Romania took effective measures to correct its budget deficit, and the European Commission (EC) proposed to push back by one year, to 2012, the deadline for bringing the deficit under 3 pc of the GDP, the European executive announced on Monday.

“Romania has made a serious effort to limit the deterioration of its budget deficit and to preserve macroeconomic stability during the past year. “The worsening of the economic situation since the initial recommendations were made, justifies extending the deadline by one year. But the consolidation effort must continue, under the conditions attached to the financial assistance program, to make sure that the deficit is corrected by 2012’ said Joaquín Almunia, European Economic and Monetary Affairs Commissioner.

In July 2009, the EC Okayed a proposition of the Commission to start an excessive deficit procedure against Romania, based on a deficit higher than 3 pc of the GDP in 2008, and recommended the deficit to be corrected below 3 pc by 2011 at latest. The initial deadline for taking effective measures was January 7, 2010.