 40 degrees, especially in the south and west, thermal discomfort was high, and the temperature-humidity index exceeded the critical threshold of 80 units. In many cities, town halls set up spaces in congested areas where people could cool off, and took measures to make functional water fountains and air conditioning systems in public transport. Road transportation was restricted to heavy vehicles on certain road sectors. Rail transport was also affected. The extremely high temperatures and human negligence favored the occurrence of vegetation fires, but of dimensions that made them controllable. In several areas of the country, the excessive heat alternated with storms and blizzards.




    Replacements for two ministers of the Ciolacu cabinet


    The political temperature dropped further after the PSD, part of the governing coalition, nominated the replacements of the two ministers who had resigned amid the scandal related to social centers where degrading treatments and lack of empathy for patients was the rule. Deputy Natalia Intotero replaced Gabriela Firea at the Ministry of Family, Youth and Equal Opportunities, and another social-democratic deputy, Simona Bucura-Oprescu, took over the Ministry of Labor from Marius Budai. Prime Minister Marcel Ciolacu, who had warned that there would be dismissals everywhere where irregularities were discovered regarding residential centers for the elderly, asked the new head of the Ministry of Labor to suspend the heads of social assistance departments from 7 counties and the capital Bucharest. He admitted that, although they are necessary, dismissals and resignations only solve part of the problem, which is why the other essential part follows, the amendment of legislation regarding the accreditation, licensing, monitoring, and control of these centers. On the other hand, dissatisfied that his party is paying, alone, the political costs of the scandal, PSD spokesman Lucian Romaşcanu said that the resignation of the current Minister of Culture, Liberal Raluca Turcan, would also be necessary, because she endorsed the so-called asylums of horror when he was in charge of the Ministry of Labor. Ms. Turcan replied that, at the time of approval, everything was in order, and signing the accreditation is an administrative requirement and an obligation, if the conditions provided for by law are met.




    Romanian Aviation Day and training for Ukrainian pilots


    Training of Ukrainian pilots on F-16 aircraft could begin in Romania at the end of August. The announcement, in fact a confirmation of information that has emerged recently, was made by President Klaus Iohannis. The head of state specified that it is an important and long-lasting project, which must be well prepared in order to prove a success. Aviation Day and Romanian Air Force Day was observed during the week of the announcement. They represent a modern and important component of the Romanian Army, as a means of responding to the military security challenges in the Black Sea region and on the entire Eastern Flank, and the actions carried out by military aviators, together with other soldiers, contribute significantly to the consolidation of the countrys profile at the regional and Euro-Atlantic level, emphasized President Iohannis. According to the head of state, the allocation of 2.5% of the GDP for defense, starting this year, will allow the development of major projects to equip the Air Force and significantly improve the conditions for the execution of combat missions, such as the addition of F-16 aircraft, which make the transition to the F-35 platform.




    John Malkovich on stage in Timisoara


    The famous American actor John Malkovich took to the stage of the National Theater in Timişoara on Thursday and Friday, in performances with the play “Infernal Comedy”, an absolute premiere for the city and a peak moment of the European Capital of Culture. Infernal Comedy is a show that its author, the Austrian Michael Sturminger, who also signs the artistic direction, wrote especially for Malkovich, building a dialogue between spoken and sung language. The sound universe is punctuated by the music of Vivaldi, Mozart, Beethoven, Haydn, Weber, Gluck and Boccherini. “Infernal comedy” has been played in over 150 theaters around the world, in countries on three continents. A double Oscar, Golden Globe, and BAFTA nominee, John Malkovich has starred in numerous films with worldwide impact. His character in Con Air, Cyrus The Virus, is known as one of the most impressive negative characters in the cinema of the second half of the 20th century.




    Romanian football adrift


    The holder of the title in Romania, Farul Constanţa (south-east) was eliminated from the preliminaries of the Football Champions League by Sheriff Tiraspol, the champion of the Republic of Moldova. The latter prevailed on home ground 3-0, in the second leg of the first preliminary round, after losing the first leg 1-0. Against Sheriff, we were the worst version of ourselves, said Faruls coach, Gheorghe Hagi. Last year, the champion CFR Cluj (north-west), was eliminated in the same stage by a quasi-anonymous team from Armenia. Unable to put forward squads to even face confrontations with no-name teams from the east of the continent, Romanian football is currently its weakest version in history. Farul Constanţa, along with CFR Cluj, Sepsi Sfântu Gheorghe (center) and FCSB (Bucharest), will now try to get a place in the groups of the last important continental competition, the Conference League.


