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What the newspapers say: July 9, 2007

Luni, 9 iulie 2007, 0:00

Newspapers focus again on Monday on the governmental decision to increase pensions. Economy Minister, Varujan Vosganian talks about the effects pensions' growth may have upon the budget deficit, suggesting that minister suggests the expenses, some 200 million euros, won't count in an 18 billion deficit.

Other papers read about Romanian Opposition MPs, holding majority in Parliament and promoting laws with a populist flavor and send them to promulgation.

Moreover, President Traian Basescu announced that he considers the possibility to add another question regarding the Romanian political system on top of the electoral change to uninominal voting already in plans.

Last but not least, American troops from Germany and Italy will join their counterparts in the American base in Romania for two months for the first Joint Task-Force East rotation.

Varujan Vosganian, Economy Minister, talks in an interview for Gandul about the pension's effects upon the deficit given that the government decided to boost pensions.

The minister argues that in 2008 there will be an increase of the budget with 5 billion euro, sum that will cover both pensions and other key sectors such as education, health, agriculture or infrastructure.

When talking about the deficit, Vosganian says in an optimistic voice that the 2008 deficit of 18 billion euro will 'only' grow by 200 million euro and that does not pose a problem.

Discussing the sources for the booming promised pensions, the Minister argues that he will implement a new system to monitor all sell and purchase transactions to fight the grey economy - which has been an important criticism point for Romania. The system, imported from our Spanish counterparts, is said to offer satisfying results.

Cotidianul reads, on the other hand, of Romanian Opposition parties, Social Democrats and Conservatives in Parliament promoting populist laws. Boosting pensions with 37.5% was initially a Social Democrats proposition and so was the increase of subsidies in agriculture for small farms.

Draft laws are pending with proposals for governmental support for young people: firms will not be allowed to fire them in their first 2 years of employment while youngsters will receive subsidies for housing.

Cotidianul goes even further and argues that the government, since it does not hold majority in Parliament might find itself obliged to passively adopt all propositions that have already an electoral flavor for the opposition parties.

In other news, Gandul talks about President Basescu's intention to add another question in the fore coming referendum he plans to organize. The paper argues that Basescu considers the possibility to ask a question about the electoral system as a whole, aside from inquiring about the uninominal voting.

Proposals from the Democrats and Liberal Democrats - the President’s supporters, favor a change from Parliamentary system to a Semi-Presidential or even Presidential system.

The paper reads that Basescu's endeavor regards the 2009 elections, where he plans to win the presidential race again.

Last but not least, American troops from Baumholder, Germany and Vicenza, Italy will join their counterparts in Constanta, Romania for the first rotation in Joint Task Force-East operation reads the American electronic journal, Stars and Stripes informs, as quoted by Romania libera.

Some 3,000-4,000 military personnel will join the Romanian base, by rotation, in the next ten years, as a result of the agreement signed by Romania and USA in 2005 which stipulates that American troops will be instructed in the Kogalniceanu base.

Locals in Kogalniceanu, a small town in the South-East Romania, at the Black Sea await American troops to join the base in hope for an economic boom of the town.

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