Romania was not prepared to enter a recession, as it did not have the chance to structurally reform. In 2009 we borrowed 1.6 billion euro to pay pensions. In 2010 we borrow 1.7 billion euro to pay for the pensions, PM Emil Boc declared on Thursday.
He reminded the audience about the way negotiations were made in the budgetary sector before the crisis, where authorities offered benefits and bonuses too easy. He admitted that Romania cannot afford salary increases.
He underlined that we need a serious basis for reform and that strikes will not bring supplementary money, because the state does not have the resources to pay anymore. In his opinion Romania needs to have a good policy for pensions, adapted to the economic situation.
