EC Might Start Excessive Def Procedure Against Romania Anytime- PM

According to him, the Commission’s sanction might be avoided if Romania presents a balanced budget for 2009.

"We can prevent the excessive deficit procedure if we prove to have a rigorous and balanced budget for 2009," Boc said.

The European Commission launched on February 18 the excessive deficit procedure against six EU member states, after considering the exceptional circumstances of the ongoing sharp economic downturn, while Romania has not been yet analyzed by the Commission.

EC launched the excessive deficit procedure against Greece, Spain, France, Ireland, Latvia and Malta, as all of them breached the 3% of the GDP reference value, set up in the Maastricht Treaty.

The EC also analyzed the Stability and Convergence Programmes of other 11 member states, not including Romania.

Romanian finance minister Gheorghe Pogea recently said that he does not expect Romania to be sanctioned for an excessive deficit in 2009, adding that such a procedure would take place in the next year after exceeding 3% of the GDP, and only if it was not adjusted.

Romania might avoid EC’s sanctions if it observes its engagements of keeping the budget deficit below 2% of GDP in 2009, Pogea also said.

The Romanian authorities said they would approve several measures to cut the budget expenses, to avoid the excessive deficit procedure.