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THE WEEK IN REVIEW 2-8/03/2008
(2009-03-07)
Last updated: 2009-03-09 14:38 EET
This week too, Romanian authorities have concentrated their efforts on curtailing the effects of the global economic and financial crisis. President Traian Basescu and the governor of the National Bank of Romania, Mugur Isarescu, held talks with the boards of the main banks in Romania, looking into the latest economic developments. The conclusion they reached is that the banking system is solid and able to further fund the economy. Isarescu however warned that the real effects of the world economic crisis have not been felt in Romania yet. Despite the skepticism expressed by many people, the Romanian president further believes that the economic growth rate in Romania will be 1.5-2% in 2009. As Traian Basescu says, that is also due to the fact that the foreign parent banks have given assurances that they will renew their funding to the Romanian subsidiaries to an extent of over 90%. Against the backdrop of optimism voiced by officials, Bucharest however has talks to get a foreign loan. The main possibility considered by Romanian officials is a loan from the European Commission, the other possibility being a loan from the International Monetary Fund. Finance Minister Gheorghe Pogea said recently that Romania would surely take out a foreign loan, which, according to banks, would amount to at least 6-7 billion Euros.

Concurrently with the moves it is undertaking to get a foreign loan, the government in Bucharest continues to make efforts to curtail the domestic spending. This week, Prime Minister Emil Boc has even decided to dismantle his Chancellery. According to Emil Boc, the Chancellery had practically become a parallel government, an oversized, bureaucratic structure, uselessly wasting public money. The Chancellery’s prerogatives will be taken over by the Government’s General Secretariate. Governmental agencies are also deemed as wasteful and in turn will be reorganized. Emil Boc says that Romania suffers from bureaucratic obesity since there are too many governmental structures established only to give jobs to political cronies.

This week, two important steps have been made in Bucharest, which Brussels has repeatedly blamed for failing to bring high level corruption cases to court. After 158 MPs voted “yes” in favour of a request made by the general prosecutor, the immunity of former Prime Minister of Romania, deputy from the Social Democratic Party Adrian Nastase, has been lifted and he can now be prosecuted in the “Aunt Tamara” and “Zambaccian 2” files, where he is charged with influence peddling, bribery and bribe-taking. Adrian Nastase claims that his guilt is not proven and that those files are politically motivated. Also this week, former Minister of Transport, Miron Mitrea has been prosecuted by the National Anti-Corruption Directorate, being charged with bribe-taking, conspiracy to forgery of documents and the use of forgery. According to the National Anti-Corruption Directorate prosecutors, over 2001-2002, Miron Mitrea received undue benefits in exchange of appointing and keeping a certain person in an important position.

In Bucharest, a case of espionage has hit the headlines. Achim Floricel, a ministry of defense employee, stands accused of spying and divulging classified information. Also under arrest is his liaison, Bulgarian secret agent Marinov Zikolov. According to prosecutors, the two provided a non-NATO member state, most likely the Ukraine, with state secrets, endangering national security. The espionage scandal has rendered relations between Romania and the Ukraine yet more tense than before. Unconfirmed information hints at an expulsion of diplomats between Bucharest and Kiev.

In Bucharest, 400 professionals voted in the Gopo awards, a gala which is now in its third edition. Considered by local filmmakers to be the national equivalent of the US Film Academy Awards, the event had a clear winner – “The Rest Is Silence”, by Nae Caranfil. The movie had 14 nominations, and got nine Gopo statues, such as Best Movie, Best Actress in a Supporting Role, Best Script, Best Music, and Best Costumes. The Best Director award this year went to Radu Muntean for Boogie, a movie that also got Best Leading Actor for Dragos Bucur’s performance.
 
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