Following the
\nimplementation of two measures with a strong economic and social impact, the
\ncut in the VAT rate for food products and doubling the amount of child
\nbenefits, prime minister Victor Ponta on Tuesday presented Parliament with the
\nsituation of the economy as part of a new practice called the Prime Minister’s
\nhour, based on Britain’s Questions to the Prime Minister. <\/p>\n
<\/p>\n
\n
\n
\n
<\/p>\n
Victor Ponta
\ntold MPs that three years after recession, Romania now has the highest economic
\ngrowth rate in the European Union. The GDP grew by 4.2% in the first quarter of
\nthe year and the country’s foreign debt has almost entirely been paid back. The
\nfact that the economy is performing so well is no accident, said Ponta:<\/p>\n
<\/p>\n
\n
\n
\n
<\/p>\n
This growth is
\nnot based on circumstantial factors, but on domestic consumption, exports, the
\ngrowth of the industrial sector and services, and most importantly this year,
\nalso a growth in the building sector, which we should continue to encourage.
\n2015 began with a significant growth in the amount of direct foreign
\ninvestment. We paid back almost the entire loan contracted and spent by our
\ncolleagues from the Liberal Democratic Party in the opposition. We have met
\neach of the deficit targets established together with our international
\npartners.<\/p>\n
<\/p>\n
\n
\n
\n
<\/p>\n
The prime
\nminister thanked Parliament for the support given to his cabinet to implement
\ntwo important measures for Romania’s economy: the cut in VAT rates for food
\nproducts and non-alcoholic drinks to reach 9% and doubling the amount of child
\nbenefits. He called for further support to pass the new Fiscal Code bill, the
\nTransport Master Plan and the new public procurement bill. Unimpressed with
\nthe figures presented by the prime minister, the Liberal opposition said the
\nnumber of businesses that have been declared insolvent in recent years has
\nincreased dramatically, while family incomes have dropped. Liberal MP Ludovic
\nOrban:<\/p>\n
<\/p>\n
\n
\n
\n
<\/p>\n
During your
\nterm as prime minister, more than 370,000 businesses have closed and almost
\n80,000 have begun insolvency procedures. Over 450 businesses have gone bust.
\nHow can we support the development of domestic capital when public investment
\nhas been systematically reduced?<\/p>\n
<\/p>\n
\n
\n
\n
<\/p>\n
The Liberals
\nalso quoted a European Commission report that denounces, among others, the
\nunpredictability of Romania’s fiscal measures and the adoption of an
\nunsustainable investment strategy. The conclusion of the opposition was that
\nthe government has no credibility left and the little progress seen by the
\neconomy came in spite of the Social Democratic rule and not because of it. <\/p>\n
<\/p>\n","protected":false},"excerpt":{"rendered":"
The Prime Ministers Hour, Romania’s new parliamentary practice, saw heated exchanges between the Prime Minister and the Opposition<\/p>\n","protected":false},"author":110,"featured_media":64158,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[37738],"tags":[38090,29792],"coauthors":[],"class_list":["post-64157","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-today-in-the-news","tag-prime-ministers-hour","tag-romanian-economy"],"acf":[],"yoast_head":"\n