The year 2025 marked a period of post-shock recovery for Romania and its political system. Long dominated by the Social Democratic Party (PSD) and center-right parties gravitating around the National Liberal Party (PNL), the established political balance was broken by the unexpected rise of the far-right.

After the cancelled 2024 presidential elections and despite rising taxes and inflation, Romanians nevertheless elected the pro-EU, centrist president Nicușor Dan and ended the year by demanding far-reaching reform within the justice system. This is the 2025 political year in review, brought to you by Romania Insider.

The past year started with lingering in confusion. The Romanian Constitutional Court cancelled the 2024 presidential elections and asked for a rerun, prompting parties to scramble for candidates. The country had an interim president, an interim prime minister, and the stock market plummeted while the RON-EURO exchange rate went haywire. The prerequisites for a complete crisis were present, but the country narrowly avoided it and elected a centrist president, which mediated a wider, centrist coalition. 

• A new president to mediate a crisis

The start of the year saw the resignation of Romanian president Klaus Iohannis, under pressure from the far-right and the Social Democrats. Senate leader Ilie Bolojan took his place as interim president, while the elections moved forward, with far-right candidate George Simion leading in surveys.

The presidential elections, set in May of 2025, were Romania’s first major trial of the year. The ruling PNL and PSD coalition, together with the Hungarian minority party UDMR, backed a common candidate, Crin Antonescu, but he failed to obtain the necessary votes to qualify for the second round. Instead, far-right AUR leader George Simion and the centrist Bucharest mayor Nicusor Dan battled it out at the polls, with the latter obtaining a decisive victory and becoming Romania’s new president. Markets rallied soon after, and Dan signalled continued support for Ukraine.

Romania’s far-right opposition takes steps to suspend president Iohannis

From pro-European leader to controversial exit, Klaus Iohannis leaves after a decade as president of Romania

George Simion and Nicușor Dan head into Romania’s presidential runoff with equal support, poll says

Nicușor Dan officially takes office as president of Romania, begins term with call for reform

Who is Nicușor Dan, the new president vowing to keep Romania on Its European path?

Markets rally as Romania's political outlook stabilises after Dan's presidential election victory

President Nicușor Dan leads political trust survey in Romania, followed by Ilie Bolojan and George Simion

President Nicușor Dan reaffirms Romania's support for Ukraine during B9 summit

• A government renewed with old faces

Having chosen its pro-EU path through Nicusor Dan’s election, Romania woke to see its public finances in disarray. The wage increases, promised and some delivered in the 2024 super-electoral year by the former Marcel Ciolacu government, were made possible through loans, and creditors were asking for their due. Facing a looming 9% deficit crisis and the far-right threat, Romania’s centrist parties formed a wide but uneasy coalition. The Social Democrats, the National Liberals, UDMR, and the reformist Save Romania Union (USR) party joined hands and backed PNL’s Ilie Bolojan as prime minister.

However, the Social Democrats proved unsteady allies, as interim leader Sorin Grindeanu faced internal opposition to his leadership and local leaders openly criticized the government. Tensions between them and USR remained throughout the year, dotted by episodes like the resignation of the USR defence minister, the death of former president Ion Iliescu, and the Prahova water crisis. 

Romania's ruling coalition endorses new government with robust majority

Romanian Social Democrats break coalition ranks and vote simple motion against environment minister

Romanian Social Democrats elect new leadership, only one candidate running for party leader

Romanian PM Ilie Bolojan challenges Social Democrats to join far-right AUR amid coalition tensions

Influential Social Democrat regional leader hints at his party pulling out of ruling coalition in Romania

Romania’s Social Democratic Party halts government reforms pending internal review

Romania’s defence minister Ionuț Moșteanu resigns after controversy over his studies

Romania's Social Democrats summon leading body to reassess ruling coalition membership

Romania's Social Democrats to boycott ruling coalition unless key demands are met

State funerals for former president Ion Iliescu spark tensions within Romania’s ruling coalition

Romanian Social Democrats turn increasingly dissenting to government's fiscal policy

Romania’s PM Ilie Bolojan elected president of the Liberal Party

Romanian environment minister resists pressures to resign following Prahova water crisis

• New taxation and spending cuts

The start of the year saw Romanian officials largely unable to make far-reaching reforms despite growing deficits. All awaited the result of the presidential election. Once the president was chosen and a new pro-EU coalition took shape, changes happened rapidly. 