  • THE WEEK IN REVIEW

    THE WEEK IN REVIEW

    President Klaus Iohannis attends NATO summit


    Romania fulfilled its objectives set for the NATO summit in Vilnius, where a decisive step was made towards further consolidating the Alliance, said president Klaus Iohannis after NATO’s annual summit. He recalled that the adoption of the new defence plans provides the highest level of security for the Eastern Flank at the Black Sea, and said the Alliance has an answer to any security threat that Bucharest may face. He thanked all allies present in Romania for their contributions. Klaus Iohannis:


    “We made sure the framework was in place for expanding the battle groups, including that based in Romania, at brigade level, by means of reinforcement troops, if necessary. Also, we will step up the processes related to the pre-positioning of equipment. I thanked all allies present in Romania for their contributions and welcomed Spain’s decision to deploy troops to Romania.”


    The Romanian president also reiterated the need for NATO to provide consolidated support for its vulnerable partners, in particular the Republic of Moldova (an ex-Soviet state with a majority Romanian-speaking population). He announced further financial assistance for Chişinău which Romania will transfer to the NATO voluntary fund for this state. Speaking about the war in the neighbouring Ukraine, Klaus Iohannis supported the materialisation as soon as possible of Ukraine’s Euro-Atlantic ambitions and underlined that Romania, alongside the other member states, would provide support for Ukraine as long as necessary, until it wins the war. NATO deputy secretary general Mircea Geoană also said that as far as Romania was concerned, the most important decision taken at the NATO summit in Vilnius was that related to the new generation of defence plans for allied territory, representing a strong element of deterrence when it comes to different types of threats, including Russia.



    The European Parliament supports Romania’s Schengen entry


    The European Parliament on Wednesday adopted a resolution based on a petition submitted by Romanian civil society asking that the legality of Austria’s veto against Romania’s Schengen membership be contested. The resolution was adopted with 526 votes in favour, 57 votes against and 42 abstaining. The resolution calls on the Commission to estimate the opportunity costs incurred by Romania and Bulgaria and analyse possible options for financial compensation. In December last year, the Justice and Home Affairs Council did not adopt a unanimous decision on the two countries’ entry into the Schengen area because of the opposition of Austria and The Netherlands. Austrian chancellor Karl Nehammer explained the move by mentioning the illegal migrants reaching his country, many of whom he said came via Romania and Bulgaria, something which the Romanian authorities contradicted. The Netherlands said it supported the accession of Romania, but not together with Bulgaria.



    Abuses in asylums in Romania

    Dozens of nursing homes for the elderly, people with disabilities and children have been closed or shut down, or had their activity suspended, and received fines after extensive checks that took place throughout Romania this week at residential social centers. The authorities announced that numerous irregularities were found, hostels that operated illegally, and several criminal cases were filed for crimes against individuals, or crimes of an economic nature. Everything takes place in the context of the scandal caused by the situation of some homes for the elderly in Ilfov county, near Bucharest, where the prosecutors found inhumane conditions in which the residents were kept. Several people were detained for 30 days in this case, others are under house arrest or are under judicial supervision. President Klaus Iohannis described the situation in the centers for vulnerable people as a national shame, and said that all those guilty of the ill-treatment applied in the so-called asylums of horror must pay. All care centers for children or for the elderly, state and private, will be reviewed, and all their operating authorizations will be re-analyzed – Prime Minister Marcel Ciolacu stated, after several meetings with ministers and officials in the field. Marcel Ciolacu appealed to all the religious denominations in Romania, as well as to NGOs, to get involved on a social level. Marcel Ciolacu:


    “The deeds perpetrated in these asylums of horror showed us a total lack of humanity in some people, whom I cannot call people. The system must be changed. It is inadmissible to have so many control institutions, which pass the blame each other. The entire authorization, monitoring and control system must be redesigned. I am firmly convinced that, in the next session, together with all the social partners, all the legislative changes will be made in this regard”.


    The heads of several institutions in the field were dismissed, at the request of the Prime Minister, and the Minister of Labor, Marius Budai, resigned from his position due to the accusations regarding his responsibility in this case, and the investigations made by DIICOT and DNA. USR, in the opposition, notified the European Commission regarding the asylums in Ilfov county, and requested the activation of the Unions mechanisms that could compel respect for human rights, but also respect for the rights of persons with disabilities.




