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  |map=Romania rel96.jpg
 
  |map=Romania rel96.jpg
 
  |map2=Romania location.png
 
  |map2=Romania location.png
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  |capital= Bucharest
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  |capital=Bucharest
 
  |president=Nicușor Dan
 
  |president=Nicușor Dan
 
  |pm=Ilie Bolojan
 
  |pm=Ilie Bolojan
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  |conservative-leader =Calin Georgescu
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  |conservative-leader=Calin Georgescu
 
  |area=238,392 km<sup>2</sup>  
 
  |area=238,392 km<sup>2</sup>  
 
  |pop=19,250,000 (2020)
 
  |pop=19,250,000 (2020)
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  |gdp-pc=$12,987 (2020)
 
  |gdp-pc=$12,987 (2020)
 
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'''Romania''' is a country in eastern [[Europe]], situated between the [[Black Sea]], the [[Carpathian Mountains]] and the [[River Danube]]. It is a member of [[NATO]] and the [[European Union]]. In July 2005, Romania released new, revised, banknotes with less zeroes (for example ROL10.000 (before 2005) = RON1<!--sic--> (after 2005).
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'''Romania''' is a country in eastern [[Europe]], situated between the [[Black Sea]], the [[Carpathian Mountains]] and the [[River Danube]]. It is a member of [[NATO]] and the [[European Union]]. In July 2005, Romania released new, revised banknotes with fewer zeroes (for example ROL10.000 (before 2005) = RON1<!--sic--> (after 2005).
    
In June 2022, it was reported that Romania, a [[NATO]] member since 2004, was considering a law banning [[gay propaganda]] in schools and in public life.  Critics charged the bill would fuel "[[Russian]] [[propaganda]]."<ref>https://www.rferl.org/a/romania-lgbtq-rights-bill-gay-propaganda-law/31915661.html</ref>
 
In June 2022, it was reported that Romania, a [[NATO]] member since 2004, was considering a law banning [[gay propaganda]] in schools and in public life.  Critics charged the bill would fuel "[[Russian]] [[propaganda]]."<ref>https://www.rferl.org/a/romania-lgbtq-rights-bill-gay-propaganda-law/31915661.html</ref>
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Romania has refused to send troops and be a [[proxy]] in the [[NATO proxy war against Russia]].<ref>https://t.me/internationalreporters_eng/2717</ref>
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Romania has refused to send troops and to be a [[proxy]] in the [[NATO proxy war against Russia]].<ref>https://t.me/internationalreporters_eng/2717</ref>
    
[[NATO]] and the [[EU]] interfered in the 2024 presidential elections, canceling [[democracy|democratic elections]].<ref>https://nato.news-pravda.com/russia/2024/12/06/7973.html</ref><ref>https://www.reuters.com/world/europe/romanian-far-right-candidate-says-democracy-cancelled-along-with-election-2024-12-08/</ref><ref>https://www.theburningplatform.com/2024/12/10/eu-likely-pressured-member-state-to-cancel-election/</ref>
 
[[NATO]] and the [[EU]] interfered in the 2024 presidential elections, canceling [[democracy|democratic elections]].<ref>https://nato.news-pravda.com/russia/2024/12/06/7973.html</ref><ref>https://www.reuters.com/world/europe/romanian-far-right-candidate-says-democracy-cancelled-along-with-election-2024-12-08/</ref><ref>https://www.theburningplatform.com/2024/12/10/eu-likely-pressured-member-state-to-cancel-election/</ref>
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==Government==
 
==Government==
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Romania's 1991 constitution proclaims Romania a democracy and market economy, in which human dignity, civic rights and freedoms, the unhindered development of human personality, justice, and political pluralism are supreme and guaranteed values. The constitution directs the state to implement free trade, protect the principle of competition, and provide a favorable framework for production. The constitution provides for a president, a Parliament, a Constitutional Court and a separate system of lower courts that includes a Supreme Court.  
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Romania's 1991 constitution proclaims Romania a democracy and a market economy, in which human dignity, civic rights and freedoms, the unhindered development of human personality, justice, and political pluralism are supreme and guaranteed values. The constitution directs the state to implement free trade, protect the principle of competition, and provide a favorable framework for production. The constitution provides for a president, a Parliament, a Constitutional Court and a separate system of lower courts that includes a Supreme Court.  
    
