Home Page
 
News 14 Jan 13

Romania Unveils Budget For 2013

Prime Minister says draft budget for this year will put Romania back on the path to economic growth.

Marian Chiriac
Bucharest

Romania’s centre-left government is planning to a growth oriented budget for 2013, with a target growth of 1.8 per cent and a public deficit of under 2 per cent.

“We want to end the circle of last four extremely difficult years by restoring Gross Domestic Product to its 2008 level,” Prime Minister Victor Ponta said, presenting the plan.

GDP is estimated to reach to around 140 billion euro this year, after dropping to 118.3 billion euro in 2009, when the financial crisis started to wreak havoc with the domestic economy, Ponta said. Revenue for 2013 is set at 46 billion euro, 3 billion euro lower than last year.

The government intends to tighten fiscal discipline, eliminate the waste of public funds and act on the principle of social equity.

“As salaries have already been restored to their pre-2009 level, before they were cut, no more pay hikes are expected this year,” Ponta added.

The government has allotted 10.2 billion euro to pay public sector wages and 11.1 billion euro will go on pensions.

The Prime Minister also said Romania is hoping to conclude a new, precautionary-type agreement with the IMF and the EU, when the ongoing one expires in March.

Romania depends on a 20 billion euro rescue package from the IMF, the European Union and the World Bank. It obtained the loan in May 2009 in exchange for agreeing to push through austerity measures aimed at taming the country’s yawning deficit.

An IMF mission is to come this month to Bucharest to hold discussions on the next review of the programme.

Talk about it!

blog comments powered by Disqus

Related Headlines:

parliament-speaker-ilir-meta-elected-albania-president-04-28-2017
28 Apr 17

Albania MPs Elect Speaker Meta as President

With the support of the center-left majority, the speaker of Albania’s parliament, former premier Ilir Meta, was elected President of Albania on Friday amid an opposition boycott.

28 Apr 17

Sketches of the Balkans

28 Apr 17

Montenegro MPs Gather For Historic NATO Vote

Premium Selection

romania-s-slow-preparation-for-eu-presidency-alarms-experts-04-27-2017
28 Apr 17

Romania’s Slow Preparation for EU Presidency Alarms Experts

Experts are concerned by the slow pace of preparations in Bucharest for Romania’s EU Council presidency in 2019, when it will have to oversee thousands of high-profile events. 

croatian-islanders-fight-to-preserve-golden-beach-04-27-2017
28 Apr 17

Croatian Islanders Fight to Preserve Golden Beach

After the government scrapped an unpopular concession given to company over Zlatni Rat beach, islanders on Brac say they will fight on to ensure such precious resources remain in the hands of the community.

Latest News from the Balkans

28 Apr 17

Albania MPs Elect Speaker Meta as President