Romania is bracing itself for a wave of social unrest as tensions mount over the government’s vow to slash welfare benefits and cut public sector pay.
Unions have called general strikes in protest at the plans and scuffles broke out in Bucharest yesterday as a demonstration by pensioners turned heated.
They oppose the government cutting their state retirement allowance to close Romania’s fiscal deficit.
The International Monetary Fund told Romania it must fix its finances before it will receive any more money from 20 billion euro aid package.
Romania has so far received 12 billion euros from the rescue deal agreed with the IMF, the EU and the World Bank.
Under the terms of the agreement, Romania must reduce it deficit to 4.4 percent GDP in 2011, down from 7.2 percent last year.