    Hidroelectrica Company listed on the Stock Exchange

    The main electricity producer in Romania – Hidroelectrica – was listed on the Bucharest Stock Exchange on Wednesday. On its first day of listing, it successfully concluded the largest public offering ever made on the Bucharest Stock Exchange and the largest in Europe, as well as the third in the world this year. The moment was described as historic by Prime Minister Marcel Ciolacu, who stated that the state will retain its 80% stake in full, and Romanian citizens and other institutional investors will be able to become shareholders in the most valuable company in Romania. The market value of Hidroelectrica is estimated at 50 billion lei (10 billion euros). The company produces and supplies electricity that it generates through the 187 hydropower plants and micro-power plants it manages, as well as from the wind energy segment.


  • The Week in Review 9-15 July

    The Week in Review 9-15 July


    President
    Klaus Iohannis attends NATO summit


    Romania
    fulfilled its objectives set for the NATO summit in Vilnius, where a
    decisive step was made towards further consolidating the Alliance,
    said president Klaus Iohannis after NATO’s annual summit. He
    recalled that the adoption of the new defence plans provides the
    highest level of security for the Eastern Flank at the Black Sea and
    said the Alliance has an answer to any security threat that Bucharest
    may face. He thanked all allies present in Romania for their
    contributions. Klaus Iohannis:

    We made sure the framework was in place for expanding the battle
    groups, including that based in Romania, at brigade level, by means
    of reinforcement troops, if necessary. Also, we will step up the
    processes related to the pre-positioning of equipment. I thanked all
    allies present in Romania for their contributions and welcomed
    Spain’s decision to deploy troops to Romania.


    The
    Romanian president also reiterated the need for NATO to provide
    consolidated support for its vulnerable partners, in particular the
    Republic of Moldova (an ex-Soviet state with a majority
    Romanian-speaking population). He announced further financial
    assistance for Chişinău which Romania will transfer to the NATO
    voluntary fund for this state. Speaking about the war in the
    neighbouring Ukraine, Klaus Iohannis supported the materialisation
    as soon as possible of Ukraine’s Euro-Atlantic ambitions and
    underlined that Romania, alongside the other member states, would
    provide support for Ukraine as long as necessary, until it wins the
    war. NATO deputy secretary general Mircea Geoană also said that as
    far as Romania was concerned, the most important decision taken at
    the NATO summit in Vilnius was that related to the new generation of
    defence plans for allied territory, representing a strong element of
    deterrence when it comes to different types of threats, including
    Russia.


    The
    European Parliament supports Romania’s Schengen entry

    The
    European Parliament on Wednesday adopted a resolution based on a
    petition submitted by Romanian civil society asking that the legality
    of Austria’s veto against Romania’s
    Schengen membership be contested. The resolution was adopted with 526
    votes in favour, 57 votes against and 42 abstaining. The
    resolution calls on the Commission to estimate the opportunity costs
    incurred
    by
    Romania and Bulgaria and analyse possible options
    for financial
    compensation.

    In
    December last year, the Justice
    and Home Affairs Council did
    not adopt a unanimous decision on the two countries’ entry into the
    Schengen area because of the opposition of Austria and The
    Netherlands. Austrian chancellor Karl
    Nehammer explained the move by mentioning the illegal migrants
    reaching his country, many of whom he said came via Romania and
    Bulgaria, something which the Romanian authorities contradicted. The
    Netherlands said it supported the accession of Romania, but not
    together with Bulgaria.

  • The Week in Review 26.06 – 02.07.2023

    The Week in Review 26.06 – 02.07.2023

    Laws on sensitive topics adopted by Parliament



    The Romanian Parliament dedicated this past week of the ordinary session to some bills related, in one form or another, to pensions. On Monday, senators and deputies eliminated the special pensions granted to MPs, thus renouncing a privilege considered immoral by the press and public opinion. Two other sensitive laws were passed on Wednesday. One puts a ban on cumulating pensions with salaries in the public system but exempts from this ban exactly the local elected officials and parliamentarians, which makes the bill controversial. Other professional categories exempted from the rule are the teaching staff and the specialized medical staff, foster carers, as well as employees of the Romanian Academy, the National Bank of Romania and some national agencies. The law that aims to reform the special pensions, which are only partially based on the contribution from the active period and which benefit magistrates, the military, diplomats, parliamentary staff, the Court of Accounts staff or the aeronautics staff, also received a favorable final vote. However, the bill underwent major changes. Actually, the application of the reform was postponed by five years, so that, until 2028, prosecutors, judges and the military can retire under the same conditions as before. The retirement age will increase in stages, and magistrates will be required, in order to retire, to have at least 25 years of experience in the specialty. Pensions that exceed the average net income will be taxed by 15%. The opposition Save Romania Union – USR, which favors the total elimination of special pensions, voted against the bill, claiming that, after its adoption, there will be 210,000 special pensioners in Romania as before. The High Court of Cassation and Justice contested the constitutionality of the law on special pensions and the one on cumulating pensions and salaries in the public system. The reform of the special pensions is a milestone in the National Recovery and Resilience Plan.