The new head of the executive went on to make unpopular decisions right away. Ilie Bolojan’s cabinet liberalized energy prices, removed food price caps, and increased a string of taxes, including the VAT, despite president Nicusor Dan’s opposition. The measures stabilized the state budget and eased concerns of the international rating agencies and the EU Commission despite PSD’s opposition to more extensive spending cuts. They also associated Bolojan, formerly a very popular political leader, with the pain accompanying austerity measures. 

Political crisis in Romania delays tax reforms

Politically-induced shock on Romania’s markets continues: weaker currency, higher interest rates

Fitch warns outcome of presidential elections may impede needed fiscal reforms in Romania

Romanian PM unveils fiscal package with VAT, fuel tax hikes to reduce deficit

Romanian PM insists on 10% workforce cut in local administration

Romanian government approves EUR 2.1 bln fiscal package to reduce deficit

Romanian executive plans to cut 40,000 jobs from local administration

Romanian PM Ilie Bolojan opposes minimum wage increase in 2026

Food price capping causes more tensions within Romanian ruling coalition

Romania's public administration reform to save EUR 0.7-0.9 billion in public spending

Romanians to face economic difficulties next year but 2027 more hopeful, president says

Romanian PM says fiscal measures deliver results as budget revenues rise and spending falls

Romania avoids negative recommendations under EU's excessive deficit procedure

• Reform and corruption in the justice system

Throughout 2025, especially from the summer until the end of the year, Romania’s executive struggled to reform the magistrates' pension system, which allowed them to retire at around 49-50 years old with a pension that was equal to or higher than their salary. The pensions were unsustainable and weighed heavily on the deficit-heavy state budget. The magistrates, however, rejected any proposal that would curtail their income, and the Constitutional Court struck down a government project to that end. 

The debate shifted in December 2025, when an independent media investigation showed how several court heads allegedly delayed corruption cases for years until suspects walked free. The investigation prompted widespread protests and strengthened the government’s position in reforming the justice system.

Romanian PM says magistrates' pensions are an urgent financial and social problem

Romania to raise retirement age for magistrates to 65 years, cap pensions

Romanian president backs government in reforming magistrates’ retirement age and pensions

Romania’s magistracy council signals fierce resistance to PM’s plan to curtail  magistrates’ privileges

Romanian government reaches deadlock in negotiations with magistrates on their pensions

Romania's top judicial bodies reject involvement in magistrates' pension bill

Romania's Constitutional Court finds procedural flaw with law aiming to reform magistrates' pension system

Media investigation revealing "captured judiciary" prompts street protests in Romania

President Nicușor Dan acknowledges corruption in Romania, says public discontent is justified

Romanian president invites protesting magistrates to talks on judiciary crisis

“Rule of law is not negotiable,” Romanian president says as justice system faces crisis

• A new mayor for Bucharest

The partial elections in Bucharest, held on December 7, strained relations between the parties forming the centrist governing coalition. While polls indicated a tight race, Liberal candidate Ciprian Ciucu came out as the winner and consolidated the party’s position in government while also keeping the far-right at bay. 

The election was seen as a blow to now-president Nicusor Dan, who backed the USR candidate, former transport minister Catalin Drula. It was also a blistering defeat for the Social Democratic Party, whose candidate came in third. 

At the same time, former prime minister Marcel Ciolacu returned to his roots at the helm of the Buzau County Council following the elections. 

