Romanian government survives no confidence vote and pushes tax hikes through
The government has fast-tracked through parliament an increase in value-added tax, excise duties and other levies from August to prevent a ratings downgrade to below investment level and to unblock access to EU funds.
The broad coalition of four pro-European parties took power at the end of June, ending months of political deadlock after a presidential election was cancelled in December and was re-run in May.
The parties have been reluctant to agree the hikes that have been criticised by employers and unionists while thousands of public sector workers have staged protests.
The hard-right opposition filed Monday's no confidence motion and said it will file more.
"I understand the opposition does not agree with the measures proposed by the government," Bolojan told lawmakers.
"What then are the solutions? On the one hand we are told the problems in the economy are serious, on the other not to take these measures. We can't have both."
Top stories
Swipe. Select. Stay informed.
Singapore HSA intensifies crackdown on vapes; young suspected Kpod peddlers nabbed in Bishan, Yishun
Singapore Man charged over distributing nearly 3 tonnes of vapes in one day in Bishan, Ubi Avenue 3
Singapore Public healthcare institutions to record all Kpod cases, confiscate vapes: MOH, HSA
Singapore Man allegedly attacks woman with knife at Kallang Wave Mall, to be charged with attempted murder
Singapore Singapore boosts support for Timor-Leste as it prepares to join Asean
Singapore UN aviation and maritime agencies pledge to collaborate to boost safety, tackle challenges
Singapore High Court dismisses appeal of drink driver who killed one after treating Tampines road like racetrack
Singapore 18 years' jail for woman who hacked adoptive father to death after tussle over Sengkang flat
While all four parties in the government approved the increases, the Social Democrats, the coalition's largest party without which a ruling majority cannot hold, criticised them on Monday.
"For solid, continued political support we must quickly correct some of the absurd things from this first package of measures," Social Democrat leader Sorin Grindeanu said.
The Social Democrats had supported replacing a flat rate of tax on income with progressive taxation instead of raising VAT, but the other parties did not support that and the tax authority has said it is not equipped to enforce it.
Bolojan said earlier this month the coalition government would do everything possible to lower the deficit to around 8% of economic output by year-end from last year's 9.3% - above an initial 7% target - and closer to 6% in 2026.
Under Romanian law, the tax measures could be challenged in the constitutional court, and the opposition last week said they would seek to do so. REUTERS
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Straits Times
39 minutes ago
- Straits Times
Israeli ultra-Orthodox party leaves government over conscription bill
Find out what's new on ST website and app. JERUSALEM - One of Israel's ultra-Orthodox parties, United Torah Judaism, said it was quitting Prime Minister Benjamin Netanyahu's ruling coalition due to a long-running dispute over failure to draft a bill to exempt yeshiva students from military service. Six of the remaining seven members of UTJ, which is comprised of the Degel Hatorah and Agudat Yisrael factions, wrote letters of resignation. Yitzhak Goldknopf, chairman of UTJ, had resigned a month ago. That would leave Netanyahu with a razor thin majority of 61 seats in the 120 seat Knesset, or parliament. It was not clear whether Shas, another ultra-Orthodox party, would follow suit. Degel Hatorah said in a statement that after conferring with its head rabbis, "and following repeated violations by the government to its commitments to ensure the status of holy yeshiva students who diligently engage in their studies ... (its MKs) have announced their resignation from the coalition and the government." Ultra-Orthodox parties have argued that a bill to exempt yeshiva students was a key promise in their agreement to join the coalition in late 2022. A spokesperson for Goldknopf confirmed that in all, seven UTJ Knesset members are leaving the government. Top stories Swipe. Select. Stay informed. World Trump arms Ukraine and threatens sanctions on countries that buy Russian oil Multimedia From local to global: What made top news in Singapore over the last 180 years? Singapore HSA intensifies crackdown on vapes; young suspected Kpod peddlers nabbed in Bishan, Yishun Singapore Man charged over distributing nearly 3 tonnes of vapes in one day in Bishan, Ubi Avenue 3 Opinion Sumiko at 61: When