Romanian FinMin says risk of sanctions under Excessive Deficit Procedure largely averted

The risks of EU funds destined for Romania being suspended by the European Commission due to serious budgetary slippages have been reduced as a result of the measures taken by the government to stabilise the state's finances, according to finance minister Alexandru Nazare, Profit.ro reported.

He stated that he does not believe that in the current context, after the measures taken and those announced, Romania still risks a decision to suspend EU funds at the EcoFin Council on October 10.

The procedure remains, however, open, and the evolution depends on what Romania will do next regarding finances and deficits, minister Nazare admitted.

He argued that the government that came into office in June started the talks on this year's budget from 7.7% of GDP, established by the Council (EcoFin) decision in July.

"Immediately after the publication of the budget revision [consistent with an 8.4% of GDP deficit], in the following days we will resume discussions with the European Commission, to see what issues need to be addressed before the next Council on October 10," said Nazare in a press conference organised after the government meeting in which the budget rectification was approved.

(Photo source: Facebook/Alexandru Nazare)