Romania Can’t Afford Lower Social Security Taxes, President Says

05.19.2011 By Florentina Dragu

Romanian President Traian Basescu Thursday said the economy can’t afford lower social security contributions until tax collections improve.

Speaking at a seminar organized by financial daily Ziarul Financiar, Basescu said economic operators must first pay their dues before the social security tax can be reduced by at least 2%.

The government budget can't afford to deepen existing imbalances by reducing the taxes, he added.