    The National Recovery and Resilience Plan – PNRR, positive assessment



    With 49 milestones and targets met, out of a total of 51, Romania successfully passed the European Commission’s test regarding the second payment request submitted under the National Recovery and Resilience Plan, worth 3.22 billion Euros. The two milestones that were not met are related to energy investments, and because of failing to meet these two targets, Bucharest will lose approximately 53 million Euros. However, nothing is irreparable, because Romania still has 6 months to prove that the two pending milestones have been met. Prime Minister Marcel Ciolacu says that the Commission’s positive assessment encourages the government to work to meet the targets, and he promises that the two delayed milestones in the energy field will be quickly recovered. Romania benefits from an allocation of over 29 billion Euros for the implementation of the National Recovery and Resilience Plan and has already collected two pre-financing installments with a cumulative value of approximately 3.8 billion Euros.



    New European aid for farmers



    Romania will receive 30 million Euros from the European Commission as support for farmers affected by massive imports of cheap grains from Ukraine. It is the second aid package, and the money comes from the Union Reserve Fund. Of the five EU member states that have a border with Ukraine or are in its vicinity, Poland and Romania benefited from the largest aid packages: Poland, almost 40 million Euros and Romania 30 million Euros. Cumulatively, packages one and two bring Romanian farmers a support of 40 million Euros, and the Romanian Government has the Commission’s agreement to double it.



    Preparations ahead of the NATO summit in Vilnius



    Leaders of NATO member states and the NATO Secretary General Jens Stoltenberg convened in the Hague for a meeting focusing on the preparation of the upcoming allied Summit, to be held in Vilnius in mid-July. Romanias president Klaus Iohannis also participated in the event. In the Netherlands, Iohannis reiterated that Russia is and will still be the immediate and the most direct threat to Euro-Atlantic security. Consequently, he insisted that the allies will have to be capable and ready to strengthen their position even further and continue to give the required support to Ukraine and to the most vulnerable partners, the Republic of Moldova, in particular. Given its strategic position, Romania is especially interested in further strengthening the Alliances Eastern Flank, through a coherent and unitary approach, Klaus Iohannis also stated. This means, according to him, providing the required forces, structures, capabilities and equipment, as well as the appropriate command and control arrangements. As regards Ukraine, if, in Bucharest, in 2008, the Allies decided that it should become a NATO member state, in Vilnius that commitment will have to be carried further, Klaus Iohannis said.



    Culture and sport


    The headline-grabbing event of the week is the International Theatre Festival in Sibiu, which has now reached its 30th edition. Throughout the festival, the central Transylvanian town, still bearing the hallmark if its Saxon heritage, is literally sizzling. Thanks to the Radu Stanca theatre halls, the unconventional spaces, the churches, squares and medieval streets, Sibiu has yet again been the generous host of performing arts. Thousands of artists and hundreds of events literally galvanized the festival, held under the sign of the ‘Miracle, the theme picked for the recently-held edition.


    In sport, the headline-grabbing event this week has been the hearing of the Romanian tennis player Simona Halep by the court judging the doping charges pressed against Halep in October 2022. The past months have been long and costly for the career of the athlete who will be 32 in September. Halep no longer has a place among the worlds top 50 tennis players since she could no longer take part in tournaments. Halep, the former WTA number 1 and two-time winner of a Grand Slam tournament, will receive a final court ruling in July. (LS, EN)

  • The Week in Review

    The Week in Review

    Romanias Prime Minister, Marcel Ciolacu, and Foreign Minister, Luminița Odobescu, visited Chișinău