beauty fades, why do some accept it better than others? Singapore Public healthcare institutions to record all Kpod cases, confiscate vapes: MOH, HSA Singapore Man allegedly attacks woman with knife at Kallang Wave Mall, to be charged with attempted murder Singapore Ex-cop charged after he allegedly went on MHA portal, unlawfully shared info with man Ultra-Orthodox lawmakers have long threatened to leave the coalition over the conscription bill. Some religious parties in Netanyahu's coalition are seeking exemptions for ultra-Orthodox Jewish seminary students from military service that is mandatory in Israel, while other lawmakers want to scrap any such exemptions altogether. The ultra-Orthodox have long been exempt from military service, which applies to most other young Israelis, but last year the Supreme Court ordered the defence ministry to end that practice and start conscripting seminary students. Netanyahu had been pushing hard to resolve a deadlock in his coalition over a new military conscription bill, which has led to the present crisis. The exemption, in place for decades and which over the years has spared an increasingly large number of people, has become a heated topic in Israel with the military still embroiled in a war in Gaza. REUTERS
Straits Times
an hour ago
- Straits Times
Trump sours on Putin, but bromance may not be over
Find out what's new on ST website and app. US President Donald Trump (right) who had vowed to end the Ukraine war, said he was 'disappointed' in Russian President Vladimir Putin. Washington - Ever since his political rise a decade ago, Donald Trump has sung the praises of Vladimir Putin – the Russian president was a 'strong leader' who, perhaps more important, would often say 'very good things' about him. With his announcement July 14 of new arms for Ukraine via Europe and tariff threats on Russia, Mr Trump's bromance with Mr Putin has hit a new low – but it may not have run its course. Mr Trump, who had vowed to end the Ukraine war within a day of returning to the White House, said he was 'disappointed' in Mr Putin, who has kept attacking Ukraine as if the leaders' telephone conversations 'didn't mean anything.' 'I go home, I tell the first lady, 'You know, I spoke to Vladimir today, we had a wonderful conversation. She said, 'Oh really? Another city was just hit.' ' 'I don't want to say he's an assassin, but he's a tough guy. It's been proven over the years. He's fooled a lot of people,' Mr Trump said. Mr Trump quickly rejected that he was among those fooled and again insisted that the 2022 invasion of Ukraine was the fault of his predecessor Joe Biden, who championed a hard line on Russia. Brandishing his favorite weapon, Mr Trump gave Russia 50 days to comply before facing 100 per cent tariffs on countries that purchase from Russia, but stopped short of backing a bill before Congress for up to 500 per cent tariffs. Top stories Swipe. Select. Stay informed. World In reversal, Trump arms Ukraine and threatens sanctions on countries that buy Russian oil Multimedia From local to global: What made top news in Singapore over the last 180 years? Singapore HSA intensifies crackdown on vapes; young suspected Kpod peddlers nabbed in Bishan, Yishun Singapore Man charged over distributing nearly 3 tonnes of vapes in one day in Bishan, Ubi Avenue 3 Opinion Sumiko at 61: When beauty fades, why do some accept it better than others? Singapore Public healthcare institutions to record all Kpod cases, confiscate vapes: MOH, HSA Singapore Man allegedly attacks woman with knife at Kallang Wave Mall, to be charged with attempted murder Singapore Ex-cop charged after he allegedly went on MHA portal, unlawfully shared info with man Russia's own trade with the United States has slowed down to a trickle. Mr Trump had 'promised that he could get Putin to the negotiating table, and he has failed to do that,' said Ms Heather Conley, a former State Department policymaker on Russia now at the conservative American Enterprise Institute. His tariff threat 'shows frustration that he has failed to do it, but I don't see it as a big policy change,' she said. The great deal-maker? Mr Trump stunned European allies on Feb 28 when he publicly berated Ukrainian President Volodymyr Zelensky at the White House, telling him he was ungrateful for billions of dollars in weapons under Mr Biden. Mr Trump then briefly held up new military and intelligence. For the US president, a transactional-minded businessman, Mr Putin committed a key offence – undermining Mr Trump's self-image as a deal-maker. 'For six months, President Trump tried to entice Putin to the table. The attacks have gone up, not down,' Senator Lindsey Graham, a Trump ally who has led the push for tough new sanctions on Russia, told CBS News show 'Face The Nation.' 