TL;DR – Key developments in Romania’s Finance Minister Nazare Supports EU Two-Speed Union Proposals
• Alexandru Nazare, Romania’s Finance Minister, expressed support for EU measures to enhance competitiveness and investment on Euronews.
• Nazare endorsed the two-speed union proposal following an informal EU summit aimed at reviving economic stagnation.
• He backed initiatives like the Capital Markets package and the Saving and Investments union.
• Romania holds the highest budget deficit in the EU and aims to exit the excessive deficit procedure by 2029 or 2030.
• The coalition government, led by Prime Minister Ilie Bolojan, implemented austerity measures to reduce the deficit.
Romanian finance minister backs Eurobonds and ‘Made in Europe’ in competitiveness drive
Romania’s Finance Minister Alexandru Nazare stated on Tuesday that he supports several measures proposed in the European Union aimed at enhancing the bloc’s competitive edge and increasing investments. His comments followed an informal EU summit focused on revitalising the EU’s stagnant economy, where a two-speed union proposal was discussed, allowing at least nine countries to collaborate on initiatives without unanimous consent.
Nazare emphasised the importance of adopting these measures for the economic future of the European Union. He noted, “Romania supports the Capital Markets package, Romania supports the Saving and Investments union,” and remarked on the necessity to accelerate these proposals within the Economic and Financial Affairs Council.
Two-Speed Union Gains Support from Romania
The concept of a two-speed union emerged prominently after EU leaders sanctioned a €90 billion loan to Ukraine without the consent of Hungary, Slovakia, and the Czech Republic. Nazare expressed his endorsement of this approach, stating, “If this format will accelerate some of the files that we already have in EcoFin, I think that’s a good idea.”
Furthermore, Nazare backed a new elite club of EU economies known as the “E6,” which includes Germany, France, Italy, Spain, the Netherlands, and Poland. He conveyed optimism about the club’s intentions, assuring that he believes “they planned to solve some of the critical issues that are on the table,” which could ultimately benefit Europe.
European Economic Strategy and Recovery
In alignment with ongoing discussions, Nazare expressed support for a “Made in Europe” strategy, aimed at establishing minimum European content requirements for goods produced locally. He argued that this supports the “strategic autonomy” necessary for a unified European project.
Addressing concerns about potential negative impacts on relations with key trading partners, Nazare affirmed the necessity of creating an investment-friendly environment in Europe. He pointed out that approximately €300 billion of Romanian savings are currently invested abroad, advocating for those funds to be redirected to stimulate European investments.
Nazare also highlighted Romania’s budget deficit situation, stating that it has improved recently. He reported, “We gained trust. We not only met the deficit targets for 2025, but we overperformed by 0.7%,” while noting that ongoing efforts are needed to exit the EU’s excessive deficit procedure by 2029 or 2030—an essential step for Romania’s future euro adoption.
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