    Romania supports the start of EU accession negotiations for the Republic of Moldova as soon as possible, the Prime Minister Marcel Ciolacu said on Wednesday in Chişinău, on his first foreign visit since he took office. He emphasized that the future of the Republic of Moldova is in the community bloc. The Romanian side showed availability to provide expertise to the Moldovan partners. In his turn, the Moldovan Prime Minister Dorin Recean thanked Romania for all the support given to the Republic of Moldova in the process of joining the European Union, as well as in the economic and social fields. He emphasized that the relations on the two banks of the Prut River are increasingly being strengthened through the construction of bridges, roads and energy networks. Dorin Recean mentioned the existence of nine projects for the second installment of the aid provided by the Romanian Government. They are worth 28 million Euros and are aimed at investments for the development of localities in the Republic of Moldova, the Moldovan PM said. Early this week, the Romanian FM, Luminița Odobescu, paid a visit to the Republic of Moldova, her first external visit since taking-over her mandate. She was received by the pro-Western president Maia Sandu and had discussions with her counterpart Nicu Popescu. The two emphasized the support which Romania offered to the Republic of Moldova, consisting in humanitarian aid, energy resources and support for increasing resilience. Last but not least, the Romanian FM said that opening the EU accession negotiations for the Republic of Moldova in the shortest possible time is a priority of Romania’s foreign policy.



    Romanian magistrates protested, discontented with the prospect of being left without special pensions



    Magistrates from several courts and prosecutor’s offices across Romania suspended their activity on Wednesday, showing discontent with the Governments intention to change the conditions under which they can obtain special pensions. Judges and prosecutors argue that changing the special pension scheme would violate the independence of the judiciary. The ruling coalition made up of the Social Democratic Party – PSD and the National Liberal Party – PNL wants to gradually increase the retirement age for judges and prosecutors up to 65 years, and for the pension to be calculated based on their income from several years, not just from the last year of activity. The Justice Minister, Alina Gorghiu, said that she respects the magistrates’ right to free expression, but insisted that dialogue, not protest, is the solution to any problem of the judicial system. The reform of the legislative framework regarding the special pensions scheme is a promise made to the European Union by the Romanian authorities under the National Recovery and Resilience Plan. On the other hand, on Thursday, the draft law on the abolition of special pensions for senators and deputies received a favorable opinion, gathering a majority of votes, in the specialized Parliament committee. The president of the committee, the Social-Democratic MP Eugen Bejinariu explained that, if unconstitutional elements of the bill are identified, other solutions will be found to reduce or eliminate the special pensions of parliamentarians.



    Measures announced by the Romanian Government



    The prices of some basic food products may decrease in the next period, the Prime Minister Marcel Ciolacu announced on Thursday. He claims that this decrease will not put pressure on Romanian producers. Marcel Ciolacu stated that he received a response from the large store chains regarding the scheme for reducing markup percentages. It is a list that contains basic foodstuffs such as bread, dairy products, meat, eggs, flour, corn flour, oil, vegetables and fruit. Also on Thursday, the Government discussed, in a first reading, the state aid scheme for Romanian producers of construction materials. In principle, the authorities want more materials produced in the country to appear on the internal market at competitive prices, which will lead to a reduced import of construction materials. Now, over 70% of the materials used are imported, and the Government wants to reduce this percentage. This years budget for the aid scheme could be 150 million Euros, but the Finance Ministry will have the final say. The Executive also approved the granting of emergency aid to support the population affected by floods, landslides and dangerous meteorological phenomena, up to the amount of 1.4 million Euros. Households in the center, south-west and south of the country were affected, this month, by heavy rainfalls. The support and intervention of the military firefighters was needed to remove the negative effects generated by the bad weather.



    Development plan for gas deposits in the Romanian area of ​​the Black Sea



    OMV Petrom and Romgaz have approved the development plan for the Domino and Pelican Sud commercial natural gas fields in the Romanian area of ​​the Black Sea. The National Agency for Mineral Resources is to confirm this plan. The investment amounts to 4 billion Euros for the development phase, and the total production will be 100 billion cubic meters, the equivalent of the annual demand for natural gas for 4.3 million households. According to the management of OMV Petrom, in 2027, the first amounts of gas are to be extracted through the Neptun Deep project, and Romania will become the largest producer of natural gas in the European Union. The project will last approximately two decades, and the revenues brought to the state budget will support Romania’s development. OMV Petrom states that the estimated revenues of the Romanian state would be 20 billion Euros. (LS)

  • The Week in Review

    The Week in Review

    Romanias Prime Minister, Marcel Ciolacu, and Foreign Minister, Luminița Odobescu, visited Chișinău



