Romanian Govt. passes budget revision: there’s enough money for pensions, wages

Romania’s new Government on November 26 endorsed the second budget revision, in line with the draft published the day before.

The deficit to GDP ratio is preserved at 7.13% of GDP - which allowed the Executive to increase the deficit in nominal terms by RON 1.1 bln (EUR 220 mln) and, also backed by robust revenues, earmark supplementary funds, including RON 2.2 bln (EUR 440 mln) to the ministry of labour and social assistance, News.ro reported.

This allowed finance minister Adrian Caciu to assure the public pension recipients, as well as the employees in the budgetary system, that their pensions/wages would be paid in time.

This is not a major achievement, though, since the Government can afford a deficit of over 3% of GDP in November-December after it avoided setting a tighter deficit target.

In nominal terms, the Government can spend EUR 6.6 bln more than it collects in the last two months of the year.

(Photo source: Gov.ro)