Companies in debt towards the Romanian state will be monitored by the IMF

Through the new agreement made by the Romanian government with the International Monetary Fund (IMF), annual spending of 10 of the largest state companies, among which CFR, The National Coal Company, Termoelectrica and Metrorex, will be strictly monitored. In the second stage of this settlement, another twenty societies, with big spending, will have to conform to this procedures.

The companies will need to submit their budget projects in a 15-day timeframe from the official publishing of the State budget. Also, negotiations concerning collective work contracts will be forbidden before the company’s annual budget, including salaries, is approved by the Romanian government.

According to the letter of intent published in the Romanian Official Monitor, this measures were undertaken to reduce the burden on the Romanian public finances, as a result of larger subvention requests and lower dividends transfers.