BNR Governor: Romania has no financially sustainable social programme

Romania has no financially sustainable social programmes, as the legislation in the field of social security discourages economic initiative and encourages tax evasion, Governor of the National Bank of Romania (BNR) Mugur Isarescu said on Wednesday, at the Financial Forum in Bucharest.

„We have social programmes that are not financially sustainable. We highlighted that Romania should no more be pulled at because it risks collapsing. The legislation in the field of social security discourages economic initiative and ecourages tax evasion,” said Isarescu. According to a report presented by the BNR official, the social security budgets are highly unballanced.
„The ratio of contributors to the social security fund to the social pension beneficiaries has continued to deteriorate, from 2.2 payers for a beneficiary in 1990, to 0.8 payers for a beneficiary in 2009. The numbers are dramatic,” said Isarescu.