December 8, 2023 UPDATE

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Newsroom, 08.12.2023, 19:56

Memorandum — On Friday, the Romanian Government approved a memorandum regarding the increase in the transport capacity of natural gas and electricity to the neighboring Republic of Moldova (with a majority Romanian-speaking population). Thus, the Iaşi-Ungheni-Chişinău gas pipeline could be expanded, with the possibility of increasing the natural gas transport capacity. At the same time, they envisage to identify natural gas storage spaces in Romania, for the creation of emergency stocks for the Republic of Moldova. As regards electric power, the document provides for the construction of a new interconnection line. According to economic experts, in 2023, the volume of trade between the two states will be 2.8 billion dollars, similar to last year. Moldovas trade exchanges with Romania have doubled, especially against the background of the war started by the Russian Federation in Ukraine. Romania holds the highest share in the export of Moldovan products in all history, 32.9%, and the Russian Federation has reached a historic minimum of 3.5%.

Corruption — In Romania, the former health ministers, Vlad Voiculescu and Ioana Mihăilă, on Friday went to the National Anticorruption Directorate (DNA) headquarters, where they were officially informed of the charges of abuse of office in the case of COVID-19 vaccine purchase during the pandemic period. While Voiculescu explained that he did not sign any contract regarding the purchase of doses, the decisions belonging to the prime minister at the time, Florin Cîţu, Mihăilă pointed out that the decision was made at government level, and the respective contracts were the result of negotiations between the European Commission and the vaccine manufacturers. Vlad Voiculescu believes that the accusations are a distortion of reality by a public institution, a unique investigation in Europe that investigates a decision of political opportunity. According to DNA, although the more than 37 million doses of COVID-19 vaccine contracted before January 1, 2021 would have been sufficient to immunize the Romanian population, the government led by Florin Cîțu approved the additional purchase of another 52 million doses, and the damage to the state was estimated at over one billion euros. The former PM Cîțu was previously also indicted in this case.

Timişoara — In Timişoara (western Romania), the closing festivities of the European Capital of Culture program are in full swing. Until Sunday, concerts, shows, exhibitions, as well as the Gala – “Timişoara la nesfărşit”- ‘Timişoara forever’ are organized at the Big Hall of the National Theatre. This year, over 2,000 cultural events took place in Timişoara, with around 1.3 million artists and visitors, and 3,000 volunteers involved, and the city was visited by 850,000 tourists.

Statistics – Almost 86% of Romania’s households have an Internet connection – according to the data published on Friday by the National Institute of Statistics. 93% of users are between 16 and 74 years old. Statistical data also indicate that the shares of people who use the Internet decrease with age. Thus, this year, almost all young people between the ages of 16 and 34 use or have ever used the Internet, while for those aged between 55 and 74, the percentage is 81. Last year, the share of people aged 16 -74 years who used the Internet was 89%, 2 % below the European Union average.

IMF – The International Monetary Fund recommends Romania new measures through which to bring additional revenues to the budget, worth 2% of the Gross Domestic Product. Experts argue that the tax reform should target the value added tax and the income taxes paid by individuals, by eliminating tax exemptions and privileges. The IMF recommends, after the implementation of these measures, considering the reintroduction of the progressive taxation. Also, the new turnover tax should be reconsidered, because it is not in line with the good practices, show the conclusions of the Romanian economy assessment. (LS)