On 23 December 2024, Romania’s newly appointed government, led by Prime Minister Marcel Ciolacu, officially took office after securing a vote of confidence in Parliament. The “Ciolacu 2” cabinet narrowly achieved approval with 240 votes, just seven above the required threshold of 233. This tight margin highlights a divided political climate and significant challenges ahead for the administration.
Composition of the Government
The government is formed through a coalition of the Social Democratic Party (PSD), the National Liberal Party (PNL), and the Democratic Alliance of Hungarians in Romania (UDMR), alongside minority group representatives. The 16-member cabinet reflects the power-sharing arrangement among the coalition partners, with eight ministries allocated to PSD, six to PNL, and two to UDMR.
Key ministerial appointments include Emil Hurezeanu (PNL) as Foreign Minister, Tanczos Barna (UDMR) as Finance Minister, and Sorin Grindeanu (PSD) as Minister of Transport. The coalition also agreed on the selection of Crin Antonescu as their joint candidate for the 2025 presidential elections, signalling efforts to project unity within the governing bloc.
Ciolacu’s Opening Address
During the first cabinet meeting, Prime Minister Ciolacu highlighted the importance of stability and pledged to steer the country away from past mistakes. He pointed out that the immediate impact of forming a functional government was already visible, with international borrowing rates for Romania beginning to decrease.
“This government has a challenging mandate, but we know what must be done and, more importantly, what mistakes must not be repeated,” Ciolacu said. He stressed that ensuring political and economic stability is essential for fostering investor confidence and maintaining public trust.
Ciolacu also used the occasion to convey holiday wishes to the public, stating, “Romanians deserve peaceful winter holidays. I wish everyone a Merry Christmas with their loved ones.”
President Klaus Iohannis’s Message
President Klaus Iohannis addressed the new cabinet during their swearing-in ceremony, urging them to deliver solutions and stability. He identified two immediate priorities: finalising the state budget for 2025 and organising the presidential elections. Iohannis emphasised that the government must act decisively to maintain Romania’s Euro-Atlantic trajectory amidst a challenging international environment.
“Romanians expect stability, solutions, and a government firmly committed to preserving our place in NATO and the European Union,” the president remarked.
Key Priorities for the Administration
The Ciolacu government has laid out an ambitious agenda aimed at addressing both immediate and long-term challenges. Among the top priorities are investments in healthcare, education, and infrastructure, as well as fiscal reforms to address the country’s economic difficulties.
Healthcare
The government plans to complete the construction of three regional hospitals and ten new medical facilities while modernising 17 existing institutions. It also aims to ensure equitable access to healthcare and continue investing in public health infrastructure.
Education
Recognising education as a critical area of reform, the administration has pledged €6 billion over the next four years for initiatives such as expanding the “Warm Meal” programme to reduce school dropout rates, constructing over 900 new schools and kindergartens, and introducing 1,200 electric minibuses for student transportation. Investments in dual vocational education and performance-based evaluation criteria for teachers are also on the agenda.
Economic Reforms
Fiscal discipline and economic restructuring are central to the government’s programme. Ciolacu has emphasised the need for targeted tax incentives, streamlined public spending, and reforms in the civil service. Measures include auditing government entities to eliminate inefficiencies, rationalising public sector spending, and implementing a performance-based remuneration system for civil servants.
The government also seeks to bolster local production, particularly in agriculture and manufacturing, by investing in irrigation systems and processing facilities. These initiatives aim to reduce dependency on imports and create a more sustainable economic model.
Infrastructure Development
Ciolacu’s administration has committed to accelerating infrastructure projects, with a goal of completing 200 kilometres of expressways annually. This effort is part of a broader plan to improve connectivity and support economic growth.
Challenges and Criticism
Despite the ambitious programme, the government faces significant criticism from the opposition and public scepticism. The Alliance for the Union of Romanians (AUR) leader George Simion accused the coalition of ignoring public discontent and described the new government as disconnected from voters’ concerns. Similarly, Cătălin Drulă, leader of the Save Romania Union (USR), criticised the coalition for perpetuating the same political practices, labelling it a “government of lies.”
Internally, maintaining cohesion within the coalition will be a critical challenge. The narrow parliamentary majority leaves little room for dissent, and implementing reforms in a politically charged environment will test the administration’s resolve.
Broader Implications
The Ciolacu government assumes office during a period of significant economic and geopolitical uncertainty. The ongoing war in Ukraine, coupled with domestic fiscal pressures, poses substantial challenges. Additionally, the administration must navigate Romania’s commitments under the EU Recovery and Resilience Facility, which requires tangible progress in reforms to secure funding.
