Daianu: The lack of realism, the misunderstanding of the situation we are in, in my opinion, is appalling

The financial markets have no patience with Romania and the lack of realism and the misunderstanding of the situation we are in is appalling, says the chairman of the Fiscal Council, Daniel Daianu.'We have to cut this budget deficit and we don't have time. I repeat, this discourse, 'let's collect better', 'let's reform the state', sir, sounds good, but they are slogans. The financial markets have no patience with Romania. That will show in the budget execution. If we collect better in 2026, that will show. Until then you cannot present such a package to investors, rating agencies and the Commission. However, we have a rather fractured dialogue with the Commission. And that has to be said. I have heard 'cutting spending has no impact on growth'. How can cutting spending not have an impact? We need to reduce aggregate demand, i.e. domestic absorption. Whether we do it on the spending side, whether we do it on the revenue growth side, aka tax increases. We don't even have time for fine tuning, because some people are saying 'sir, you have to have an optimum, you have to have impact studies. Now let's tell those external funders, you know we still need to do impact studies. See? The lack of realism, the lack of understanding of the situation we're in, to my mind, is appalling. And I notice that there are analysts, economists, so-called macroeconomists, who come up with this discourse: 'Let's collect better first'. I sit and I ask myself, man, has that man ever talked to the people who finance us? Did he talk to the rating agencies? This is not a symposium on economic thinking at the University of Applied Sciences, where we're evoking all sorts of theories. Things are clear', said Daniel Daianu at the 17th annual conference of the Association of Financial Analysts and Bankers of Romania (AAFBR). Under these conditions, Daianu considers that in case we don’t have a credible package for adjustment, the markets will react ‘for us with much clutter’. As regards the fiscal policy, he said that it should no longer ‘throw sand in the gears’ to the monetary policy because the National Bank is not a magician.