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June 17, 2024
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Romania Opposition Leader: We Head towards Bankruptcy Similar to Greek Model

Romania’s opposition leader, Catalin Drula, the leader of the reformist party USR, made worrying predictions about the country’s future economic situation, comparing it with the Greece situation in 2009.

Catalin Drula, interim leader of the Save Romania Union Party (USR), stated on one local Romanian television on May 24 that Social Democratic Party leader Marcel Ciolacu lacks the courage to enter the Government as prime minister in May 2023 because Romania borrows 1,000 euros per second. In his opinion, the country heads towards the Greek model of bankruptcy.

Romanian Politician
Photo Source: Catalin Drula Facebook Page

According to the USR leader, Romania currently has “an irresponsible socialist government with epaulettes.” The meaning of the expression is that, in his opinion, the Government is led by the secret services, not by the politicians. As a reminder, the current Romanian Prime Minister is the ex-chief of staff of the Romanian Army.

Catalin Drula highlighted that there are social class differences and significant gaps between high and low-income people in Romania. For example, a Romanian secretary of state’s salary is approximately EUR 2,000, while the minimum net wage in Romania is EUR 300.

They (Social-Democrats) do not have the courage to cut special pensions, they keep their privileges. That kills us in Romania, that there are privileged classes and that there is such a big difference between small and large pensions.

Catalin Drula, USR leader

Drula’s idea is that, with all the price hikes and rising inflation, the possibility that Romania will be in the scenario of Greece in 2009 is relatively high.

We are heading towards the Greek bankruptcy model, it is not clear if in a year or two, because the state borrows money at an alarming pace, at higher and higher interest rates, because out of six RON spent from the budget, we have 4 RON as income and we borrow 2 at the moment, because inflation has exploded and the government has an irresponsible fiscal policy, which deepens the budget deficit.

Catalin Drula, USR leader

Will Romania get into that situation that Greece had to face ten years ago? Hopefully not, but the rising inflation and the budgetary deficit might cause economic turmoil. Meanwhile, the Government seems to be more preoccupied with increasing taxes and giving up the fiscal facilities offered to some industries, including IT and construction. These measures won’t help the private sector, and this is a fact.

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