The government’s macroeconomic forecasts are excessively optimistic, budget revenues are overvalued and based on promises, and spending is underestimated and have deliberate negative adjustments, according to presidential advisor Cosmin Marinescu. He presented the Presidential Administration’s analysis based on which President Klaus Iohannis rejected the draft budget law for 2019.

Cosmin Marinescu points out that the forecasts are made before the adoption of Ordinance 114 and that international rating agencies see a “slowdown in economic dynamics”.

According to Marinescu, there are risks to the stability of public finances, noting that 5.5% economic growth does not mean a responsible prognosis, given that Romania’s partner economies in the EU experience economic problems. The presidential adviser also said that the budget revenues are “on paper” and “will not be collected in reality,” which suggests that “spending sources are uncertain, unremarkable,” according to financialintelligence.ro.

In his opinion, budget revenues are overstated by 10 billion lei, or 1% of GDP, which is “very much”. According to Government documents, the counselor also showed that tax revenues of RON 7.5 billion are based on promises.