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Emerging Europe Economics Update

Emerging Europe Economics Update

Constitutional Court deals blow to Romania’s fiscal cutbacks

This morning’s ruling by the Romanian Constitutional Court against planned cuts to state pensions deals a blow to the government’s austerity programme. While much remains uncertain, it seems unlikely that the IMF board, which is due to meet early next week to discuss Romania’s loan deal, will now approve the next disbursement of the country’s 20bn euro programme.

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