President Challenges 2019 Budget At Constitutional Court

Romanian President Klaus Iohannis challenged the 2019 budget bill at the Constitutional Court on Friday, calling the bill a "budget of national shame" and criticising the country's Government for ignoring issues in health, education and infrastructure.

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The president argued that the budget disregards EU commitments, fundamental rights and the principles of decentralization and subsidiarity.

“The budget of national shame not only endangers Romania’s economy, but has clear aspects of unconstitutionality. It does not respect obligations Romania committed towards the EU, of which it is part of. Some fundamental rights are infringed, the role of the Fiscal Council was ignored, it harms the principles of decentralization and subsidiarity,” the president said.

The Romanian head of state added that the budget bill is “unrealistic and overevaluated” and criticized the ruling party for not focusing on issues such as hospitals, education and the lack of highway infrastructure.

“One thing is clear. The PSD governance has failed. There are problems over problems in hospitals, education is underfunded and the economy is shaken especially after decree 114, adopted very secretively at the end of last year. We cannot even talk about highways. Regarding the judiciary, the entire social democrat governance was an assault on the judiciary and the rule of law,” the Romanian head of state added.

The Romanian Parliament passed the 2019 budget bill last Friday.

The adopted budget plan is built on a deficit target of 2.76% of gross domestic product, below the EU limit of 3%, and an economic growth projection of 5.5%.

The budget created controversies with Romanian municipality mayors over a new spending share, which sees local administrations take on some of the Government’s previous spending, and also due to a last-minute opposition amendment which increased child allowances, with the ruling party deciding to raise the deficit targe from 2.55 to 2.76% of GDP.

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