PSD President Sorin Grindeanu stated on Monday that the future government must fundamentally overhaul the “Bolojan model of austerity,” and that the Social Democrats will never vote for new taxes, wage cuts, or measures that “hit” pensioners or the Romanian economy, writes Agerpres.
‘I had a very frank discussion today with Prime Minister Eugen Tomac. The PSD’s message to Mr. Tomac is very clear. We appreciate the responsibility he has shown, but the future government must fundamentally change the Bolojan model of austerity. We will never vote for new taxes, we will not vote for pay cuts, we will not vote for measures that hit pensioners or the Romanian economy. If this government wants the PSD’s support, then reforms and deficit-reduction measures must come from the top down, not as they have until now. No reform should be carried out against the interests of Romanian citizens or companies,” Grindeanu stated at PSD headquarters following the meeting between Social Democratic leaders and Prime Minister-designate Eugen Tomac.
He added that Romania needs a government with the courage to implement real reforms and cited as an example the restructuring, liquidation, or privatization of loss-making state-owned companies that cannot pay their debts.
‘Economically speaking, I believe the most important measure for economic recovery is for the state to pay its debts to the companies that have carried out work and have not been paid. If we have a smaller deficit today, it is because the state has billions of lei in unpaid bills, and the entire economy is currently stifled and stalled. In the area of taxes, I would like—or rather, we would like—the future government to lower the VAT on basic foodstuffs and medicines to 9% or even 5%. On the social front, we expect a concrete reduction in labor taxes to be considered, at least for low and middle incomes. That is why we—not just me, but all of us—agree with Mr. Tomac when he says that Romania needs responsibility, not austerity. If this is the government’s direction, then we can discuss it,” said Grindeanu.
The PSD president noted that a final decision on whether or not to support the Eugen Tomac government will be made in the coming days.
‘In the coming days, we expect them to present the government program and the governing team in concrete terms, and in the coming days we will convene a broader party forum so that, following the debates and with all the facts at hand, we can make a decision in line with the people’s wishes,” he concluded.
Prime Minister-designate Eugen Tomac began a series of political consultations with parliamentary parties on Monday, with a view to securing support for the validation in Parliament of the government he is set to propose.
