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Romanians Pay The Consequences Of A ‘Bad Government’ – President

Romanian citizens are paying the consequences of the former “bad governing”, President Traian Basescu told a parliament meeting Monday.
Romanians Pay The Consequences Of A ‘Bad Government’ - President
09 mart. 2009, 20:21, English

Basescu said the country’s former executive spent 3 billion lei () from the National Development Fund before the parliamentary elections in 2008.
 
“(…) before and during the elections last year, RON3 billion from the National Development Fund was wasted, money that came mainly from BCR privatization (Romania’s largest lender Banca Comerciala Romana e.n.),” Basescu said in parliament.
 
He criticized the excessive growth of the public sector, which became a “burden”, while the public debt topped EUR6 billion.
 
Basescu said that out of approximately 300,000 new jobs developed in the past four years, more than half (160,000 jobs) were in the public sector.
 
“Salary revenues in the public sector grew to 8% of the GDP in 2008 from some 5% in 2004. In absolute numbers, the growth is even more impressive – nearly EUR5 billion additional payments for salaries in the public sector,” Basescu said.
 
The former Cabinet chose to deepen the dependency on the state rather than help developing a strong middle class, he added.
 
Romania’s budget deficit increased gradually, up to the “record figure” of 5.3% of the GDP in 2008, Basescu said. “In other words, an additional public debt of over EUR6 billion last year alone.”
 
Should the existing government maintain this situation, then Romania will not be able to maintain its target to adopt the euro currency in 2014, Basescu said, mentioning that the downturn economic climate cannot be used a as pretext to give up the euro-adoption timetable.