On the very eve of the second round of local elections in Romania, the European Union, World Bank and IMF issued on Friday a powerful message of support for the Isarescu Cabinet's economic policy.
The mere fact that representatives of all three institutions delivered a joint press conference next to Premier Mugur Isarescu at the Victoria Palace is a distinct message. A message that the Prime Minister's effort to secure financial stability and improve macroeconomic indicators has the support of the three financing institutions. Despite all the political uncertainty surrounding the elections.
Giovanni Ravasio, the European Commission director charged with economic and financial issues, Ziad Alahdad, head of the World Bank mission in Bucharest, and Stephane Cosse, the IMF representative in Romania, also brought with them some tangible aid for the Government: almost $350 million from the three institutions will enter Romanian accounts within the month.
But the message also contains a warning: the three lenders have pointed out that they expect the action plan based on the Isarescu government's medium-term economic policy to go ahead regardless of which government ascends to power after the general elections, and that any substantial amendments to the plan are unacceptable.
The concerted action of the three international institutions comes at a crucial moment not only for the Isarescu Government but for Romania as well, an implication politicians have neglected as of late, more concerned with winning the elections than with running the country in a difficult year.
A short while ago, the FNI scandal was about to destabilise our already fragile financial system. The lengthy drought has added more pressure on the Government and caused trillions of lei in damage. And trade unions could wreak serious havoc if they keep up protests against Ordinance 58, which attempts to limit national company managers' pay. As in every critical moment, unions act hand in hand with the leaders of major monopolies, who would do anything to keep their privileges.
The government is alone in the face of calamity, whether natural or staged by interests. What did the politicians do in these hard times? Nothing but accuse each other, to gain that elusive extra point in the elections.
If Isarescu fails to keep inflation under control, the blame will be entirely his. But if his programme turns out to be a success, who is going to assume the glory? The politicians, of course.
Who could use such a failure? At first glance, a portion of the political class may have a reason to rub their hands and think they may be closer to victory. What kind of victory can it be when you come to rule over a poor people and a ravaged country? An immoral, cynical and utterly useless one, our dear political class.
In this snowstorm of politically orchestrated scenarios, below-belt punches tenderly called negative campaigning, irresponsibility across the spectrum, it comes as no surprise that the first notable economic success, the GDP growth after three years of decline, went by almost unnoticed.
Pentru alte știri, analize, articole și informații din business în timp real urmărește Ziarul Financiar pe WhatsApp Channels
