Financiarul

The interim Govt has to find the legal formula for a draft budget, an essential condition for the IMF to disburse the next instalment of the loan granted to Romania, due on December 10th. This is a national priority for Romania, Senate Chairman and Social Democratic leader Mircea Geoana said after a meeting with the Fund’s representatives.

According to Geoana, political consensus among political parties is possible, but a political protocol is out of the question, because it would be unnatural and useless.
“What’s important is to find the proper legal formula that allows an interim Government – after being dismissed by Parliament – to have the possibility to propose a draft budget,” Geoana explained.

He highlighted that a budget approved by December, with a deficit target of 5.9%, is an essential condition for the next instalment to be granted by the international financial institutions, and it can be met.

During talks with the IMG, Geoana said that the future Govt , which he hopes to see sworn in by Christmas, will keep unchanged the target deficit of 5.9% but in the future it will have the liberty and flexibility announce its priorities during talks with the IMF, the European Commission and the World Bank, and reset the target of revenues and expenses depending on the specificity of the next programme.

Another issue brought up in the talks with the IMF delegation is, according to Geoana, the adoption of the Fiscal responsibility law. “Romania has to secure, after all, the discipline of spending the public money. This is a law that I support and that does good to Romania and its reputation in the relation with the citizens,” Geoana said.

Another topic approached at the meeting was the uniform pension law. “We have insisted on keeping the pension point at 45% of the gross salary on economy. Our experts will go on discussing this law and the document will become operational at the beginning of next year at the latest,” Geoana pointed out.

The Senate chairman explained that the Single salary law will have to be given a form accepted by the social partners and allow for equality in the public salary system.
He restated his opposition towards the idea put forward by President Traian Basescu and the PD-L leaders, regarding the laying off of 20% of the state employees.

He voiced concern over the impact of the political crisis in Romania, on an international level. The future administration must reinstate trust in the country’s Govt, Geoana said. In his opinion, the visit paid by the IMF delegation to Bucharest is a sign of trust in Romania and not in “a certain government.”