Basescu said most preconditions have been met, adding he is hoping the agreement with the IMF, which is actually a governing program, will be carried out to Romania’s benefit.
On February 26, Basescu said he will sign the country’s latest letter of intent to a EUR4 billion loan deal with the IMF and EU, provided the document leaves out two controversial fiscal measures. The president has been a loud opponent of both the fuel tax and the debt relief scheme aimed to help troubled debtors and has accused the central bank of bowing down to a “corrupt government” whose only agenda was to secure votes for the upcoming elections. In December last year, Basescu refused to endorse the 2014 state budget until the government agreed to delay levying the new fuel tax.
Romania and the IMF last year signed a new EUR1.98 billion two-year precautionary loan program, the third financial package the eastern European country has received in the last four years. Romania will also receive EUR2 billion from the European Union under the new program, while EUR1 billion remains available under a World Bank policy loan.