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| Further Economic Measures 13/12/2010 |
| (2010-12-13) |
| Last updated: 2010-12-14 16:13 EET |
The increase in incomes is based on the economic growth forecast of 1.5-2% for 2011. The PM has given assurances that the government does not intend to take further measures to adjust or diminish incomes in 2011. The strategy for overcoming the crisis is based, among others, on public-private partnerships, for which the government passed a bill in its latest meeting.
According to PM Boc the law will boost investments in infrastructure, hospitals, agriculture, water and sewerage systems. “We have passed the norms for public-private partnerships. We haven't had such a law for the past 20 years. The law is necessary in order to attract investments and also extremely important for modernizing the country in various fields”.
The private environment has hailed the law. The president of the UGIR 1903 Employers' Organization, Ioan Cezar Coraci, said that public-private partnerships could stop the economic decline and curb corruption:
Ioan Cezar Coraci: “In such a context, the volume of investments in Romania will grow, including Romanian investments. Therefore the law is a good thing and, in my opinion, it will manage to boost the volume of investments in Romania and eventually it could contribute to stopping the decline of Romanian economy”.
On the other hand, Emil Boc announced the authorities would hold talks for a new loan agreement with the IMF and the European Commission. Romania might need such a preventive agreement in order to avoid future downturns. However the PM did not mention the amount of money the government would like to borrow from international institutions.
According to him, the government’s main aim, for the time being, is to complete the already existing agreement.
The IMF has announced that, at the next assessment mission, scheduled for early 2011, its officials will talk about the conditions and type of a new agreement with Romania, which might be concluded after the present stand-by agreement comes to an end. What we know so far is that a new agreement with the IMF will be worth less than the current agreement, which stands at 13 billion euros.
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