Romanian PM Reiterates Govt’s Plan To Counter Economic Crisis

Tariceanu said the plan would be implemented shortly, "to keep crisis effects in check and maintain Romania’s economic growth rate this year”.

"Effects of the international financial crisis are starting to show in Romania as well. I don’t want us to act like simple bystanders and think we are at a deadlock. There are solutions, we need action that is well coordinated. We need to take care of people, companies and we need to have remedies for investments,” Tariceanu said.

He said the government plans to give EUR1,000 to companies that hire people who have been unemployed for more than three months.

"The move will allow us to create 80,000-100,000 jobs next year. I don’t want to see unemployment rising,” he said, adding he thinks the European Commission won’t object to the incentive.

Tariceanu added the government would also intervene in the banking system, which also has “serious problems” because of lack of confidence, which also led to a liquidity shortage.

On Wednesday, the government, the Romanian Banks’ Association and the central bank created a group that will work on measures to restore people’s confidence in the Romanian banking system.

"The state doesn’t need to intervene. The Romanian banking system is solid and will get through the crisis. I’m optimistic, we’ll be alright,” Tariceanu said.