“A return to power of suspended-president Basescu would probably intensify the political battles. A validation of the referendum that would lead to his impeachment would trigger an early presidential election and boost the scale of the likely fiscal slippages and may also attract (more) external criticism,” ING report notes.
“No decision from the Court would extend the limbo”.
ING analysts noted that the leu’s rally looked to be running out steam, adding that “the recent sideways moves and lack of clear [central bank] support supports this idea.”
The leu lost ground Monday, trading above 4.49 per euro in the first part of the session. The central bank set the exchange rate at 4.4939 per euro, about 0.2% weaker on the day.
The July 29 impeachment referendum required a voter turnout of more than 50% of eligible voters to be validated. The Central Electoral Bureau announced the voter turnout was 46.24%, of which an overwhelming 87.52% voted to impeach the head of state.
The Consitutional Court has asked to analyze voter lists, after it received discrepant data regarding the number of voters from the Interior Ministry.