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PM Ciolacu: Gov't will promote 50-point emergency ordinance cutting public sector expenses
Prime Minister Marcel Ciolacu says that the government is going to approve an emergency ordinance on spending cuts in the public sector that includes 50 measures.
Ciolacu on Wednesday had a working meeting with Finance Minister Marcel Bolos at the main offices of the ministry.
"We had a discussion focused mainly on the emergency ordinance that we are going to promote related to spending cuts in the public sector. There are over 50 measures, the minister will detail them. They were discussed also within the [ruling] coalition. We are talking first and foremost, from my point of view, of the first real reform in terms of the public system. It is the first time that a government of Romania undertakes such of approach," said Ciolacu.
He added that the measures proposed by the finance minister are correct.
"I firmly believe that all the measures put forth at this moment by the minister are correct. It is time for those who work to receive appropriate pay, to receive bonuses. Those who have been going to work for decades only to play Solitaire should look elsewhere. There are over 50 pay bonuses. It's incredible where this phenomenon has gone and I'm glad that I have a partner, the current finance minister, to take on these things bravely and explain them very clearly to the Romanians," said Ciolacu.
În his opinion, Romania started in 2019 with a budget deficit of 2.7-2.9% of GDP, and "after two unfortunate governments" it reached a deficit of 9.2%, noting that he would have liked the fiscal measures to have been taken earlier," since there were clear elements that it is very unlikely to fall into the assumed deficit for this year."
Ciolacu mentioned that he hopes that the blocking of European funds will be avoided in the negotiations with the European Commission.
"It started in 2019 with a public debt of 37%, as far as I know, and a budget deficit of 2.7-2.9. And, after two unfortunate governments, we reached a deficit of 9.2, while being the only state in the European Union that has an agreement on the excessive deficit. There are many measures being taken and I would have liked these measures to have been taken earlier, since there were clear elements that it is very unlikely we fall within the assumed deficit for this year," stated Ciolacu, at a joint conference with the Minister of Finance, Marcel Bolos, in which a plan of 50 measures to reduce expenses was announced.
Marcel Ciolacu specified, however, that economy is stable in Romania.
"We are not talking about an economic crisis, we are not talking about a recession in Romania. We are simply talking about things that we committed to do before the Commission and I think that the most important thing is to continue this dialogue with the Commission so that we won't see happening the worst thing for any member state of the European Union, namely the blocking of European funds. I think that we will more than certainly manage to avoid this together, to have a fair negotiation with the Commission, with elements both in terms of expenditures, but also the revenues, and from here let's have a very correct and assumed plan for the next period," added the prime minister.