Bucharest mayoral elections expected in November after presidential win left seat vacant

17 candidates cleared for Bucharest mayoral race

Poll shows isolationists-backed candidate for Bucharest mayor gaining ground

Who is Ciprian Ciucu, the new general mayor of Bucharest?

Romania’s former prime minister Marcel Ciolacu scores clear win in Buzău elections

• So-called sovereignist camp rises

The period following the cancelled November 2024 presidential elections was marked by the rise of the far-right, so-called sovereignist bloc in Romania. Nativist, largely anti-EU and pro-Russia, and with obvious legionary leanings, the loose movement came to be defined by the former presidential candidate Călin Georgescu. 

A previously unknown figure, Georgescu rose to prominence overnight during the elections. After the elections were cancelled, he was barred from running for president by the Constitutional Court. Nevertheless, his messiah-like allure drew millions of voters disillusioned with traditional parties, despite the fascist rhetoric and dark ties to Russia-linked mercenaries and shady financial backers. Protests meant to support him turned violent, while prosecutors investigated Georgescu for an attempted coup and promoting fascist and legionary ideology. 

After the election of centrist president Nicusor Dan, Georgescu bowed out of public life, but still looms large in the far-right scene. 

In Parliament, the sovereignist parties formed the only opposition to the centrist coalition, despite internal fights. Frustration grew over the cancellation of the presidential elections, now a war cry for the sovereignist camp. 

Major rally in Romania against annulment of presidential elections

Protest turns violent in Bucharest after Călin Georgescu’s presidential candidacy invalidated

Survey shows half of Romanians believe presidential elections were unfairly organized

Romania’s former presidential candidate Călin Georgescu sent to trial for promoting fascist, legionary ideology

Former presidential candidate Călin Georgescu sent to trial for complicity in attempted coup in Romania

Romania’s cancelled 2024 presidential elections influenced by Russia, general prosecutor says

Romania’s general prosecutor points to early connections between Russia and Horațiu Potra, Călin Georgescu

Former far-right presidential candidate Călin Georgescu retires from Romanian politics

Pro-Russian politician Călin Georgescu demands dismissal of Romanian defense minister, military commanders

Romanian far-right politician Călin Georgescu hints at a return to public life

Co-founder of Romania's isolationist party AUR resigns citing authoritarianism

More MPs resign from Romania's far-right party POT

Far-right party S.O.S. Romania expels three senators, asks for its Senate group to be dissolved

Far-right members of Parliament in Romania form new sovereignist bloc

INSCOP poll: Far-right party AUR leads voter preferences in Romania, traditional parties lose ground

Romania’s far-right AUR takes lead in new parliamentary election poll, hitting 40% support

• US-Romania tensions and normalizations

Donald Trump’s second mandate as president of the United States, inaugurated in January 2025, was a shift in US-Romania relations. Officials in the new administration, like vice president JD Vance and Elon Musk, repeatedly criticized Bucharest for cancelling the presidential elections. Simultaneously, Romania was excluded from the Visa Waiver Program, despite being accepted by the Joe Biden administration.

Facing criticism from a major ally, Romanian officials made efforts to normalize relations once again. A Romanian university nominated Trump for the Nobel Peace Prize, and the Parliament held a moment of silence after the killing of Trump ally Charlie Kirk.

By the end of the year, the mood between the two states improved, and official messaging turned positive once again, despite a reduction in US troops from Romanian bases. 

