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Romanian Lawmakers Overthrow Minority Govt

Romanian Prime Minister Emil Boc’s minority government lost a confidence vote in Parliament Tuesday, less than two months ahead of presidential elections, raising doubts over the country’s ability to meet conditions set under an IMF-led EUR19.5 billion bailout loan agreement.
Romanian Lawmakers Overthrow Minority Govt
13 oct. 2009, 15:42, English

Lawmakers cast 254 votes in favor of the motion, more than the 236 votes needed to overthrow the government, a first in Romania’s twenty years of post-communist history.

The country’s government lacks parliamentary majority since social democrats switched to opposition in protest at the sacking of one of their ministers early October. Democrat liberal ministers have each taken interim seats at the helm of ministries left vacant by social democrats.

Ahead of the vote, Boc accused the opposition of trying to throw the country into a severe political crisis, jeopardizing its bailout agreement with the IMF.

Romania and the International Monetary Fund signed in spring a two-year standby loan agreement for EUR12.95 billion, as part of a larger financial aid amounting to EUR19.95 billion. The EU, World Bank and the European Bank of Reconstruction and Development also chipped in to help the eastern European country cushion the effects of the recession.

Romania has pledged to drastically cut back on public spending and reform is public pension system.

Boc was planning to ask a confidence vote in Parliament and said he is putting his job on the line to enact a pension law that increases retirement age and eliminates special pensions that aren’t tied to people’s contributions, such as those of lawmakers, magistrates, military, law enforcement and intelligence services staff. The bill sets that all special pensions will be recalculated depending on people’s contributions, which means they will be reduced.