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What the newspapers say: July 11, 2007

Miercuri, 11 iulie 2007, 0:00

It's all about the money in all newspapers on Wednesday. Populist measures face criticism from both president Basescu (as he already had warned last week) and the World Bank. The growth of pensions, compensating the medication for elders and other similar projects may cause Romania the greatest budget losses in the past decade.
As if to prove that Basescu is right, journalists came across an internal document in the Economy Minister, which warns on the severe effects populist measures may bring along.

President Traian Basescu officially announced that he will promulgate the pensions' law, but only after the Government explains exactly the source of funds. "I need to make sure that it is not a lying law, an electoral scheme", says Basescu.
The president also wrote to Prime Minister Calin Popescu Tariceanu, asking if the pensions' growth would also mean that electricity and heat aid for the elders will be cut. "Because that would mean that pensions grow with 50 RON, while retired people lose 80 RON worth of incentives", Basescu explained on Tuesday, according to Evenimentul Zilei.

At the same time, the World Bank issued a warning, pointing at the fact that the entire pensions system is vulnerable in front of political decisions. PM Tariceanu reacted instantly, saying that such a statement could have been true in the early '90's, but not now, Cotidianul reads.

But popular support is hard to win, and harder to keep, so that Tariceanu came with another promise, even more difficult to accomplish than the pensions' law: 90% compensations for all medication used by elders, another "Social Democrat dream to be fulfilled by Liberals", as Evenimentul Zilei notes.

In fact, there are about 12 measures that seem to be dictated by Social Democrats, Gandul finds out. The journalists managed to obtain an interior document from the Finance Ministry, showing that 5 new social programs would cause a 3% budgetary deficit.

Another 0.9% budgetary deficit may be caused by the lower VAT income and salary increase in the public sector.
Along with the other 12 already approved, the programs may force the European Commission to instate the excessive deficit procedures against Romania.

In other news:

Gandul: Construction works at the future Nokia site unveil the first Christian graveyard in Romania, dating back to the IXth century, before the Huns' invasion.

Gandul: Also in the news about graveyards, Romania will lose 2.1 million people, some 10% of its populace, before 2025, due to aging population, migration and low birth rate.

Romania Libera: The complaint filed against God by a criminal convicted in Romania was closed. 40-year old Pavel Mircea sued God for not keeping his part of the Baptizing deal, when God promised to keep him away from Satan's temptations. The case was closed after the Court failed to find God's address.

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