The National Political Council has greenlighted the Social Democratic Party (PSD) joining the government, because the priorities requested by the Social Democrats are found in the governing agenda of the Niculescu Cabinet, the party's national leader, Sorin Grindeanu, said on Wednesday.

'The PSD Political Council analysed today the critical situation Romania reached in recent months, and the solutions proposed to us by Prime Minister-designate Luca Niculescu in his government agenda. We started from a truth that all the responsible parliamentary parties have supported these days, namely that saving the economy must take precedence over politics. That is why Romania urgently needs a functional government. Romania has vital economic emergencies, from ensuring healthcare money to paying pensions and salaries. Prolonging the political crisis is the sure way to a national bankruptcy. The analyses of the National Bank of Romania and the international financial institutions show that Romania would be heading towards the abyss at the speed of light. Keeping in place the dismissed and caretaker Bolojan Government would be like paying a bill that would bring the last functional part of the economy to its knees. We spoke of an additional impact on the budget of at least RON 60 billion, i.e. about 3% of GDP and not only that,' Grindeanu told a news conference at the PSD headquarters.

He added that, without firm measures of change and without a change of direction, 'we will witness the reduction of economic activity in Romania' and 'we will witness the increase of financing costs for loans and the reduction of foreign exchange reserves', the increase of interest expenses and the depreciation of the exchange rate.

'That will lead to a huge risk of entering a liquidity crisis and we will see investments blocked and postponed and, from our calculations, about 50,000 more unemployed. We are currently unable to carry out, as you well know, the budget revision and the construction of the budget for 2027 and we also have delays in the absorption of European funds. That is the reality from the data we have today and from these hard truths we start. All while others are fleeing from the disaster they have produced. Given the circumstances, PSD decided to be part of the solution to get out of this national blockage. The National Political Council greenlighted PSD joining the government, because the priorities requested by the PSD are found in the governing agenda of the future Niculescu Cabinet,' said Grindeanu. AGERPRES (RO - editing by: Dana Piciu; En - writing by: Corneliu-Aurelian Colceriu)