Pressures on budgets in new European Union member states will increase in 2009 year-on-year, and in Romania’s case, though the situation looks “dramatic” after last year’s deficit of 5.2 percent of GDP, the country could register a positive evolution, following the adoption of the new budget, said Jorgensen.
The unjustified rise in pensions, the drop in social security, and the discretionary allocation by local administrations, together with other decisions by the former government in 2008 led to the deterioration of the state budget balance, said a report published Friday by the World Bank.
