Prima pagină » English » Romanian ‘08 Budget Def Widening Not Due To Fincl Crisis – Fin Min

Romanian ‘08 Budget Def Widening Not Due To Fincl Crisis – Fin Min

Romania’s budget deficit of 5.2% of the gross domestic product in 2008 was not necessarily fueled by the international financial crisis, and the EU might punish the member states that went beyond 3% of the GDP threshold due to other reasons, Romanian Finance Minister Gheorghe Pogea said Thursday.
Romanian ‘08 Budget Def Widening Not Due To Fincl Crisis – Fin Min
29 ian. 2009, 19:16, English

In the next period, the countries with wider deficits might be investigated by the European Commission. If wider deficits were caused by the financial turmoil, the Commission might be indulgent, if not, there will be penalties, Pogea said.

He said the 2008 budget deficit overshot the 3% of the GDP threshold due to the former Government’s overconfident forecast of budget revenues.

Pogea also criticized the expansionist public spending policy in 2008, as the amounts allocated for investments were low.