{"id":919502,"date":"2025-08-21T14:00:54","date_gmt":"2025-08-21T11:00:54","guid":{"rendered":"https:\/\/www.rri.ro\/?p=919502"},"modified":"2025-08-21T13:16:55","modified_gmt":"2025-08-21T10:16:55","slug":"the-government-will-again-assume-responsibility","status":"publish","type":"post","link":"https:\/\/www.rri.ro\/en\/news-and-current-affairs\/today-in-the-news\/the-government-will-again-assume-responsibility-id919502.html","title":{"rendered":"The Government will again assume responsibility"},"content":{"rendered":"<p>Being under excessive deficit procedure for the past five years, Romania is in a situation where it must take measures in order to avoid the suspension of European funds. Last year the country reported a deficit of 9.3% of the GDP \u2013 the highest in the European Union, much higher than the 7.9% assumed target. Bucharest didn\u2019t take effective measures to improve the situation, the European Commission said and set October 15<sup>th<\/sup>, as a deadline for Romania to come up with an effective plan of measures.<\/p>\n<p>The first step was made by the Bolojan government, who endorsed a first measure package, which included among other things, a raised VAT, the introduction of higher social insurance contributions for pensions over 600 EUROS, freezing other budgetary expenses, such as salaries and pensions in the public system, or cutting funds for political parties.<\/p>\n<p>The Executive assumed responsibility in Parliament for this package, which successfully passed the censure motion the opposition had tabled against it. The measures have been endorsed and now the government wants to do the same with a second measure package also aimed at curbing the country\u2019s budget deficit.<\/p>\n<p>This second package includes a series of amendments to the ways of taxing the multinational companies, the functioning of companies and corporations, as well as higher taxes for extra-community shipments and accommodation revenues.<\/p>\n<p>Here is at the microphone Finance Minister, Alexandru Nazare.<\/p>\n<p><strong>Alexandru Nazare<\/strong>: <strong>\u201c<\/strong><em>I believe the most important messages of changes in the second fiscal package is focusing on streamlining tax collection, discouraging intra-group aggressive optimizations, fiscal optimization in general, and also prune the business environment eliminating the inactive vehicles, the so-called inactive companies \u2013 there are over 460 thousand inactive companies from various periods in Romania, some even have 10 years now and which aren\u2019t useful when we want to implement a fair administration, which protects the contributors. We have pledged to our partners that we are going to curb the deficit and have a credible trajectory and we need measures of this kind to convey correct messages.\u201d \u00a0<\/em><\/p>\n<p>The state runs the considerable risk of defaulting on payment this autumn, if the aforementioned measures aren\u2019t endorsed, the Prime Minister has cautioned. So, the Executive has decided to assume responsibility most likely next week.<\/p>\n<p>Some aspects must be cleared up and the latest details to be established, says the Senate president, Liberal Mircea Abrudean, who voiced skepticism that any of the parties in the ruling coalition made up of PSD, PNL, UDMR, USR would vote for a new censure motion.<\/p>\n<p>His remarks come after the PSD has announced a series of objections to some measures, mainly regarding investment from the PNRR and the \u2018Anghel Saligny\u2019 Programme of streamlining local communities.<\/p>\n<p>From the opposition, Petri\u015for Peiu, the leader of the AUR senators says their MPs are going to table a fresh censure motion they expect that MPs from other parties will endorse too.<\/p>\n<p>(bill)<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Being under excessive deficit procedure for the past five years, Romania is in a situation where it must take measures in order to avoid the suspension of European funds. Last year the country reported a deficit of 9.3% of the GDP \u2013 the highest in the European Union, much higher than the 7.9% assumed target. [&hellip;]<\/p>\n","protected":false},"author":108,"featured_media":809848,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[37738],"tags":[36292,34550,30079,37332,175275,35417,31837,175276,31822],"coauthors":[113249],"class_list":["post-919502","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-today-in-the-news","tag-alexandru-nazare","tag-amendments","tag-budget-deficit","tag-euros","tag-fiscal-budgetary","tag-measures","tag-opposition","tag-social-insurance","tag-vat"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.6 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>The Government will again assume responsibility - Radio Romania International<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.rri.ro\/en\/news-and-current-affairs\/today-in-the-news\/the-government-will-again-assume-responsibility-id919502.html\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The Government will again assume responsibility - Radio Romania International\" \/>\n<meta property=\"og:description\" content=\"Being under excessive deficit procedure for the past five years, Romania is in a situation where it must take measures in order to avoid the suspension of European funds. 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