The Week in Review 13-19 April
A roundup of the past week's highlights
Daniela Budu, 18.04.2026, 14:00
Romania – one step away of a political crisis
There are signals that Romania might find itself in a new political crisis. Sorin Grindeanu, leader of the Social-Democrats, has again highlighted the need for a political reshuffle, which should alter the country’s present direction. In a message posted on a social network, the PSD president has mentioned three pieces of bad news that point out to an accelerated economic breakdown, and for which he is blaming the country’s Liberal Prime Minister, Ilie Bolojan: an inflation rate close to 10%, the low consumption in February and the IMF revised forecast, which halved the country’s economic growth in 2026, from 1.4 % to 0.7%. According to some PSD sources the voting in the PSD interior referendum scheduled for Monday would be for withdrawing the Prime Minister’s support who is expected to be given a deadline to step down. Otherwise, the PSD will withdraw the ministers from the Executive. Recently asked if he could step down, the Prime Minister said he didn’t take into consideration such a hypothesis. Those causing crises must assume their outcomes, the head of the Executive has also said. Against this background, the country’s President, Nicusor Dan, held talks these days with both, the Prime Minister, Bolojan, and the PSD leader, Sorin Grindeanu, but refrained from taking sides. However, President Dan underlined that a coalition between the pro-Western parties is the only solution to rule Romania and insisted on a minimum cooperation on the PNRR projects. In the meantime the opposition is preparing a censure motion against the Bolojan government. An opinion poll conducted by the Political Rating Agency says that half of the Romanians are expecting a dismantling of the present four-party coalition before the terms forecast for the prime minister rotation in April 2027.
A major reform of the state companies
The government in Bucharest has announced it commenced the process of reforming underperforming companies, which started as a pilot project focusing on 22 companies from the sectors of energy, transport and industry, which have accumulated, in a single year, budget debts of over 800 million Euros and losses over 200 million Euros. Deputy Prime Minister, Oana Gheorghiu, said that while some companies must be consolidated as they are playing a real strategic role, and some must be transformed and restructured there are others that must be closed down because keeping them in their present form serves neither the economy nor tax-payers. Concurrently there is a list of successful companies, which could be listed on the stock exchange. The PSD has announced it opposes the moves on selling profitable state companies, as they believe these companies are playing a major role in the country’s security system. The Social-Democrats say they have not been consulted and there was no discussion inside the coalition on this issue.
Romanian ministers in Washington
Romania is in one of the best positions in its relation with the USA administration – Finance Minister, Alexandru Nazare, said after the talks he had in Washington with the Executive Director of the National Dominance Council at the White House, Jarrod Agen. The talks agenda included several topics such as consolidation in the field of energy, including energy security, strategic investment and Romania’s role as a regional energy hub. “We tackled funding opportunities, the development of infrastructure and the involvement of the US capital in major regional projects” the Finance Minister wrote on a social network after the meeting he had with the US official. He also talked in Washington with representatives of the US Exim Bank, on funding some strategic projects in energy and infrastructure focusing on stepping up investment and strengthening Romania’s role in regional energy security. Also present in Washington, Energy Minister, Bogdan Ivan, announced after talks with representatives of the US Exim Bank, that Bucharest is consolidating plans for developing major energy projects through talks on funding them by this institution. We recall that a ministerial delegation from Romania headed by the Finance Minister is these days attending the spring session of the World Bank and the International Monetary Fund.
Romania’s Inflation rate on the Rise
Romania’s inflation rate has again come close to 10% reaching 9.87% in March, as compared to 9.31 in February. After months of slight decreases, the inflation is again on the rise against the latest price hikes in fuel and electricity. Services and non-food products have seen an 11% price hike and food prices went up by 7.5%. Prices in gas and air transportation have dropped by nearly 5%. With a 57% rise, electricity tops the price ranking of the past 12 months, followed by rail transport and coffee with 24%. Pundits believe the tendency of growing inflation is going to continue as fuel and electricity prices continue to grow against the background of the Middle East war and the issues related to transport through the Hormuz Strait. This is expected to cause a chain reaction in the other prices of goods and services.
Romania’s Training Ship Mircea – sets sail for the New World
With a 188-strong crew, Romania’s training ship Mircea on Thursday set sail in the military port of Constanta at the Black Sea for a five month training voyage. The vessel will be sailing roughly 14 thousand miles and will be present at the ceremonies staged on the occasion of the 250th anniversary of the United States.
(bill)
