Florin Cîţu announces that salaries of public employees will be frozen at the level of December 2020



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After the government meeting on Monday, Florin Cîţu announced that the budget will be built with a budget deficit of around 7% of GDP, and fiscal policy will remain stimulating in 2021.

“We have had discussions about postponing rates at banks. You know very well that there is a decision by the EBA, the European Banking Authority, which says that these rates can be postponed for up to nine months. But at this time we have found a solution through of which we will be able to extend, for certain categories, this facility. In the next few days we will arrive with details, but I want to assure the Romanians that we have worked during this period and we are approaching a solution that will allow those affected by this period of crisis to continue benefiting from this facility, “he said. Prime Minister.

Regarding the measures to be adopted at the Government meeting on Wednesday, Florin Cîţu announced the extension of the active measures until June 30, 2021: the subsidy granted during the temporary suspension of the individual employment contract, which provides assistance to employers to settle part of the wages of employees kept on the job, etc.

“Flexible working is a measure that I think will be permanent in Romania. Below are the state aid measures through SME Invest. The novelty is Agro IMM Invest, it will be approved at the next meeting, it is a measure that those in the agricultural sector are waiting with guarantees of up to one billion lei ”, said Cîţu.

The state aid scheme for financial support to Horeca will also be approved: the scheme has a budget of 500 million euros. According to the prime minister, holiday vouchers worth 1,450 lei will continue next year, and HoReCa vouchers will be exempt from tax.

Employers can also “restructure” debts that have reached December 31, 2020, not just those that are until July 31, 2020.

“And last but not least, the employees in the budget environment: their salaries will not be reduced. At this moment we are analyzing whether the current law is effective in terms of salaries in the public sphere. Until then, revenues are maintained at the December 2020 level, ”said the prime minister.

Also read: Florin Cîţu announced the extension of the moratorium for postponing the payment of fees even after January 1. The technical stoppage extends for another 6 months

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