EC urges Romania to cut deep into the volume of taxes to rein in bureaucracy

According to Orban, there are taxes which cost more to collect than the actual amount cashed in by the state.

The commissioner refused to speculate on the potential conditions imposed by the International Monetary Fund (IMF) and by the EU for a loan, but suggested emphasis will be placed on consolidating budgetary policies and setting up a consolidated fiscal framework on the medium and long-term. 

Moreover, the EC will revise in a short while its estimates for economic growth and in Romania's case this could slip below the 1.8 percent advance initially anticipated.  

“The EC has repeatedly pointed to potential budgetary risks,” Orban said.

Asked why Romania is among the few states outside the Eurozone to apply for help from the EU, Orban suggested other states could follow its lead. 

“At EU level, Romania is the third state which officially asked for help. The first one was Hungary, then Latvia. If there will be many more, it remains to be seen,” according to the commissioner. 

Regarding a potential financial support at the bloc's level for some units of lenders in areas most severely hit by crisis, Orban said each case will be analyzed separately. 

The EC commissioner was present today in Romania's Parliament for hearings on priorities at the EU level in the context of the economic and financial turmoil. Topics of great importance to Romania were tackled as well, like the structural and cohesion funds, the Lisbon strategy and the mechanism for cooperation and check-up in the judicial system.