'One of the biggest miscalculations Putin has made is to play Trump,' Mr Graham said. Yet Mr Trump has repeatedly shown a willingness to trust Mr Putin, despite firm warnings from within the US government. Most famously, he sided with Mr Putin over US intelligence at a 2018 news conference having met in Helsinki after the Russian president denied meddling to support Mr Trump in his first election. For observers of Mr Putin, the longest-serving leader in Moscow since Stalin, there was never much chance he would accept compromise on Ukraine or work with the West. Mr Putin has rued the demise of Russia's influence with the fall of the Soviet Union as a historic calamity and rejected the idea that Ukraine has its own historical identity. With Russia making small but steady gains on the battlefield and bringing in North Korean troops, Mr Putin has put his entire country on war footing, Ms Conley said. 'The Kremlin has thrown everything into this,' she said. 'President Putin believes that this is just going to be a slow erosion of Ukraine's position and the West's position, and he will win this conflict on its own merits,' she said. Mr Mark Montgomery, a retired US rear admiral and Senate policy aide, said Mr Putin believed in what has been referred to as TACO – Trump Always Chickens Out. Mr Putin 'thought he could take it to the limit each time, and he found out he was wrong', said Mr Montgomery, a senior fellow at the Foundation for Defense of Democracies, a hawkish research group. 'I don't think this stops until Putin feels either weapons system pain or economic pain that he cannot sustain.' AFP
Straits Times
an hour ago
- Straits Times
US probes drones and polysilicon imports, opening door to tariffs
Find out what's new on ST website and app. Chinese drone maker DJI dominates the global consumer market and Beijing is also a major player in the world's solar supply chain. WASHINGTON - The United States has opened investigations into imports of drones and their components, alongside those of polysilicon – an important material for solar power – in moves that could bring about new tariffs. The probes launched July 1 by the US Commerce Department are the latest in a series of such actions under President Donald Trump's administration, looking into the effects such imports have on national security. The United States has also launched similar investigations into imports of semiconductors, pharmaceuticals and other goods. The probes take place under Section 232 of the Trade Expansion Act of 1962, the same authority Mr Trump has used to slap steep tariffs on imports of steel and aluminium. Typically, such actions take months to conclude, and they could result in fresh levies if officials deem it necessary to safeguard national security. In a pair of documents scheduled for publication in the Federal Register on July 16, the US government called for public comment on the new investigations. One of them is focused on 'imports of polysilicon and its derivatives', while the other centres on 'imports of unmanned aircraft systems (UAS) and their parts and components'. Top stories Swipe. Select. Stay informed. World In reversal, Trump arms Ukraine and threatens sanctions on countries that buy Russian oil Multimedia From local to global: What made top news in Singapore over the last 180 years? Singapore HSA intensifies crackdown on vapes; young suspected Kpod peddlers nabbed in Bishan, Yishun Singapore Man charged over distributing nearly 3 tonnes of vapes in one day in Bishan, Ubi Avenue 3 Opinion Sumiko at 61: When beauty fades, why do some accept it better than others? Singapore Public healthcare institutions to record all Kpod cases, confiscate vapes: MOH, HSA Singapore Man allegedly attacks woman with knife at Kallang Wave Mall, to be charged with attempted murder Singapore Ex-cop charged after he allegedly went on MHA portal, unlawfully shared info with man While the documents do not name any countries, Chinese drone maker DJI dominates the global consumer market, and Beijing is also a major player in the world's solar supply chain. Mr Trump's tariffs targeting various sectors are separate from those he has imposed on imports from different countries. Since returning to the White House in January, Mr Trump's sweeping tariffs have roiled financial markets and triggered fears of an economic downturn. In April, he slapped a 10 per cent levy on goods from almost all US trading partners. The duties are set to increase for dozens of economies come Aug 1, while trade negotiations continue as partners try to strike deals to avert the higher levies. AFP
