FinMin Citu: S&P shows change of perspective, due to pro-cyclical fiscal policy irresponsibility of last 3 years

The change in the perspective of the S&P rating is due to the irresponsibility of the pro-cyclical fiscal policy of the last three years, and this situation was reached because the previous Government ignored all the warning received from the rating agency since February, on Wednesday stated Public Finance Minister, Florin Citu. 

These comments come after rating agency Standard&Poor's announced that it has reconfirmed the rating of Romania's government debt at BBB-/A-3 for the long- and short-term debt in international currency and local currency and revised the country perspective from stable to negative. 

"Firstly, the agency explains very clearly that the change in perspective is due to the unsustainable growth of spending assumed by the previous Government, more clearly, following the irresponsibility of the pro-cyclical fiscal policy promoted in the past three years. Secondly, the agency took into consideration the program of fiscal consolidation presented by the current Government. Thirdly, the agency decided to maintain Romania's country rating. Fourthly, I emphasize that we are today in this situation because the previous government ignored all the warnings received from the S&P rating agency since February this year," mentioned Citu, according to a release sent, on Wednesday, to AGERPRES. 

The Minister of Public Finance added that his efforts and those of the Public Finance Ministry in the immediate future will focus on finalizing the elaboration of the budget for 2020 and the 2021-2022 perspective, by which firm fiscal consolidation policies on medium-term will be implemented. 

"I am sure that in the coming months even the most skeptical observers will be convinced that Romania has entered a long period of responsible fiscal policy. Only naive or ill-intended persons can state that the country rating may be influenced after only one month of PNL ruling. The rating agency Standard&Poor's states very clearly that the main factor that may contribute to improving the perspective is ensuring fiscal consolidation, which would lead to the stabilization of public finances and Romania's external position," Citu added.