    Romania supports the start of EU accession negotiations for the Republic of Moldova as soon as possible, the Prime Minister Marcel Ciolacu said on Wednesday in Chişinău, on his first foreign visit since he took office. He emphasized that the future of the Republic of Moldova is in the community bloc. The Romanian side showed availability to provide expertise to the Moldovan partners. In his turn, the Moldovan Prime Minister Dorin Recean thanked Romania for all the support given to the Republic of Moldova in the process of joining the European Union, as well as in the economic and social fields. He emphasized that the relations on the two banks of the Prut River are increasingly being strengthened through the construction of bridges, roads and energy networks. Dorin Recean mentioned the existence of nine projects for the second installment of the aid provided by the Romanian Government. They are worth 28 million Euros and are aimed at investments for the development of localities in the Republic of Moldova, the Moldovan PM said. Early this week, the Romanian FM, Luminița Odobescu, paid a visit to the Republic of Moldova, her first external visit since taking-over her mandate. She was received by the pro-Western president Maia Sandu and had discussions with her counterpart Nicu Popescu. The two emphasized the support which Romania offered to the Republic of Moldova, consisting in humanitarian aid, energy resources and support for increasing resilience. Last but not least, the Romanian FM said that opening the EU accession negotiations for the Republic of Moldova in the shortest possible time is a priority of Romania’s foreign policy.



    Romanian magistrates protested, discontented with the prospect of being left without special pensions



    Magistrates from several courts and prosecutor’s offices across Romania suspended their activity on Wednesday, showing discontent with the Governments intention to change the conditions under which they can obtain special pensions. Judges and prosecutors argue that changing the special pension scheme would violate the independence of the judiciary. The ruling coalition made up of the Social Democratic Party – PSD and the National Liberal Party – PNL wants to gradually increase the retirement age for judges and prosecutors up to 65 years, and for the pension to be calculated based on their income from several years, not just from the last year of activity. The Justice Minister, Alina Gorghiu, said that she respects the magistrates’ right to free expression, but insisted that dialogue, not protest, is the solution to any problem of the judicial system. The reform of the legislative framework regarding the special pensions scheme is a promise made to the European Union by the Romanian authorities under the National Recovery and Resilience Plan. On the other hand, on Thursday, the draft law on the abolition of special pensions for senators and deputies received a favorable opinion, gathering a majority of votes, in the specialized Parliament committee. The president of the committee, the Social-Democratic MP Eugen Bejinariu explained that, if unconstitutional elements of the bill are identified, other solutions will be found to reduce or eliminate the special pensions of parliamentarians.



    Measures announced by the Romanian Government



    The prices of some basic food products may decrease in the next period, the Prime Minister Marcel Ciolacu announced on Thursday. He claims that this decrease will not put pressure on Romanian producers. Marcel Ciolacu stated that he received a response from the large store chains regarding the scheme for reducing markup percentages. It is a list that contains basic foodstuffs such as bread, dairy products, meat, eggs, flour, corn flour, oil, vegetables and fruit. Also on Thursday, the Government discussed, in a first reading, the state aid scheme for Romanian producers of construction materials. In principle, the authorities want more materials produced in the country to appear on the internal market at competitive prices, which will lead to a reduced import of construction materials. Now, over 70% of the materials used are imported, and the Government wants to reduce this percentage. This years budget for the aid scheme could be 150 million Euros, but the Finance Ministry will have the final say. The Executive also approved the granting of emergency aid to support the population affected by floods, landslides and dangerous meteorological phenomena, up to the amount of 1.4 million Euros. Households in the center, south-west and south of the country were affected, this month, by heavy rainfalls. The support and intervention of the military firefighters was needed to remove the negative effects generated by the bad weather.



    Development plan for gas deposits in the Romanian area of ​​the Black Sea



    OMV Petrom and Romgaz have approved the development plan for the Domino and Pelican Sud commercial natural gas fields in the Romanian area of ​​the Black Sea. The National Agency for Mineral Resources is to confirm this plan. The investment amounts to 4 billion Euros for the development phase, and the total production will be 100 billion cubic meters, the equivalent of the annual demand for natural gas for 4.3 million households. According to the management of OMV Petrom, in 2027, the first amounts of gas are to be extracted through the Neptun Deep project, and Romania will become the largest producer of natural gas in the European Union. The project will last approximately two decades, and the revenues brought to the state budget will support Romania’s development. OMV Petrom states that the estimated revenues of the Romanian state would be 20 billion Euros. (LS)

