Fiscal Policies Review, June 25 - July 2, 2018
June 28. FinMin held the first consulting session with business representatives over the Fiscal Codes updates. FinMin Teodorovici chaired the session & stated that authorities “are open to any pertinent proposal coming from the business environment.” Contrary to the initial statements (April 2018, June 6, 2018), the FinMin made it clear that the legislative change is just an update to the existing Codes, a “consolidated version” rather than re-written Codes, and that the Gov’t cannot prevent MPs from amending & adding to the Codes. During the discussion, Teodorovici announced that the adoption of GEO 79 was postpone for this autumn, and that this week MPs will operate changes to GEO 25. Following discussions related to BNR’s intention to cap lending, on June 26, BNR Governor Mugur Isărescu offered more insight into the matter. While denying speculations over BNR's alleged plans to put a cap on lending, Isărescu highlighted that the Central Bank is interested in "a healthy lending, balanced on all its components, sustainable, and I cannot stress it enough, sustainable." Over the course of this summer, the Central Bank plans to hold talks with the Romanian Banking Associations and with non-banking authorities “so that lending becomes the engine of sustainable economic growth.” Deficit could reach 3.5-3.6% by the end of the year (Fiscal Council). This week Chamber of Deputies The Committee for budget, July 3, is expected to issue a report for the draft bill on GEO 25/2018 (income tax, VAT and excises); as well as the report on the Draft Bill on offshore exploitation (Joint report with the Committee for Administration). Committee for Industries – report on Access Economy Bill. Senate The Senate’s Plenum, July 3, votes on the legislative proposal regarding the Court of Accounts and the draft bill approving GEO 46/2018 on the National Office on Centralized Procurement. Gov’t Sitting GEO on NEETs (RON 2,250 paid to employers)  In Statements Ionuț Mișa, ANAF president, June 28, “Employer must give up on bonuses and increase gross wages, the social contributions bill will be promulgated”. Ionuț Dumitru, Fiscal Council president, June 29, “The budgetary deficit could reach 3.5% - 3.6% by year-end”. President Klaus Iohannis, June 28, “A Euro-zone budget is not a problem as long as it does not create a new fissure between Euro-zone countries and non-Euro ones”. Mugur Isărescu, June 29, “We had an economic growth which was among the top in the post-crisis period, almost 7%”. Mugur Isărescu, June 29, “The gold kept by BNR into the Bank of England account (…) remains our gold. (…) It did not even cross our minds to gamble our gold at the slots machines, as a character (i.e. Lucian Isar) suggested.” Overview   June 28. Gov’t Sitting, PM Viorica Dăncilă announced that the pension point increases by 10% starting July 1. June 28, the FinMin published the budgetary execution for the first five months of 2018. June 28. Gov’t approves Memorandum on Romania’s economic study. June 29, the Ministry of Economy published the 2017 report on the public companies which fall under the authority of the Ministry. June 25. ANAF published the June 18 – 22 legislative updates. ARRIVED   ANAF put up for debate the Draft Order on social and health contributions, Draft order on sponsorship forms, and the Draft order on income tax for individuals. FinMin put up for debate the Resolution on State Aid and the Draft Bills on the execution of the general budget & social insurance budget for 2017 (June 27); Draft Resolution on Centralized Procurement (June 26). DEPARTURES ANAF Order No. 1612/2018 approving the List of fiscal obligations paid in the single account was published in the Official Gazette. Draft bill on corporate governance was adopted by the Senate. The Chamber of Deputies is the decision making body Draft bill on the 2040 Strategy was adopted by the Senate. The Chamber of Deputies is the decision making body.


