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Boc governments from crisis to growth

Taking over România at the beginning of the crisis, leaving an increase of 2% , a dismissal, a resignation, 14 assumptions of liability, are the synthesis of three years of Emil Boc government.

Boc governments from crisis to growth
Boc government from crisis to growth. Photo: Agerpres

Articol de Sorin Solomon, 10 Februarie 2012, 08:27

Boc governments marked some premieres in Romanian politics after 1989, although the cabinets led by LDP leader are not as enduring as the previous.

The first Boc government was sworn in December 2008. Initially ,based on a coalition , the cabinet SDP-LDP lasted more than a year, being dismissed by motion of censure.

Nevertheless, Mr. Boc maintains the leadership of the government as an interim prime minister, and after Băsescu wins presidential elections is fully reinstated in his position.

Thus, Prime Minister Emil Boc became the first head of government dismissed by censure motion (which shortly is based), and is also the first prime minister submits resignation.

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Between the two "full" terms of Prime Minister Emil Boc there are differences regarding the number of laws and regulations that were promoted and considered to be reformist . If during the first government, the most important decision was related to the uniformity of salary budget, during the second term laws with social impact were far greater.

Measures taken during the second term still seemed catalyzed by the first effects of the global crisis that occurred in Romania since 2009,when the economy was not "busted" and Tăriceanu governmental ready became "heavy inheritance", repeatedly invoked by Mr.Boc.

Government needs money

In order to increase state revenues, the government led by EmilBoc introduced in 2009, a flat tax (minimum tax paid by any company).

Also, to reduce budget spending, introduced a law prohibiting plurality of pension with salary for state employees.

Under pressure of the crisis, the government signed in 2010 an initial agreement with the IMF and then it is presented opposition and Romanian people , which soon had to pay recession.

There aren’t discussed alternatives to the measures in the IMF agreement, authorities citing a state of emergency imposed by appearing of a crisis faster than anticipated.

This will start soon the avalanche of assuming responsibility in 2010 and 2011 and will deepen the lack of dialogue claimed by the opposition and felt by the population, as well as reform.

The first reform measures are announced in May 2010 by President: decreasing the salaries by 25 percent and pensions are reduced by 15 percent.

Constitutional Court decides, however, that pensions cannot be reduced , is considered a right that was gained and a new measure was adopted by the Government Boc VAT increased from 19 to 24 percent.

Emil Boc said on national television channel that these measures were taken because "the government, prime minister or president have something with Romanians", but they were absolutely necessary to avoid falling into the economic and financial sideslip , as happened to other European countries.

The prime minister admitted that 2010 was an extremely hard year, tough austerity measures, but necessary, and "give grounds for optimism for the coming year as we begin to reap the fruits of these measures".

But 2011 did not bring the fruits mentioned by the premier , for example one of the most expected compensation, namely the recovery of loss of salaries for public sector, did not happen even if justice ruled in favor of state officials.

Mothers and guinea fowls scandals

In February 2010 Emil Boc said in parliament that'' it's not natural for people who have Mercedes in the yard to receive social benefits. It is good that social assistance go to people who are living really in bad conditions in this country ".

"If we give such social benefits ,we will not achieve the goal for social protection . Our goal is to help people out of difficult situation that they are '', he said.

Ioan Botiș has quickly become one of the names of Boc government extremely unpopular because of extremely harsh measures that he had to take, ranging from cutting benefits to mothers , to a drastic reduction of benefits.

Minister of Labor was criticized harshly after promoted replacement of maternity leave from two years to a solution in which mothers could choose one to two years, but with benefits capped at a maximum of 1,200 lei a year , or one of a year ,with maximum 3,400lei.

The decision of Ioan Botiș sparked more controversy by drastic reduction in the number of people receiving social benefits , but also their level.

Thus, there were reduced social benefits for children with disabilities , accompaniers , and for poor families, and earlier this year, over 70,000 people no longer receive social benefits by not paying their debts to local taxes.

He also promoted the cut of allowances and social benefits for a number of categories, the so-called revolutionaries, caregivers of disabled and those with dependent orphans..

Ioan Botiș remained famous for having said, among other things, that people who have "a number of guinea fowl" they can not receive benefits.

The whole, however, after all these measures, the 2012 budget provides a decrease in social assistance spending only 1.21% from 2011.

VAT increased to 24 percent, "a coalition mistake"

The decision to increase VAT was again one of the most controversial decisions of government Boc II.

It will be regretted later, in June 2011, by President Traian Băsescu, who said that the VAT increase to 24% "was a political error that delayed exit from recession with at least six months".

He placed the responsibility for raising VAT on the Constitutional Court, which not approved the reduction of pensions at the level required by the government.

"Now, retirees pay a larger bill because of VAT. It was a great mistake, we will reel a few more years," said Băsescu.

Resignation in the "land of Eugene Ionesco"

Government Boc II took over Romania at the beginning of the crisis and had to resign when the economy seemed to show signs of recovery.

Thing that made the Frankfurter Allgemeine Zeitung government speak after resignation of government Boc about "theater of the absurd in Bucharest".

"No protests forced him to resign Emil Boc, but his party," says Karl- Peter Schwarz in his column appeared on the front page of the German conservative newspaper.

Romanian Ministry of Finance managed during the week resignation "to place bonds at interest rates within one year of less than six percent, collecting more money than the government had hoped."

"Courageous" governance

Journalist from Frankfurt performance compares the performance of Boc cabinet with that of previous one -led by National Liberal Tăriceanu, on the latter we learn that "he governed with Greek generosity".

Austerity imposed by the government Boc tacitly and accepted by the Romanian people is regarded with astonishment by the German journalist.

"With patience and increasing economic wisdom, Romanians made sacrifices , that Germans, Italians, Portuguese and can not imagine. No other EU government has done so much in such a short time" .

Both the president and former prime minister "had always risk awareness" that the leading party assumed , "DLP facing the danger of large losses in parliamentary elections this autumn."

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