  • THE WEEK IN REVIEW

    THE WEEK IN REVIEW

    Romania has a new prime minister



    Social-Democratic leader Marcel Ciolacu is the new prime minister of Romania after the resignation, on Monday, of Liberal Nicolae Ciucă. This moment has been expected since May, but postponed by the general strike in Education, and provided for in the agreement concluded between Liberals and Social Democrats as early as November 2021. The agreement provided that, after a year and a half in which the coalition cabinet is led by the PNL leader, he hands over the position to his Social-Democratic partner. His vision for Romania puts citizens and solving the problems they face at the center of public policies, Prime Minister Marcel Ciolacu said. Among the measures being considered are the fulfillment of the objectives assumed under the NPRR, the decrease in inflation, continued protection of vulnerable people, the gradual reduction of labor taxation, and a sizable increase in the minimum wage. Marcel Ciolacu:


    “These are normal measures, so that, by the end of this government’s mandate, any employee in Romania earns a minimum of 500 euros net, and on January 1, 2025 at the latest, the average earnings reach 1,000 euros net.


    The new cabinet is structured on 18 ministries, compared to 20 in the previous one, which are divided between the PSD and the PNL. The Social Democrats kept most of the ministers from the current executive. New names are at the Ministry of Agriculture, Florin Barbu, and at the Ministry of Digitization, Bogdan Ivan. The former finance minister, Adrian Câciu, took over the ministry of European Projects. The PNL team has Cătălin Predoiu in the positions of deputy prime minister and minister of the interior. The Finance Ministry is covered by Marcel Boloş. the Minister for Development is Adrian Veștea, and the Minister for Justice is Alina Gorghiu. Ligia Deca continues her term at the Ministry of Education, and the Ministry of Culture is headed by Raluca Turcan. UDMR is no longer part of the governing coalition. From the opposition, the USR claims that the government’s platform is unrealistic, and accuses PSD and PNL of not keeping the promises made at the time of taking over the government.




    The education strike gets suspended


    The government overturn became possible after the trade unionists in education announced the suspension of the strike, given that the vast majority of their demands were met. In this way, Romanian students returned to their desks on Tuesday for the remaining four days of this school year, after three weeks of a general strike in education. There were three major protests and rallies in front of the government building,and the presidency, where teachers demanded their rights. Following repeated negotiations between the union organizations and the representatives of the executive, it was established, through two emergency ordinances, an increase by approximately 25% in the salaries of teaching and non-teaching staff this month, the granting of an annual bonus, until 2027, of 1,500 lei (about 300 euros) for teaching staff and 500 lei (100 euros) for non-teaching staff. Also, the salaries of the starting teachers will be at the level of the average gross salary in the economy. In addition, the Government has promised to grant 50% of the difference between the salaries being paid and those in the new scale by the entry into force of the new salary law, starting on January 1, 2024. The decision to suspend the strike does not satisfy them, however, some of the Education employees who do not agree with the results of the negotiations, and would have wanted the protest to continue. With the suspension of the education strike, this school year has ended as established, and the calendar of national exams will be respected.




    Optimistic economic figures for Romania


    Inflation in Romania continued to decrease in May, as food, services, and non-food goods became more expensive. Data from the National Institute of Statistics show that the annual inflation reported in May 2023 decreased compared to the previous month, standing at 10.64%, from 11.23% in April. Analysts say that the decrease in inflation is an expected development, which encourages the economy to develop, and stimulates investments. However, experts add, it is possible that the data related to salary increases, also published by the NIS, may affect the forecasts regarding the evolution of inflation. According to the figures for April, average net earnings rose by an average of 15% compared to the corresponding month in 2022, meaning above the annual rate of inflation. Recently, the Institute announced that Romania’s economy grew by 2.3 percent in the first quarter, compared to the same period last year, with trade, IT, professional activities, and construction contributing to this rise. By contrast, industry had a negative contribution to the increase in GDP. According to estimates, economic growth will continue, albeit at a slower pace than last year, due to persistent inflation, tight financing conditions, and weaker economic growth recorded by Romania’s main trading partners. In the European context, the country is doing well, analysts say, considering that, according to Eurostat, it had the highest economic growth in the Union in the first quarter of the year, along with Spain, Cyprus and Malta.




    Romania has a new airport


    A charter aircraft of the national airline TAROM performed the inauguration flight for Ghimbav International Airport in Braşov (central Romania), on Thursday, the only one built from scratch in the country in the last 50 years. The new airport is also the first to have a control tower operated remotely, with the help of a number of video cameras. Brasov-Ghimbav International Airport is the third largest in the country. At first, it will fly to four destinations in Germany, and from August there will also be flights to London, Barcelona and Brussels.


