Romanian coalition government secures parliament confidence vote

BUCHAREST (Reuters) -Social Democrat Prime Minister Marcel Ciolacu’s new coalition government won a parliamentary confidence vote on Monday and it now faces the difficult task of steering the country out of a crisis where the far-right has gained ground.

The pro-European coalition government includes Ciolacu’s Social Democrats, centre-right Liberals and the ethnic Hungarian Party UDMR. Including minority representatives, the coalition controls about 54% of seats in the legislature.

Three consecutive ballots to elect a new president and parliament in the European Union and NATO state, which shares the longest land border with Ukraine, descended into chaos when a little-known far-right pro-Russian politician won the first presidential round on Nov. 24. Amid suspicions of Russian interference, the top court annulled the election.

But support for mainstream parties was weakened by multiple crises, including the coronavirus pandemic and Russia’s war in Ukraine. Voters were also angered by political infighting and accusations of corruption. Three ultranationalist and hard-right parties won roughly 35% of seats in the new legislature in the Dec. 1 parliamentary ballot.

The new cabinet was approved with 240 in favour and 143 against. Mainstream politicians said they understood voters’ concerns and desire for change, but the new cabinet includes Ciolacu and many of the former ministers.

The Social Democrat Party (PSD) will hold eight cabinet posts including justice, transport, labour and defence, and most of its current ministers will stay on in their posts.

The centrist Liberal Party (PNL) will have six cabinet jobs, including energy and interior and foreign ministries. The ethnic Hungarian party UDMR will have two posts, including finance.

The new government will need to approve a calendar for a new two-round presidential election. The three parties in the coalition agreed to back a single presidential candidate to prevent the far right from winning. Their candidate at the moment is Crin Antonescu, a former Liberal Party leader.

“The government’s priority is to restore social and economic equity based on respect,” Ciolacu told lawmakers.

“We will have an economically difficult year. This government must be one of reforms and investment.”

Romania’s new cabinet will also have the daunting task of lowering the budget deficit from an expected 8.6% of economic output this year – the EU’s largest – to around 7% in 2025 and ratings agencies and analysts expect tax hikes.

“The new government’s majority is very slim and … chances the government will last the full four-year term are minimal,” said Sergiu Miscoiu, a political science professor at Babes-Bolyai University. “The first test will be the 2025 budget.”

(Reporting by Luiza Ilie; Editing by Michael Perry and Tommasz Janowski and Jane Merriman)