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FinMin Georgescu: There will be a budget revision in late July
Finance Minister Florin Georgescu said Monday that the Government will make a budget revision late this July.
'We are attempting to program spending in relation to the developments in revenues in the second half of the year so that we may meet the criteria agreed upon with the international financial institutions. There will be a budget rectification as well in late July, as the tax accountability law requires, and also then a review mission will start of the agreements concluded by Romania with those institutions. On June 25, a joint mission of the European Commission, the International Monetary Fund and the World Bank will come to Bucharest and together we will examine the implementation of the arrangement; we say there are reasons for our optimism and we hope they will agree we have fulfilled our obligations,' said Georgescu.
Gov't will adjust economic parameters without diminishing nominal income
Finance Minister Florin Georgescu said Monday at the Parliament House in Bucharest that the Ponta Government will adjust the economic parameters without diminishing the nominal value of Romanians' personal income.
'The economic crisis has indeed been present since the fourth quarter of 2008, but there is a difference between this crisis at individual levels and the crisis at a macroeconomic level. In relation to this crisis, measures were taken before the Ponta Cabinet and the Ponta Cabinet continues to take measures adjusted for reality to adapt economic parameters and managing instruments for the economy - the national budget, the budget of other public entities, the public pension system, the public healthcare system - but without diminishing the nominal value of the personal income of the citizens,' said Georgescu.
He added that the incumbent government is keeping its promise to restore the public wages and pay back part of the money that was withheld from public pensions.
'The crisis is among us and that is why we do not have high economic growth, that is why we do not have bigger investment projects. We have to limit ourselves and draw up a hierarchy of priorities and do what is best and more efficient in economic and social terms,' Georgescu replied to a question about recent statements by President Traian Basescu that the crisis will not disappear in the next 12 months.
Basescu said Monday that the economic crisis will not be overcome in the next 12 months, and insisted that Romania does not agree on a discussion of austerity versus economic recovery.
Stability in Greece will create favourbale premises for economic growth in Romania
Finance Minister Florin Georgescu said on Monday that stability in Greece after the Sunday's general election there will create more favourbale premises for economic growth in Romania, because there will be no more external shocks.
'We hope that things will settle in Greece in the most profoundly democratic way after this election in relation to the governing of the country and the measures to be taken by the incoming Executive so that the Eurozone will hopefully stabilise and consolidate itself. Romania will certainly benefit from such a development, as it will no longer have to face external shocks,' Georgescu said after a meeting at the Parliament House with MPs in the Chamber of Deputies of the Social Democratic Party (PSD), at rule as part of the Social Liberal Union (USL).
He argued that Romania is at an adequate level of domestic stability.
'Romania is faring well domestically. In macroeconomic terms, the country is at an adequate level of stability. Stability in Greece will create more favourable premises for the future economic developments,' Georgescu said, adding that Romania has some stand-by measures in case of external shocks.