The Week in Review 1-7 June
Click here for a roundup of the week's main stories.
România Internațional, 06.06.2015, 14:14
The National Anti-Corruption Directorate starts criminal proceedings against the PM Victor Ponta
The Romanian PM has announced he will not resign, as President Klaus Iohannis had requested him to, after the National Anti-Corruption Directorate announced the start of criminal proceedings against him. The Romanian President said that having a PM charged with various criminal offences was an impossible situation for Romania and warned that a political crisis would be the worst scenario for the country. The National Anti-Corruption Directorate on Friday announced the Romanian PM and leader of the Social Democratic Party, Victor Ponta, is being prosecuted for forgery in documents under private signature, accessory to tax evasion and money laundering in a case of corruption related to the Rovinari and Turceni energy companies (in the south of Romania), for which legal assistance contracts were concluded. In the same case, the prosecutors say the PM should also be prosecuted for conflict of interests because, at the time of the offence, he held the position of PM. The National Anti-Corruption Directorate also requested the Chamber of Deputies to approve the start of criminal proceedings against Victor Ponta, an MP who, at the time he is supposed to have perpetrated the respective crime of conflict of interests, held the position of PM. In the case related to the Turceni and Rovinari energy companies, Dan Sova, a former transport minister in the Ponta cabinet, is being prosecuted for accessory to abuse of office. The prosecutors on Friday added new offences to the charges against him and placed him on pre-trial restrictions for 60 days. The National Anti-Corruption Directorate has twice asked the Senate to approve the arrest of Dan Sova, but the senators rejected the request.
The VAT on foodstuffs drops from 24 to 9%.
On June 1st, the VAT on foodstuffs in Romania was cut from24% to 9%. According to analysts, the measure will trigger an increase in consumption and will boost Romania’s economic development, which seems to have grown beyond the forecasts made early this year. The National Forecast Commission has recently improved the figures for this year’s economic growth rate from 2.8% to 3.3%, and the pace might get even faster, leading to a 4 % growth rate in 2018. Also, the European Commission, the World Bank and the European Bank for Reconstruction and Development estimate that in the coming years, the economy will grow by an average of over 3%. In another development, the Romanian President Klaus Iohannis has endorsed a law providing for a raise in child benefits, from 41 to 84 lei. Prime Minister Victor Ponta has given assurances that the Government will find the financial resources to implement this measure.
German Defence Minister Ursula van der Leyen on a visit to Bucharest
Germany is aware of the strategic importance of the Black Sea Region and is very much interested in strengthening bilateral ties with Romania and in cooperating closer with this country within NATO and the EU. These are the statements made in Bucharest by the German Defence Minister Ursula van der Leyen, who on Thursday met with her Romanian counterpart Mircea Dusa and was received by President Klaus Iohannis. Among other issues, the dialogue with the Romanian authorities also approached the situation in Ukraine. The German official said Berlin was deeply worried about the effects of Moscow’s policy in Ukraine. Actually, against the background of growing worries over the situation in that former Soviet Republic, the Romanian Chief of Staff, General — Lieutenant Nicolae Ciuca, has said that introducing the compulsory military service in Romania is not being considered. Moreover, he has estimated that by the end of the year, the 12 F16 fighter planes that Romanian bought from Portugal will join the Romanian Air Forces.
Romania prepares for joining the Eurozone
According to the Romanian Prime Minister Victor Ponta, Romania’s economic situation is very good, as data made public by the National Statistics Institute show. Net investments in the economy went up by 8.5% in the first quarter, as compared to the same period last year. He has also stated that setting 2019 as the year for Romania’s joining the Eurozone has a symbolic significance attached to it, because in that period Romania will be holding the Rotating presidency of the EU. In his opinion, once the technical procedures for the adoption of the single European currency are ready, a referendum on this issue could be organized. The Central Bank Governor Mugur Isarescu warns, though, that Romania still has a great deal of work ahead before joining the Eurozone and should focus on its structural reforms first. He warned about the danger posed by some economic policies, which, the world economic crisis has shown, are difficult to correct. Mugur Isarescu has also said that Romania’s joining the Eurozone must take place at the right time, only after all the required reforms have been implemented.
The latest election law provisions are passed by the Senate
The bill on parliamentary elections, stipulating that these elections will be on lists, and with a 5% election threshold, has been endorsed by the Romanian Senate. Representatives of all political parties voted in favour of the bill. Therefore, according to the new provisions, a deputy will represent 73,000 inhabitants, and a senator 168,000 inhabitants. According to the new provisions, in 2016 Parliament will have 308 deputies and 135 senators, as well as 18 MPs representing the minorities and 6 the Romanian Diaspora. The final version of the law will be decided upon by the Chamber of Deputies, which is the decision-making forum in this matter. At the latest parliamentary elections of 2012, 412 deputies and 176 senators were elected.
A new strategy on education in Romania
The Romanian Education Minister Sorin Campeanu has given assurances that a new education law will be developed only after consultations with experts and employers’ representatives. Debates are to be held by the end of the year. In another move, the Government has recently approved a strategy for the reduction of the number of drop-outs after secondary school. The document provides for mechanisms and measures that are to be implemented by 2020, in order to reduce the number of young people aged 18-24 who attended eight grades and are not enrolled in any type of form of education or professional training.