Pentru a downloada raportul trebuie să vă autentificați


Weekly Policy and Political Report, June 25 - July 2, 2018
Special Committee on the Criminal Codes  The Special Parliamentary Committee for the Justice Laws met on Monday, July 2nd and decided to pass a report on the Criminal Code (L238/2018). The bill is due for a vote in Senate's Tuesday session. The main amendments concern the following:  Repealing article 289 of the Criminal Code regarding misconduct in office;  Redefining an “organized crime group” (The group occasionally formed with the purpose of immediately committing one or several crimes does not represent an organized criminal group.)  Modifying article 277 of the Criminal Code. The new version states that a person disclosing classified information from a certain file could face up to two years in prison.   Threshold for abuse of office set at the gross minimum wage. The deed is punishable if the damages incurred surpass the gross minimum wage. Furthermore, issuing or approving documents from the Gov’t or Parliament does not count as abuse of office.   On a related note, PNL President Ludovic Orban asked to postpone the debate on the Criminal Codes until the Venice Commission issues an opinion on the proposed amendments.   Activity in Parliament  The Parliament has convened for an extraordinary session early in July. Among the subjects included on the agenda of the Chamber of Deputies' plenum during July 2-19 are bills such as:  Draft bill on Offshore Drilling  Legislative proposal regarding Romania's Administrative Code  Legislative proposal on amending the Justice Laws (statute of judges and prosecutors)  Draft bill on approving GEO No. 110/2017 regarding the Program for supporting SMEs - IMM INVEST ROMANIA  Senate’s plenary sessions scheduled during the 3rd and 19th of July have on the agenda:  The legislative proposal on the presumption of innocence - Criminal Code (due for a vote in Senate's Tuesday session)  The Draft bill for the approval of the GEO No. 46/2018 regarding the establishment, organization and functioning of the National Office for Centralised Procurement  Foreign Intelligence Service (SIE) Leadership - updates  PSD MP Gabriel Vlase, the proposed candidate to take the helm of the Foreign Intelligence Service - SIE received a favourable notice from the joint committee overseeing the activity of SIE. The next step is for the Parliament to vote upon this issue in a joint plenary session.  (...)


Pentru a downloada raportul trebuie să vă autentificați


Progress Report on the Priorities of the European Commission, June 20 - 27, 2018
The motion of no confidence initiated by PNL, USR and PMP against the Government led by PM Viorica Dăncilă failed at the vote held on 27th of June with 166 votes in favor and 4 against. A total of 233 votes was necessary for the motion to pass, yet the odds were more than unfavorable. Even PNL President Ludovic Orban maintained some reservations concerning its outcome, despite negotiations having taken place, while UDMR President Kelemen Hunor claimed that there is no chance for the motion to pass, even with the endorsement of national minorities. UDMR decided not to take part in the final vote, but attended the debate. On the day of the motion, a crowd of 4,000 protesters gathered in front of the Parliament building demanding the resignation of PM Dăncilă.


Pentru a downloada raportul trebuie să vă autentificați


Weekly Policy and Political Report, June 18 - 25, 2018
On June 21st, Liviu Dragnea, President of the Chamber of Deputies and of PSD received a prison sentence of three and a half years for inciting to abuse of office. The ruling is not final and goes to the 5-judge panel at the High Court of Cassation and Justice.  The Executive Committee of PSD convened the next day, on the 22nd of June and decided that the party would stand beside Dragnea. After criticizing the sentence and the ubiquitous deep state abuses, he vouched for “a more radical and harsh attitude”, while apologizing to the “thousands of people wrongly imprisoned (…) due to a Soviet era article”, alluding to the abuse of office.  The Federation of Trade Unions in the National Penitentiary Administration replied and stated that only 73 people are currently imprisoned for abuse of office, not thousands. Given that PSD members argue that debates on the Criminal Code and the Criminal Procedure Code have been delayed without reason, three options have been publicly tabled that can deal with the issue. The first takes the form of a Government Emergency Ordinance, while the second refers to Government assuming responsibility over the legislative change, while the third one is suspending President Klaus Iohannis. All options bypass the ordinary legislative procedure and satisfy SocDems' quest for a speedier adoption of the Criminal Codes. 


Pentru a downloada raportul trebuie să vă autentificați


Fiscal Policies Review - June 18 - 25, 2018
            Following Central Bank’s Macroprudential Committee’s proposal for capping the degree of indebtedness, FinMin opposed the measure and asks for impact studies behind this type of decision. While the FinMin asks for a relaxation of lending conditions, the Central Bank had talks with the banks over capping the indebtedness level, similar to the model Romania had before joining the EU in 2007. Pundit Lucian Isar noted that BNR Governor Mugur Isărescu "is breaking down the economy as he did in 2008" in reference with ongoing rumors about capping the level of indebtedness.  FinMin Teodorovici concluded on June 17 that "BNR does not plan to limit lending". A slightly different approach was presented by BNR’s Adrian Vasilescu on June 25. According to him, the Central Bank does not plan to “cap lending” but to avoid “over-indebtedness.”              A press release issued by the European Commission on June 22, calls on Romania to correct significant budgetary deviations. The EC recommends that Romania take measures to ensure that the nominal growth of net primary government expenditure does not exceed 3.3% in 2018 and 5.1% in 2019, representing an annual structural adjustment of 0.8% of GDP in both years. Deadline set for report on action taken is October 15, 2018.


Pentru a downloada raportul trebuie să vă autentificați




Issue Monitoring

Telefon: 031.080.2370 | Fax: 031.080.2371 | Email: office@cmpp.ro
2018 © Issue Monitoring. ALL Rights Reserved. Privacy Policy | Terms