Romanian president reassures investors of political consensus on key national priorities

Romanian president Nicușor Dan sought to reassure investors that political consensus exists on the country's key economic and strategic priorities, despite the continuing political deadlock and the lack of a parliamentary majority behind prime minister-designate Siegfried Mureșan.

Speaking in Kyiv after meeting institutional investors, fund representatives and banks with exposure to Romanian fixed-income instruments, Dan said the political consensus had already been demonstrated by Parliament's approval of the Recovery and Resilience Plan (RRF/PNRR), the EU-backed SAFE defense program and other major measures adopted over the past months.

“The political consensus exists, and it has been demonstrated by the [legislation of] RRF/PNRR, SAFE and all other important things that we have achieved in Parliament over the past months,” Dan said.

He acknowledged that a stable government would provide greater predictability, but argued that Romania's current macroeconomic situation is better than it was when the Bolojan government was installed.

“Evidently, it is better to have government predictability than the situation today,” he said, while maintaining that the country's current financial indicators justify keeping Romania in the investment-grade category.

Dan's comments come as Romania faces renewed scrutiny from international rating agencies. Fitch kept Romania at BBB-, the lowest investment-grade rating, with a negative outlook in July, while political uncertainty and the lack of progress on fiscal consolidation remain key concerns for investors. Standard & Poor's is scheduled to review Romania's rating on October 2.

The president said he had met investors and representatives of funds and banks that have lent to Romania in an effort to convey that political agreement exists on the issues that matter most for the country's economic and financial position.

Dan also rejected speculation that he intends to appoint a PSD-centred government if Mureșan fails to secure Parliament's backing.

Mureșan is currently negotiating with PNL, USR and UDMR in an attempt to form a government, although the three parties do not have enough MPs to secure a parliamentary majority on their own. Dan has described Mureșan as his “first option”, while acknowledging immediately after the designation that no parliamentary majority had emerged from his consultations.

The president's position is therefore that the absence of an agreed parliamentary majority should not be confused with the absence of political consensus on Romania's major national priorities. Whether that distinction will be sufficient to reassure financial markets will depend in large part on whether the parties can ultimately produce a government capable of adopting the 2027 budget and continuing the fiscal consolidation process.