The Week in Review, June 3 – 6
A roundup of the week's main stories.
România Internațional, 07.06.2014, 14:00
A delegation of international lenders is in Bucharest, reviewing the latest stand-by loan agreement with Romania
A joint mission from the IMF, the EC and WB is in Bucharest until June 16, evaluating the most recent stand-by loan agreement with Romania, worth 4 billion Euro. The evolution of macro-economic indicators, especially those relating to the budget balance, is at the core of talks. IMF experts are still looking into revenue collection, trying to establish whether or not a 5% slash in public social security contributions provided by employers is feasible. The lenders agree in principle with this measure, provided it should not affect the budget balance. Talks are also concerned with dismantling the state monopoly in two key sectors, energy and infrastructure, as well as reducing public enterprise debt and restructuring state companies.
The European Commission issues a set of economic recommendations to Romania
The European Commission has submitted its economic policy recommendations to member states in order to preserve last year’s recovery. For Romania, this means implementing the EU-IMF assistance program and the 2014 budget strategy, speeding up health reforms, consolidating active employment measures, and increasing the quality and accessibility of education and apprenticeship. In terms of taxes, the EC recommends an improvement in tax collection, reducing tax evasion and under the counter labor, and a resolution to the process of pension reform, started in 2010.
The public administration is encouraged to streamline and increase transparency and integrity, while the court system is encouraged to fight corruption and enforce court decisions. The energy and transportation sectors need to promote competition and efficiency, in addition to speeding up state sector reforms.
Romania puts in place as new set of health service regulations starting June 1
The Romanian authorities have put into place a new set of health regulations starting on June 1st, in an attempt to improve public health services, emphasizing prevention. Under the new regulations, citizens below 39 years of age have to have a check-up at least once every three years, a service provided by their family physician, while people over 40 have to have a compulsory annual check-up. Another novelty is gratuity for autism treatment, some dental procedures, and hospital decongestion measures. 300 types of diagnosed conditions will no longer be treated in hospitals, which are overcrowded as it is, and will be steered towards clinics.
Family physicians will be monitoring a number of chronic conditions, such as hypertension, type II diabetes, and asthma. In addition, the minimal and the basic package for pregnancy care will be including hepatitis B and C testing.
The Romanian Parliament issues its final decision on the failed mining enterprise in Rosia Montana
The Chamber of Deputies on Tuesday issued its final decision, rejecting the gold and silver mining enterprise in Rosia Montana. The bill, introduced by the government of Romania, had already been dismissed by the Senate, in November 2013. The decision was motivated by the fact that the project does not meet compliance standards specific to the mining industry as regulated in Romania. Last autumn, tens of thousands of people protested in the street, demanding the government withdraw the bill, ban cyanide mining and include Rosia Montana on the UNESCO list as a protected heritage site.
US President Barack Obama met in Warsaw the leaders of 10 CEE countries, including Romania
On the 25th anniversary of the fall of communism in Poland, US President Barack Obama attended ceremonies in Warsaw, taking that opportunity to reaffirm the American commitment to its eastern European NATO allies, Romania included, against the backdrop of the situation in Ukraine.
Obama said he would ask Congress to earmark one billion dollars for deployment of additional American forces in the area. Meeting his counterparts from the region, including Romanian President Traian Basescu, Obama said that the US is not threat to Russia, but that NATO cannot stand idly by as Russia violates principles of national sovereignty and integrity which have so far formed the foundation of a peaceful Europe.
Defense Secretary Chuck Hagel visits Romania
US Secretary of Defense Chuck Hagel visited on Thursday the Black Sea Romanian port of Constanta, reaffirming American and NATO support for Romania as an ally during his meeting with Romanian Defense Minister Mircea Dusa. The Romanian official said that his country appreciates the political and military efforts made by NATO allies, with an emphasis on the US, considering the sudden changes in the regional security situation. The two government officials visited the USS Vella Gulf, deployed to the region in response to the crisis in Ukraine. Mr. Hagel also met PM Victor Ponta. This visit comes two weeks after Vice President Joe Biden visited Romania, a visit also meant to reassure allies of staunch American support.
