THE WEEK IN REVIEW 01 – 07.06.2026
The headline-grabbing events of the past week in Romania
Roxana Vasile, 06.06.2026, 14:00
“White smoke” at the Presidency
One month after the dismissal of the government led by the Liberal Ilie Bolojan, Romania’s President Nicușor Dan announced on Thursday evening that he had nominated Eugen Tomac for the position of prime minister and that he made this choice because Tomac is a person independent of the parliamentary parties but with political experience. Aged 44, Eugen Tomac was born in present-day Ukraine, making him the first prime minister-designate born outside the country’s borders. He came to Romania at age 17 to study, and he majored in history. Supported in his political career by former President Traian Băsescu, Eugen Tomac led the People’s Movement Party for years; the party failed to win seats in Parliament in the last legislative elections, and he resigned from the party’s presidency before his nomination as prime minister to become politically independent. An honorary advisor to the current head of state and a Member of the European Parliament, Eugen Tomac has ten days to present his government program and cabinet, which he has described as technical rather than political. We recall that on May 5, the government led by Ilie Bolojan was dismissed by Parliament through a motion of no confidence, after the PSD, which until then had been in power alongside the PNL, USR, and UDMR, had withdrawn its confidence in the Liberal prime minister. The Social Democrats had conditioned their continued participation in the government on the prime minister’s departure, but his refusal to step down from the helm of the government led to a reconfiguration of the ruling coalition as the PSD left the government, joining forces with the nationalist opposition represented by the AUR and bringing down the Bolojan government in Parliament. During both informal and formal discussions with the head of state aimed at finding a solution to the political crisis that had arisen, none of the parties that had previously formed a coalition were willing to continue collaborating under the old arrangement, the only one that would have ensured the government a comfortable majority in Parliament. However, President Nicușor Dan stated that he had chosen a prime minister independent of political parties, in the person of Eugen Tomac, as the only solution to end the crisis.
The Highly Controversial Law on Unified Pay
Meanwhile, discussions have continued at the Ministry of Labor in Bucharest regarding the new law on unified pay for public sector employees. The Parliament in Bucharest is expected to adopt the legislation by the end of August as this is a mandatory milestone in the National Recovery and Resilience Plan (NRRP), and Romania’s receiving a funding tranche of approximately 800 million Euros depends on its completion. The draft legislation, however, is generating deep dissatisfaction. Affected for nearly a year by government austerity measures and the highest inflation in the European Union, Romanians fear that once this law takes effect, their standard of living will decline even further. It is being challenged by union members in education and healthcare, representatives of the military, public finance workers, judges, police officers, and professionals in the cultural sector. They are criticizing the criteria and coefficients established for calculating salaries, claiming that the pay scales are completely unbalanced. The unified pay law is set to take effect on January 1, 2027.
European Commission Economic Report
In a report published on Wednesday, the European Commission noted that Romania, like other EU member states, has taken effective measures to correct its excessive deficit and is on a sound path to reducing imbalances; however, it has not yet passed the critical point and must therefore maintain the pace of reforms. Romania still has the highest deficit in the Union, although it has reduced it by 1.4% in one year, and by the end of 2026 it will fall to 6.2%. It is also the only country with excessive macroeconomic imbalances and has the lowest collection rates for VAT, corporate income tax, and personal income tax. The National Recovery and Resilience Plan (PNRR) is considered essential for Romania’s trajectory, through the funds it attracts and the investments it facilitates, as well as through the reforms it undertakes. The European Commission also notes the risks posed by Romania’s unstable political situation and states that any incoming government should maintain fiscal consolidation policies.
Procurements under the SAFE Program
The interim government in Bucharest published this week a detailed list of procurement contracts under the European Union’s SAFE program, which aims to strengthen the defense industry and through which Romania will receive nearly 17 billion Euros. The funds are allocated for military equipment and infrastructure. To date, Romania has signed contracts to purchase over 200 infantry fighting vehicles, four ships —two maritime patrol vessels and two diver intervention vessels—11 air defense systems, 34 military drone systems, 934 Mistral very short-range surface-to-air missiles, and six helicopters for transporting troops and military equipment. The government has also announced that, in the coming period, Romania will sign procurement contracts in partnership with European countries, such as France. A contract will be signed to purchase 12 helicopters designed for long-range missions, with high transport capacity and capable of operating in difficult conditions. Also with the French government, a contract will be signed to purchase 12 gap-filler radars.
Romania, Closer to the OECD
Acting Foreign Minister Oana Țoiu attended this week’s meeting of the Ministerial Council of the Organization for Economic Cooperation and Development (OECD), which was attended by her counterparts from member and partner countries. Romania is at a very advanced stage in the process of joining the OECD, which comprises 38 countries from all continents, with developed and rapidly growing economies, whose goal is to implement better policies for a better life. As part of the accession negotiations launched in 2022, Romania has concluded 24 of the 25 chapters. Once the final chapter, on trade, is completed, Romania will be admitted as a full member of the OECD. (LS)