  • THE WEEK IN REVIEW

    THE WEEK IN REVIEW

    Romania has a new prime minister



    Social-Democratic leader Marcel Ciolacu is the new prime minister of Romania after the resignation, on Monday, of Liberal Nicolae Ciucă. This moment has been expected since May, but postponed by the general strike in Education, and provided for in the agreement concluded between Liberals and Social Democrats as early as November 2021. The agreement provided that, after a year and a half in which the coalition cabinet is led by the PNL leader, he hands over the position to his Social-Democratic partner. His vision for Romania puts citizens and solving the problems they face at the center of public policies, Prime Minister Marcel Ciolacu said. Among the measures being considered are the fulfillment of the objectives assumed under the NPRR, the decrease in inflation, continued protection of vulnerable people, the gradual reduction of labor taxation, and a sizable increase in the minimum wage. Marcel Ciolacu:


    “These are normal measures, so that, by the end of this government’s mandate, any employee in Romania earns a minimum of 500 euros net, and on January 1, 2025 at the latest, the average earnings reach 1,000 euros net.


    The new cabinet is structured on 18 ministries, compared to 20 in the previous one, which are divided between the PSD and the PNL. The Social Democrats kept most of the ministers from the current executive. New names are at the Ministry of Agriculture, Florin Barbu, and at the Ministry of Digitization, Bogdan Ivan. The former finance minister, Adrian Câciu, took over the ministry of European Projects. The PNL team has Cătălin Predoiu in the positions of deputy prime minister and minister of the interior. The Finance Ministry is covered by Marcel Boloş. the Minister for Development is Adrian Veștea, and the Minister for Justice is Alina Gorghiu. Ligia Deca continues her term at the Ministry of Education, and the Ministry of Culture is headed by Raluca Turcan. UDMR is no longer part of the governing coalition. From the opposition, the USR claims that the government’s platform is unrealistic, and accuses PSD and PNL of not keeping the promises made at the time of taking over the government.




    The education strike gets suspended


    The government overturn became possible after the trade unionists in education announced the suspension of the strike, given that the vast majority of their demands were met. In this way, Romanian students returned to their desks on Tuesday for the remaining four days of this school year, after three weeks of a general strike in education. There were three major protests and rallies in front of the government building,and the presidency, where teachers demanded their rights. Following repeated negotiations between the union organizations and the representatives of the executive, it was established, through two emergency ordinances, an increase by approximately 25% in the salaries of teaching and non-teaching staff this month, the granting of an annual bonus, until 2027, of 1,500 lei (about 300 euros) for teaching staff and 500 lei (100 euros) for non-teaching staff. Also, the salaries of the starting teachers will be at the level of the average gross salary in the economy. In addition, the Government has promised to grant 50% of the difference between the salaries being paid and those in the new scale by the entry into force of the new salary law, starting on January 1, 2024. The decision to suspend the strike does not satisfy them, however, some of the Education employees who do not agree with the results of the negotiations, and would have wanted the protest to continue. With the suspension of the education strike, this school year has ended as established, and the calendar of national exams will be respected.




    Optimistic economic figures for Romania


    Inflation in Romania continued to decrease in May, as food, services, and non-food goods became more expensive. Data from the National Institute of Statistics show that the annual inflation reported in May 2023 decreased compared to the previous month, standing at 10.64%, from 11.23% in April. Analysts say that the decrease in inflation is an expected development, which encourages the economy to develop, and stimulates investments. However, experts add, it is possible that the data related to salary increases, also published by the NIS, may affect the forecasts regarding the evolution of inflation. According to the figures for April, average net earnings rose by an average of 15% compared to the corresponding month in 2022, meaning above the annual rate of inflation. Recently, the Institute announced that Romania’s economy grew by 2.3 percent in the first quarter, compared to the same period last year, with trade, IT, professional activities, and construction contributing to this rise. By contrast, industry had a negative contribution to the increase in GDP. According to estimates, economic growth will continue, albeit at a slower pace than last year, due to persistent inflation, tight financing conditions, and weaker economic growth recorded by Romania’s main trading partners. In the European context, the country is doing well, analysts say, considering that, according to Eurostat, it had the highest economic growth in the Union in the first quarter of the year, along with Spain, Cyprus and Malta.




    Romania has a new airport


    A charter aircraft of the national airline TAROM performed the inauguration flight for Ghimbav International Airport in Braşov (central Romania), on Thursday, the only one built from scratch in the country in the last 50 years. The new airport is also the first to have a control tower operated remotely, with the help of a number of video cameras. Brasov-Ghimbav International Airport is the third largest in the country. At first, it will fly to four destinations in Germany, and from August there will also be flights to London, Barcelona and Brussels.