Nazare warns: The salary law must avoid mistakes in pensions

The Minister of Finance, Alexandru Nazare, stated that the lessons learned from the increase of pensions without financial sources must be applied in the development of the unified salary law in the public sector, a reform provided for in the PNRR. During a press briefing, Nazare emphasized that Romania must not repeat the mistakes of the past, when an unsustainable pension law led to an increase in the budget deficit.

"It is, indeed, a very important reform. What we need to do regarding the salary law is not to repeat the lesson that Romania received at the moment it adopted the pension law, when it adopted a pension law that was not sustainable, with increases that could not be supported by the state budget and which materialized in an increase of the deficit that brought us into the situation of last year."

He mentioned that next year will bring financial challenges, and the volume of funding for the increase of public sector salaries will be established in the fiscal-budgetary strategy for 2027. Nazare warned that, in 2027, Romania will no longer benefit from grants from the PNRR and that it is essential to avoid financial risks, considering the objective of reducing the deficit to 5.1%.