Internal Affairs

With President Iohannis having nominated Ludovic Orban for the position of PM again, PSD has notified the Constitutional Court of Romania, on the grounds that the PM that has been dismissed via a censure motion cannot be proposed as a replacement.

While the Constitution provides terms for instating a new Government, it does not provide for any consequences if the confidence vote is not held. Therefore, PSD will not participate in the vote and wait for the decision of the Constitutional Court, as it is not yet clear for how long they can do this.

The clamour for snap elections has increased and many more stakeholders have pronounced in favour. According to Raluca Turcan, the term for general elections would be June 28th, and according to Ludovic Orban, the term for local elections will be either May 14th or May 21st. This arguably short deadline has forced PM Ludovic Orban into discussions with political parties regarding snap elections. As far as local elections are concerned, the PM stated that PNL is open to cooperating with other parties, depending on the context so that PSD obtains a smaller margin in these elections.

As far as PSD is concerned, Claudiu Manda and Mihai Tudose were already nominated to take charge of the upcoming elections. Next Monday, the Executive Committee of PSD will sit in session to determine how they will vote for the Orban 2 government, if at all. Furthermore, they will determine the date for Congress later this month, during which a new leadership will emerge. Marcel Ciolacu, the interim president as well as Mihai Tudose are key figures, however, others such as Claudiu Manda, Olguța Vasilescu or Marian Oprișan may be more suited for positions given the current context.

External Affairs

As the second biggest economy of the bloc after Germany, the United Kingdom was a prominent net contributor to the Multiannual financial framework (MFF), the long-term budget that funds the policies, programs, and administration of the European Union. The current MFF is set to expire at the end of this year, and a new one must be drafted to immediately replace it.

According to former EU Budget Commissioner Günther Oettinger, Brexit will leave a vacuum worth between €12 billion and €15 billion a year. Additionally, some of the key ambitions of the von der Leyen Commission, such as the European Green Deal, depend on a strong and consistent budget to achieve success. For this reason, the debate may take longer than expected.

Fiscal and Economic Updates

The Minister for Public Finance, Florin Cîțu, stated on February 10th, 2019, that Romania will not enter the excessive deficit procedure earlier than March. Regarding the reorganization of ANAF, he added that the changes brought about by the emergency government ordinance are entirely supported by the IMF. However, the project received a negative notice from the Legislative Council.

 

Issue Monitoring