US vice president says Romania canceled presidential election over “flimsy intelligence suspicions” and “continental pressure”

Elon Musk shares message in support of far-right Romanian politician Călin Georgescu on X

US eliminates Romania from Visa Waiver program

Thousands of Romanians in US at risk of deportation under Trump immigration policies

US Department of State criticizes Romania over cancelled presidential elections in human rights report

Financial Times: Trump administration pressuring Romanian authorities to lift restrictions on Andrew Tate

Romanian university SNSPA announces Nobel Peace Prize nomination for Donald Trump

US reaffirms commitment to Romania after announcing troop reduction

Donald Trump names Darryl Nirenberg as next US Ambassador to Romania

President Nicușor Dan thanks Donald Trump for "kind words regarding Romanian people" amid troop rotation

President Dan says Visa Waiver setback driven more by US migration politics than Romania's political situation

Romania currently “rebuilding trust” with the US to rejoin Visa Waiver program, minister says

Romanian president welcomes signing of Gaza peace agreement brokered by Donald Trump

Romanian Parliament holds moment of silence for American conservative activist Charlie Kirk

Romanian president plans US visit early 2026 focused on economic ties

• Foreign partnerships

Looking ahead, Romania strengthened ties with foreign partners in Europe. After the election of pro-EU president Nicusor Dan, the country realigned with traditional allies like Moldova, France, and deepened its NATO ties. The issue of defence proved especially important, as European Commission president Ursula von der Leyen, NATO secretary general Mark Rutte, and other major leaders stressed Romania’s role in the security of Eastern Europe. 

Moreover, the government set its sights on joining the OECD in 2026 and secured the support of Austria, Germany, and other member states. 

Ursula von der Leyen in Romania: “You help keep Europe safe in the air and waters of the Black Sea”

Romanian president Nicușor Dan makes private trip to Moldova, attends festival with Maia Sandu

EC’s Valdis Dombrovskis urges Romania to stay on fiscal consolidation path

Macron confirms 2026 visit to Bucharest as French and Romanian leaders hold economy, security talks in Paris

“NATO is invested in Romania”: Mark Rutte reaffirms Alliance commitment during Bucharest visit

Romania is a “key pillar of European security,” says António Costa during visit to Bucharest

Romania’s goal to join OECD by 2026 “achievable,” secretary-general says during visit to Romania

Germany reaffirms support for Romania’s OECD accession

Austria reaffirms support for Romania’s OECD bid as leaders talk economic, security challenges

• An old enemy

Tensions between Russia and Romania reached new highs in 2025, as the former intensified its war on Ukraine and the latter stood by its neighbor and partners in the EU. The Romanian Parliament finally passed a bill allowing the army to shoot down unauthorized drones, which infringed on Romanian airspace routinely, and officials doubled down on defence investments. 

On the other side, Romanian prosecutors and the president showed that local far-right actors are backed by Moscow, which the latter seemed intent on proving by defending figures like former presidential candidate Calin Georgescu. The two countries resorted to expelling each other’s diplomats, and Romania condemned Russian incursions into Poland and Estonia. 

All the while, the Romanian government and president continued to express support for Ukraine as it defended itself from Russian aggression.

Chamber of Deputies approves bill allowing Romania to shoot down unauthorized drones

EU must arm itself to deter Russia from “thinking about an attack,” Romanian president says

Campaign of far-right politician Călin Georgescu “directed from Moscow,” Romanian president says

Romania has solid proof of Russian involvement in presidential campaign, president says

Vladimir Putin criticizes Romania for “manipulating” elections

Russia defends Romanian far-right politician Calin Georgescu

Pro-Russian hacker group behind attack on Romanian government websites during election day

Romania expels Russia's military attache and his deputy

Romania backs additional sanctions on Russia, says president Nicușor Dan

Romania expresses solidarity with Estonia at UN Security Council meeting after Russian airspace incursion

Romanian president calls for strong security guarantees for Ukraine, immediate return of abducted children

Survey: Romanians’ trust in Russia falls to minimum, 11 times less than in EU

Moscow speaks of hostile actions by Romanian authorities towards the Russian Federation

Moscow responds to Bucharest with expulsion of two Romanian diplomats

Romania stands in solidarity with Poland after Russian drones breach airspace, officials say

radu@romania-insider.com

(Photo source: Inquam Photos | Codrin Unici)