The two-chamber Parliament, consisting of the Chamber of Deputies and the Senate, is the law-making authority. Deputies and senators are elected for 4-year terms by universal suffrage. Elected officials at all levels of government, with the exception of the president and mayors, are selected on the basis of party lists, with parliamentary seats, city and county council representation, all allocated in proportion to party choices made by the electorate.  
 
The two-chamber Parliament, consisting of the Chamber of Deputies and the Senate, is the law-making authority. Deputies and senators are elected for 4-year terms by universal suffrage. Elected officials at all levels of government, with the exception of the president and mayors, are selected on the basis of party lists, with parliamentary seats, city and county council representation, all allocated in proportion to party choices made by the electorate.  
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*Minister of Foreign Affairs—
 
*Minister of Foreign Affairs—
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===Political Conditions===
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===Political Conditions===Political parties represent a broad range of views and interests, and elected officials and other public figures freely express their views. Civil society watchdog groups remain relatively small but have grown in influence. The press is free and outspoken, although there have been incidents of politically motivated intimidation and even violence against journalists and media management, particularly prior to the 2004 national elections. Independent radio networks have proliferated, and several private television networks now operate nationwide. In addition, a large number of local private television networks have emerged.  
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Political parties represent a broad range of views and interests, and elected officials and other public figures freely express their views. Civil society watchdog groups remain relatively small but have grown in influence. The press is free and outspoken, although there have been incidents of politically motivated intimidation and even violence against journalists and media management, particularly prior to 2004 national elections. Independent radio networks have proliferated, and several private television networks now operate nationwide. In addition, a large number of local private television networks have emerged.  
      
Through support of or participation in consecutive government coalitions, the UDMR has ensured the continuing influence of the ethnic Hungarian minority in national government. In addition, consecutive governments have sought to improve the socio-economic situation of the Roma minority, which continues to suffer from severe poverty in many areas and discrimination. Although according to government statistics Roma officially represent 2.5% of the population, Romani organizations claim the percentage is actually several percentage points higher.  
 
