Romanian Govt To Cut Spending In Ministries, Govt Agencies, Mulls Sacking State Secretaries

Romania’s Government will halve spending on phone bills, travels, fuels and office supplies in all its institutions and agencies, along a 20% spending cut on goods and services and a 25% cut in wages and staff numbers, people close to the talks told MEDIAFAX Wednesday.

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Prime Minister Emil Boc called on ministers during the Cabinet meeting Wednesday to come up by Friday with concrete plans to reduce staff spending and staff numbers by 25% in their ministries and subordinated governmental agencies.

The Government has also decided in principle to cut the number of state secretaries to two instead of three, except for the ministries of Interior and Foreign Affairs and possibly those of Regional Development and Economy, the sources said.

The sacking of state secretaries has yet to be discussed in the government coalition before a final decision is reached.

Romania's center-right Government on Tuesday survived a no-confidence vote in Parliament by a narrow margin of just eight votes and is now working to implement its harsh austerity plan that almost got it overthrown.

The recession-hit country is relying on a EUR20 billion loan led by the International Monetary Fund and has pledged to cut public spending, including wages, pensions, social benefits and public sector jobs, to reign in its deficit to a maximum 6.8% of the gross domestic product this year.

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