The prospect of appointing a technocrat prime minister has emerged as a possible solution to Romania’s ongoing political stalemate, Digi24 and other media reported on June 14. The proposal, reportedly floated late last week, comes after weeks of failed negotiations between the four pro-Western parties seeking to form a governing majority.
The idea appears to be under informal consideration, though it remains unclear who initiated it or whether it has the support of president Nicușor Dan or all four parties involved in the talks.
The scenario is widely viewed as a last-resort compromise but may be preferable to a minority cabinet following a potential withdrawal of the Social Democratic Party (PSD), which continues to oppose the nomination of National Liberal Party (PNL) figure Ilie Bolojan for a full four-year term.
Alternatively, a minority cabinet (without the Social Democrats) would be tasked with adopting urgent fiscal measures but risks triggering early parliamentary elections—an outcome that investors would likely view unfavorably. However, some political observers suggest that, much like the recent presidential election, early elections could produce a more stable parliamentary majority aligned with President Dan.
The negotiations for the formation of a four-party ruling majority continue on June 16, while the new Government should deliver the revised fiscal plan to the European Commission by June 20. A broad agreement on the structure of fiscal consolidation this year was reached, but not on the specific measures that should bring RON20bn (EUR 4 billion, just over 1% of GDP) more revenues to the budget.
Several names have been circulated as potential technocrat candidates, including Ionuț Dumitru, chief economist at Raiffeisen Bank Romania; Delia Velculescu, former IMF mission chief in Greece during its debt crisis; and Anca Dragu, current Governor of the National Bank of Moldova and former Romanian finance minister.
The scenario underscores the severity of the current impasse. After three weeks of negotiations, the four parties—PSD, PNL, Save Romania Union (USR), and UDMR—have yet to reach an agreement on fundamental fiscal policy issues or a prime ministerial candidate.
“If Ionuț Dumitru accepts, he will have a very difficult mission to reconcile four parties that have failed to agree on even one point regarding budgetary policy for three weeks,” Digi24 commented.
The debate over a technocrat-led government comes as Romania faces mounting fiscal pressures, including the need to present a credible deficit-reduction plan to the European Commission by the end of June.
(Photo: Cateyeperspective/ Dreamstime)
iulian@romania-insider.com
