about us | newsletter | contact | archive | members area
Gheorghe Ciubotaru, Electroalfa
We are witnessing a continuous process of adaptation to the mechanisms in the market»
  Features:      COUNTRY FOCUS   |   SECTOR ANALYSIS   |

Parties abandon principles for opportunism

April 2008 - From the Print Edition

Ideology has never been a strong point among post-Communist Romanian political parties. In 2005, the Democratic Party (PD) publicly switched its doctrine from left of centre to right of centre. Since then the PD’s former alliance partner, the National Liberal Party (PNL), seems to have done exactly the reverse.
During its last year in Government, the PNL enacted a policy of redistribution of wealth and the preservation of public assets. The doubling of the pension rate, which was heavily criticised by the IMF and President Basescu, was correct in intention, but poor in execution. Pensioners needed more money, but the manner upset the budget and has since contributed to a rise in inflation. This means the gains in real terms for the pensioners may not be that great.
The Government has also put on hold further privatisations in the energy sector, especially of its hugely inefficient thermo-power plants. While it has scored a success in the sale of Automobile Craiova to Ford, this was undermined by the Government’s failure to inform the European Commission of its state aid to the ailing car factory – a forbidden practice under EU rules. Meanwhile privatisations of savings bank CEC and pharma firm Antibiotice, both solid companies, have also stumbled. This shows a lack of confidence in the Government in its effectiveness in carrying out its promises.
Although many of these policies resemble those of an economically unsound Socialist Party, the Liberals are not committed to the great principles of the left, such as social justice, fair deals for everyone and collective bargaining. The result of this is not only economic crises such as rising inflation and rising interest rates, but also social disasters, such as strike action in the public and private sectors.
Now the PNL seems to be making friends with all the political parties which are no longer major forces in Romanian politics including Christian Democrats, such as the National Peasant’s Party (PNTCD), and the party of ex-President Emil Constantinescu. The PNL is also in the process of an alliance with the Social Democrats (PSD) to promote tactical voting in the local elections.
But this strategy may backfire. Every new voter which the PNL may gain from its next alliance could alienate a member of its own base. Historically, the PNL is the ideological opposite of the PSD. Its rank and file members have, in the past, defined themselves through their opposition to Socialism. Each tactical alliance with another party the Liberals engage in begs the question, especially in an election year: what does the Liberal Party stand for other than the political survival of its senior members?
An alliance with the PSD on any level negates the ideological bedrock of the PNL and, consequently, undermines the party’s existence. Its members and candidates may as well join the PSD to create a Socialist Liberal Party and we can all breathe a sigh of relief as no one has to pretend that Romania is playing with politics of principle anymore.

Michael Bird

There are 0 comments:

Validation Code

0 Comments  |  2651 Views
Daily Info
Crosspoint assisted land transaction for 8,000 sqm residential project in Bucharest

The real estate consultancy company Crosspoint Real Estate has assisted the sale of a land plot by a private investor to an entrepreneurial group with full Romanian ownership....

Fondul Proprietatea concerned about draft proposing exemption of state-owned companies from corporate governance

Fondul Proprietatea expresses significant concerns about a new legal draft, currently discussed in the Commitees of the Chamber of Deputies, which proposes the exemption of 10...

President Iohannis to attend UN General Assembly in New York

Romanian president Klaus Iohannis will be in New York until Friday to attend the 73rd General Assembly of the United Nations.

Coldwer Banker Romania appoints Georgia Cailean as new CEO

Coldwell Banker Romania has appointed Georgia Cailean as new CEO. Georgia Cailean is a member of the Royal Institution of Chartered Surveyors, specializing in Corporate Real E...

Transelectrica accelerates investments to increase the energy system safety in Dobrogea

The National Power Grid Company Transelectrica marked the completion of the second stage of the project of rehabilitation of the Station Transformation 400/110/20 kV Tulcea We...






More on Features
French investments at a glance: Interest still high

France, Romania's fourth largest foreign direct investor, has been around since the early 1990s, with flagship names the likes of Societe Generale or Groupe Renault taking ...

US calls for coherent, long-term strategy

As USA celebrates 4th of July, its eyes are wide open on the latest developments in Romania's ongoing struggle for the rule of law. Still, the country is one of the fastest...

Romanian energy industry: Challenges to Overcome

With a national strategy draft still to be approved, Romania faces many challenges, as the energy market is striving to find a way to attract major investments that are cri...

EnergyPal: The market must invest in innovation and develop worker qualifications

Romania's facility management sector in 2017 has seen changes in terms of increased market dynamic due to new office developments and also logistic sector growth, according...

Romanian office market ripening, in both leasing and acquisition

From the investment standpoint, lower rates of return and increased liquidity lure the investors, Andreea Paun, Managing Partner, Griffes said in an interview for The Diplo...

ISS: External FM market volume will grow as more Western European FM companies open subsidiaries in Romania

In the last few years as well as in 2017, the Romanian FM market has been in the process of maturing, focusing more and more on quality, efficiency and added value, demandi...

Digital Finance - driving force for the banking industry

Digitalization is radically transforming the banking industry, enabling new products, services and business models. This transformation will take time to complete, forcing ...