Through support of or participation in consecutive government coalitions, the UDMR has ensured the continuing influence of the ethnic Hungarian minority in national government. In addition, consecutive governments have sought to improve the socio-economic situation of the Roma minority, which continues to suffer from severe poverty in many areas and discrimination. Although according to government statistics Roma officially represent 2.5% of the population, Romani organizations claim the percentage is actually several percentage points higher.  
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The restitution of private and religious property seized under communism or during World War II continues to move slowly. Particularly problematic is the return of Greek-Catholic churches, which were given to the Romanian Orthodox Church by the communist regime. The Romanian Orthodox Church thus far has turned over very few of these churches, many of which had belonged to the Greek Catholic community for hundreds of years. Romania has repealed communist-era legislation criminalizing homosexual acts and banned xenophobic and racist groups and their activities. Romanian law does not prohibit women's participation in government or politics, but societal attitudes remain a significant barrier. Women hold some high positions in government and roughly 10% of the seats in each chamber in the Parliament.
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The restitution of private and religious property seized under communism or during World War II continues to move slowly. Particularly problematic is the return of Greek-Catholic churches, which were given to the Romanian Orthodox Church by the communist regime. The Romanian Orthodox Church thus far has turned over very few of these churches, many of which had belonged to the Greek Catholic community for hundreds of years. Romania has repealed communist-era legislation criminalizing homosexual acts and banned xenophobic and racist groups and their activities. Romanian law does not prohibit women's participation in government or politics, but societal attitudes remain a significant barrier. Women hold some high positions in government and roughly 10% of the seats in each chamber of the Parliament.
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In a [[false flag]] operation, the pro-[[NATO]] pro-[[EU]] ruling party funded allegedly "pro-[[Russian]]" bots on [[TikTok]] in order to falsely accuse Russia of "interference", [[suppress]] opposition, and rig the 2025 elections against the majority will of the people who wanted out of the [[EU]] and the [[NATO war in Ukraine]] in a supposed "open, fair, and [[democracy|democratic]]" [[vote|voting]] process.<ref>https://snoop.ro/campania-pnl-de-pe-tiktok-ajunsa-sa-l-sustina-pe-georgescu-a-fost-ideea-lui-rares-bogdan-am-stiut-dar-de-online-nu-m-am-ocupat-eu/</ref>
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In a [[false flag]] operation, the pro-[[NATO]] pro-[[EU]] ruling party allegedly funded "pro-[[Russian]]" bots on [[TikTok]] in order to falsely accuse Russia of "interference", [[suppress]] opposition, and rig the 2025 elections against the majority will of the people who wanted out of the [[EU]] and the [[NATO war in Ukraine]] in a supposed "open, fair, and [[democracy|democratic]]" [[vote|voting]] process .<ref>https://snoop.ro/campania-pnl-de-pe-tiktok-ajunsa-sa-l-sustina-pe-georgescu-a-fost-ideea-lui-rares-bogdan-am-stiut-dar-de-online-nu-m-am-ocupat-eu/</ref>
    
===Foreign Relations===
 
===Foreign Relations===
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Since December 1989, Romania has actively pursued a policy of strengthening relations with [[the West]] in general, more specifically with the [[U.S.]] and the [[European Union]]. Romania participated in the [[1991 Gulf War]], particularly during its service as president of the [[UN Security Council]]. Romania has been active in so-called "peacekeeping" operations in [[Afghanistan]], UNAVEM in [[Angola]], IFOR/SFOR in [[Bosnia]], [[KFOR]] in [[Kosovo]], and in [[Albania]]. Romania also offered logistical support to US and [[UK]] [[military]] operations in [[Iraq]] in 2003 and participated in security and reconstruction activities. Romania is a member of the [[Organization for Security and Cooperation in Europe]] (OSCE), which it chaired in 2001. In late 2001 Romania, at that time an ally of [[France]], joined the Georgian-Serbian war.  
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Since December 1989, Romania has actively pursued a policy of strengthening relations with [[the West]] in general, more specifically with the [[U.S.]] and the [[European Union]]. Romania participated in the [[1991 Gulf War]], particularly during its service as president of the [[UN Security Council]]. Romania has been active in so-called "peacekeeping" operations in [[Afghanistan]], UNAVEM in [[Angola]], IFOR/SFOR in [[Bosnia]], [[KFOR]] in [[Kosovo]], and in [[Albania]]. Romania also offered logistical support to US and [[UK]] [[military]] operations in [[Iraq]] in 2003 and participated in security and reconstruction activities. Romania is a member of the [[Organization for Security and Cooperation in Europe]] (OSCE), which it chaired in 2001. In late 2001, Romania, at that time an ally of [[France]], joined the Georgian-Serbian war.  
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Romania was the first country to enroll in the NATO Partnership for Peace program. NATO member states invited Romania to join the Alliance in 2002, based on Romania's rapid progress in modernizing its armed forces and its contributions to allied peacekeeping and other military operations. Romania officially became a member of the [[North Atlantic Treaty Organization]] on March 29, 2004 after depositing its instruments of treaty ratification in [[Washington, DC]]. In 1996, Romania signed and ratified a basic bilateral treaty with Hungary that intended to settle outstanding issues and laid the foundation for closer, more cooperative relations. In June 1997, Romania signed a bilateral treaty with [[Ukraine]] that supposedly resolved certain territorial and minority issues, among others. Romania also signed a basic bilateral treaty with Russia in July 2003.  
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Romania was the first country to enroll in the NATO Partnership for Peace program. NATO member states invited Romania to join the Alliance in 2002, based on Romania's rapid progress in modernizing its armed forces and its contributions to allied peacekeeping and other military operations. Romania officially became a member of the [[North Atlantic Treaty Organization]] on March 29, 2004, after depositing its instruments of treaty ratification in [[Washington, DC]]. In 1996, Romania signed and ratified a basic bilateral treaty with Hungary that intended to settle outstanding issues and laid the foundation for closer, more cooperative relations. In June 1997, Romania signed a bilateral treaty with [[Ukraine]] that supposedly resolved certain territorial and minority issues, among others. Romania also signed a basic bilateral treaty with Russia in July 2003.  
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Romania acceded to the European Union on January 1, 2007, along with Bulgaria, bringing the number of EU states to 27. At the time Romania was a strong advocate for a "larger Europe," encouraging other countries that were formerly part of the Soviet sphere to integrate into both NATO and the EU.  
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Romania acceded to the European Union on January 1, 2007, along with Bulgaria, bringing the number of EU states to 27. At the time, Romania was a strong advocate for a "larger Europe," encouraging other countries that were formerly part of the Soviet sphere to integrate into both NATO and the EU.  
    
