January 30, 2024

A roundup of domestic and international news

Newsroom, 30.01.2024, 13:55

PRESIDENCY – Romania’s president, Klaus Iohannis, will be in
Brussels on Wednesday and Thursday for a ceremony paying tribute to Jaques
Delors (1925-2023), former European Commission president over 1985-1995, and
for a special meeting of the European Council. The main topic on Thursday’s
Council meeting is securing consensus at community level over the main elements
in the package set to reform the 2021-2027 Multiannual Financial Framework. The
most anticipated decisions regard support for Ukraine at all levels, including
military assistance via the European Peace Facility, in line with Ukraine’s
specific needs. President Iohannis will firmly argue in favor of Ukraine
remaining a top priority on the EU agenda.

IMF – A special IMF delegation led by Jan Kees Martijn is in
Bucharest to conduct a new assessment of the economy. The mission takes places
four months after the previous visit and has an advisory role. The IMF
estimates a 2.3% economic growth for Romania this year and a budget deficit of
6% of the GDP. IMF experts have urged Bucharest to implement additional
reforms, particularly in the field of taxation. Last autumn, the IMF argued
that Romanian authorities should first and foremost seek to eliminate tax
exemptions and privileges, implement more efficient VAT-related measures,
reform property taxes and encourage the transition to a carbon-neutral economy.
Romania has no standing agreement with the IMF at present.

TRAINS – The Transport Ministry is today signing a 640-mln-EUR
contract for the purchase of 62 new electric short-track trains. The contract
will be signed with the Polish manufacturer PESA, the same company expected to
deliver 20 long-track trains in early 2026, as per the contract signed in
December 2023. The trains will enter circulation on the main electric rails or
segments that underwent modernization works in western and northwestern
Romania. Romania purchased another 37 electric trains from Alstom, France. On
Monday, the Transport Ministry signed a contract with the French company worth
150 mln EUR, for the purchase of 16 new electric engines.

CPI – The 2023 Corruption
Perception Index, published by Transparency International, shows that most
countries have reported little to no progress in combating public sector
corruption. The EU as a whole is either stagnant or showing signs of decline in
this respect. The EU average in the last five years stood at 64. With a score
of 46, Romania remains one of the underperformers at EU level, alongside
Bulgaria (45) and Hungary (42), which reflects a dysfunctional rule of law.
Anti-corruption measures continued to be undermined by weakened checks and
balances. In several countries, including Romania, there are huge gaps between
legal provisions and the way they are enforced, the document states. With
respect to Romania, Transparency International recommends updating legislation
in the field of public integrity, improving organizational and decision-making
transparency, including through efficient public consultations and improving
access to public information.

PROTESTS – Farmers’ protests
continue across Europe. Farmers continue to voice complaints regarding
environment policies, fuel excises and unfair competition. In France, farmers
have blocked the main motorways in and out of Paris and other large cities,
warning they won’t leave unless their demands are met. President Emmanuel
Macron on Thursday is expected to present a number of proposals on the
sidelines of the European Council summit in Brussels. Today, the French
government is expected to take a number of decisions to help farmers. Paris has
accused some EU partners such as Spain or Italy of unfair competition, France
Presse and EFE report. German farmers on Monday blocked access roads on several
segments across the country, particularly in the Hamburg region, disgruntled
with the government’s decision to scrap diesel tax breaks. Farmers’ protests
have also been reported in Greece and North Macedonia.

CHAMPIONSHIPS – A total of eight
athletes will represent Romania at the World Aquatics Championships hosted by
Doha over February 2-18, five in swimming events and three in diving. The big
absentee is swimmer David Popovici, European champion in the 100m and 200m
freestyle events. Constantin Popovici, the defending high diving world champion,
and Cătălin Preda, world vice-champion, will lead the Romanian delegation. (VP)