Romanian government collapse: what are the repercussions?
Romania's liberal government led by centre-right Prime Minister Ilie Bolojan was brought down by a vote of no confidence on Tuesday. Shortly afterwards, the leu – the national currency – weakened against the euro and Romania's interest rates on international loans increased. Rating agencies have also warned that they may further downgrade Romania's credit rating, and EU funding, which is tied to reforms, may be withheld. The press voices consternation.
Loss of trust poses a threat to society
Romania's inability to find political stability is causing multiple problems, explains communications consultant Cristian Retegan in Adevărul:
“Political instability means the country is not only facing an image problem, but also economic, social and strategic challenges. … But worst of all, we are losing trust – the fundamental trust that society must have in its own institutions in order to function. Opinion polls show a steady decline of trust in parliament, the government and the political parties. This is hardly surprising. After all, how can people trust in a system that proves every few months that governing coalitions are short-lived, principles are negotiable and election promises only remain valid until the first cabinet meeting?”
EU funding at risk
România liberă warns that time is running out:
“The economy demands swift decisions, predictability and coherence. Yet politics seems to be caught up in a game of party political manoeuvring and personal ambitions for power. Romania is not only losing money right now. It is also losing credibility and the chance to seize what may be its last major opportunity to modernise – with significant funding from the European Union. We have already become accustomed to the fact that the price for this political paralysis will not be paid by those who negotiate for government posts and fragile majorities, but by society as a whole – through tax increases, reduced investment and an economy that is becoming even more vulnerable in a world that is already unstable.”
A crumbling firewall
The situation in Romania does not bode well for Europe, concludes Népszava:
“The toppling of the Bolojan government by an alliance of Social Democrats and the far right has not only shattered a democratic grand coalition that provided a fragile stability. It has also created a breach in the firewall erected to isolate the far right and stem its advance – not only in Romania. This is not the first time in Europe that democratic parties have voted alongside the far right on a specific issue, or that they have formed a coalition. ... But now the Party of European Socialists is keeping quiet and the political group in the European Parliament is backing the Romanian member party that crossed the red line.”