RRI Live!

Listen to Radio Romania International Live

Government keeps public spending in check

The austerity measures announced by Romanias new Government spark the first protests.

Government keeps public spending in check
Government keeps public spending in check

, 31.12.2020, 14:00

Less than a week after the Liberal Florin Citu took over the prime minister seat, his rigour as finance minister, a position he previously held, started to be felt. The coalition government, made up of the National Liberal Party (PNL), the USR-PLUS Alliance and the Democratic Union of Ethnic Hungarians in Romania (UDMR) decided on Wednesday, through an emergency order, not to increase the salaries of public servants next year. Salaries, just like bonuses, compensations and food subsidies have been capped at their level this month. The decision applies to the entire staff working in the central and local public administration, including dignitaries. The ordinance postpones by one year the payment of the so-called special pensions of mayors, pensions that do not comply with the contribution principle. According to PM Citu, all these measures are aimed to keep public spending in check and to increase investment.



The budget deficit target for 2021 has been set at 7% of the GDP. Under the emergency order, over 3 billion euros from the national budget will be saved. The document also provides support for the hospitality industry, the payment of technical unemployment and of 41.5% of the salary of the employees whose jobs are preserved. Another emergency order extends by another three months the deadline for interest rate postponement applications. The payment of interest rates can be postponed for 9 months at the most.



Vasile Dancu, head of the National Council of the Social Democratic Party, in the opposition, says that the new cabinet governs in an anti-social manner, as the promises made by the parties in power during the election campaign were in fact empty words. Apart from the political games, trade unions in the healtcare system say that the salary cap will also affect those who fight directly with the pandemic, that is the medical personnel. Employees with the Interior Ministry are also unhappy with the measure and have sent their message to the Interior Minister Lucian Bode. Clerks have also threatened with protests both in Bucharest and in half of the prefect’s offices in the country.



Moreover, the recent announcement of the Electoral Authority that political parties will ask for the repayment of more than 30 million euros, representing some of the expenses made during the parliamentary elections this year, has increased the state of irritation at society level. The amount is almost four times bigger than at the 2016 parliamentary elections, although less than one third of the electorate went to the polls this year and that only 9% of Romanians said they trust political parties, thus making the legitimacy of the latter even more questionable. (Translated by Elena Enache)


Prime Minister Marcel Ciolacu announced a 2-bln-EUR budget for the reindustrialization of the economy (gov.ro)
Today in the News Thursday, 19 September 2024

National plan for large industry

Concerned about the reindustrialization of the country, the Romanian government took important steps to complete the support scheme for the large...

National plan for large industry
Photo: MApN
Today in the News Thursday, 19 September 2024

B9 meeting in Bucharest

NATO must react to Russia’s incursions into the member states’ airspace, in the context of the war in Ukraine. This is the conclusion of...

B9 meeting in Bucharest
Roxana Mînzatu (Credits: gov. ro)
Today in the News Wednesday, 18 September 2024

Roxana Mânzatu, vice-president of the European Commission

At the end of tense negotiations, the head of the European Commission, the German Conservative Ursula von der Leyen, on Tuesday made public the...

Roxana Mânzatu, vice-president of the European Commission
Floods in Chişinău (Photo Radio Chişinău)
Today in the News Wednesday, 18 September 2024

Effects of floods in Europe

The storms that have affected Europe are now heading for Italy, where warnings of heavy rain, strong winds and flooding have been issued for much of...

Effects of floods in Europe
Today in the News Tuesday, 17 September 2024

Assistance for people affected by flooding

The state of alert has been instated in the counties of Galați and Vaslui, in eastern Romania, a region that bears the brunt of the latest flooding....

Assistance for people affected by flooding
Today in the News Tuesday, 17 September 2024

Partnership for the prevention of child trafficking

Romania is the first country in Europe to benefit from an American financial support package worth 10 mln USD, designed to improve the national...

Partnership for the prevention of child trafficking
Today in the News Monday, 16 September 2024

Severe flooding in eastern Romania

  Romania is on alert, relief camps have been set up and rescue operations launched after the flash floods of the past few days killed at least...

Severe flooding in eastern Romania
Today in the News Monday, 16 September 2024

F-35 jets for Romania

The US Department of State has approved the possible sale to Romania of 32 F-35 jets, as well as engines and other related equipment, in a contract...

F-35 jets for Romania

Partners

Muzeul Național al Țăranului Român Muzeul Național al Țăranului Român
Liga Studentilor Romani din Strainatate - LSRS Liga Studentilor Romani din Strainatate - LSRS
Modernism | The Leading Romanian Art Magazine Online Modernism | The Leading Romanian Art Magazine Online
Institului European din România Institului European din România
Institutul Francez din România – Bucureşti Institutul Francez din România – Bucureşti
Muzeul Național de Artă al României Muzeul Național de Artă al României
Le petit Journal Le petit Journal
Radio Prague International Radio Prague International
Muzeul Național de Istorie a României Muzeul Național de Istorie a României
ARCUB ARCUB
Radio Canada International Radio Canada International
Muzeul Național al Satului „Dimitrie Gusti” Muzeul Național al Satului „Dimitrie Gusti”
SWI swissinfo.ch SWI swissinfo.ch
UBB Radio ONLINE UBB Radio ONLINE
Strona główna - English Section - polskieradio.pl Strona główna - English Section - polskieradio.pl
creart - Centrul de Creație Artă și Tradiție al Municipiului Bucuresti creart - Centrul de Creație Artă și Tradiție al Municipiului Bucuresti
italradio italradio
Institutul Confucius Institutul Confucius
BUCPRESS - știri din Cernăuți BUCPRESS - știri din Cernăuți

Affiliates

Euranet Plus Euranet Plus
AIB | the trade association for international broadcasters AIB | the trade association for international broadcasters
Digital Radio Mondiale Digital Radio Mondiale
News and current affairs from Germany and around the world News and current affairs from Germany and around the world
Comunità radiotelevisiva italofona Comunità radiotelevisiva italofona

Providers

RADIOCOM RADIOCOM
Zeno Media - The Everything Audio Company Zeno Media - The Everything Audio Company