Basescu: The budget needs to be adopted urgently

Traian Basescu stated that the urgency of setting the state budget parameters pushed for a Government meeting on Friday, saying that while the Government planned for a maximum deficit of 3%, ministries’ requests would lead to a budgetary deficit of 9%. “The budget needs to be adopted urgently,” president Traian Basescu stated on Friday during a conference organised by the Alliance of Romanian Business Owners’ Confederations (ACPR). He added the state budget needed to contain the Government’s responsibility in cutting down expenses. The head of state specified that Romania’s economy was blocked by the Government itself, through the debts the state has to economic operators. According to his statements, on 31 December 2008 the state held debts standing at 725m euros, while “unbilled debts” amounted to 367m euros, with the total amount hitting 1.1bn euros. “These debts need to be paid urgently to provide cash to economic operators. The main priority is to unfreeze economic operators, through the payment of debts the state, through its central and local institutions, holds to them,” Traian Basescu stated. He expects these debts to be entirely paid by mid March. For 2008, Basescu estimated the cash deficit at 7bn euros and the commitments one at 7.81bn euros, saying “these realities need to be corrected through the current budget”.