News review of the day – Wednesday, May 20th

Technical mission of the IMF and EC to discuss Fiscal Code measures with Romanian officials in Bucharest

A technical mission of the IMF and one of the European Commission have arrived in Bucharest amid Romania’s wish to conclude the financial agreement with the IMF this September. The new measures of the Fiscal Code are going to be thoroughly analysed as the Romanian Cabinet insists our country needs fiscal relaxation. Finance Minister Eugen Teodorovici said he wished for a successful completion of the ongoing agreement. As far as further partnerships with the IMF are concerned, a decision is to be made later on. Economic experts consider the current talks as difficult ones and their conclusions unpredictable.

Radu Crăciun, President of the Romanian Association of Financial Analysts: I believe negotiations are not going to be very simple, as fiscal strategy comes with sure decrease of taxes hoping for an increase of collection by fighting tax avoidance which is currently wishful thinking only, there is no certainty about it.

Radu Crăciun considers that a possible lack of agreement with the IMF will not significantly impact credit costs for Romania, but a fiscal strategy suspected of non-sustainability and a budget deficit prone to growth could however negatively impact yields of government bonds – Radio Romania reported.

Sevil Shhaideh  is  the new Minister for Regional Development

PSD’s Executive President Liviu Dragnea has announced today that his position as Minister for Regional Development and Public Administration from which he resigned following a suspended prison sentence he had received earlier this week is going to be taken over by the current secretary of state Mrs Sevil Shhaideh. The Social Democrat has also announced he is going to resign from his political office. Prime Minister Victor Ponta has stated at the start of the Cabinet meeting that Mrs Shhaideh is going to face similar pressure as her predecessor Liviu Dragnea. The chief of the Executive said the new minister was to be sworn in into office this afternoon, at Cotroceni Palace.

US Charge D’Affaires ad interim Dean Thompson inaugurates  wing of Mangalia County Hospital refurbished by US soldiers

US Charge D’Affaires ad interim Dean Thompson has attended a festive ceremony today inaugurating the refurbished Wing C of Mangalia County Hospital.

“It is a gift of the American people for citizens of Mangalia and other communities nearby. Better healthcare brings better results and will contribute to a better and more prosperous future for this region”, Mr Thompson said.

The refurbishment works have been financed within a Civilian Assistance Program by The United States European Command EUCOM. 90 troops of the US Air Guard in Alabama and Oregon have participated in the project, estimated at nearly 60,000 dollars. For one month, American soldiers have built a wheelchair access ramp, hydro-isolated two floors of the building affected by water infiltrations, painted the walls and fixed the plumbing and wiring systems.

The Law on the insolvency of private individuals adopted by the Lower Chamber

The Law on the insolvency of private individuals has been adopted today by the Chamber of Deputies. From now on, all individuals who cannot pay back their bank loans or other debts are going to be protected by several measures during a five-year period. Insolvency can be requested by any debtor who knows he is not able to pay a 90-day overdue debt. The law is meant for bonafide debtors that face bankruptcy for reasons independent of their will.

Bianca Ioniță