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May 13, 2021
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FinMin Citu: Gov’t won’t cut money from investments to implement law on doubling child allowances

There are currently no financial resources appropriated in Romania’s budget for doubling child allowances, and the government will not cut money from investments in order to implement this law, Public Finance Minister Florin Citu said on Thursday.

“The problem is that this law was voted in Parliament after Romania’s budget was passed. Therefore, if we had to enforce this law tomorrow, there would be no budget resources assigned for this. There is no way! You have to increase the deficit by the amount required for increasing the allowances. In order to increase the budget deficit, you have to approve a budget revision, because there is no other way to do it – you can’t derogate from the Budget Law – and change the respective indicators in the law. Or cut from elsewhere, cut from investments, which we won’t do,” Florin Citu told private broadcaster Digi 24.

The Finance Minister explained that in the next two weeks the government will present a bill to raise allowances, adding that doubling these benefits would require a financial effort of 4 billion lei in 6 months.

Citu also argued that the recent ruling of the Constitutional Court regarding the doubling of allowances does not change the fact that the law providing for doubling child benefits is unconstitutional.

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