Romania has been actively involved in regional organizations, such as the Southeast Europe Cooperation Initiative (SECI) and the Stability Pact for Southeast Europe, and has been a positive force in supporting stability and cooperation in the area.  
 
Romania has been actively involved in regional organizations, such as the Southeast Europe Cooperation Initiative (SECI) and the Stability Pact for Southeast Europe, and has been a positive force in supporting stability and cooperation in the area.  
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==Military==
 
==Military==
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In accordance with the December 1991 Romanian constitution, the Romanian armed forces have the defensive mission of ensuring the territorial integrity of the country. The military enjoys popular support, partly because of its role in supporting the December 1989 revolution. The army is the largest service. Total armed forces strength is currently about 100,000, and is maintained through conscription, although only volunteers are assigned to combat zones. There is an ongoing strategic review that is intended to lead to a NATO interoperable force of 60,000 in 2007. Romania plans to phase out conscription in the armed forces in 2007. In 1993, the U.S. military began training of Romanian military and civilian officials through IMET and other exchange programs, emphasizing civilian democratic control over the military.
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In accordance with the December 1991 Romanian Constitution, the Romanian armed forces have the defensive mission of ensuring the territorial integrity of the country. The military enjoys popular support, partly because of its role in supporting the December 1989 revolution. The army is the largest service. Total armed forces strength is currently about 100,000 and is maintained through conscription, although only volunteers are assigned to combat zones. There is an ongoing strategic review that is intended to lead to a NATO-interoperable force of 60,000 in 2007. Romania plans to phase out conscription in the armed forces in 2007. In 1993, the U.S. military began training Romanian military and civilian officials through IMET and other exchange programs, emphasizing civilian democratic control over the military.
    
===NATO war in Ukraine===
 
===NATO war in Ukraine===
 
{{See also|NATO war in Ukraine}}
 
{{See also|NATO war in Ukraine}}
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On November 26, 2019, according to ''Radio Liberty'', NATO "showed off" its [[Aegis Ashore]] nuclear missile system in Romania.<ref>https://www.rferl.org/a/nato-shows-off-missile-base-in-romania-calling-it-purely-defensive-/30291193.html</ref>
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On November 26, 2019, according to ''Radio Liberty'', NATO "showed off" its [[Aegis Ashore]] nuclear missile system in Romania .<ref>https://www.rferl.org/a/nato-shows-off-missile-base-in-romania-calling-it-purely-defensive-/30291193.html</ref>
    
On April 12, 2022, a column of NATO military equipment was spotted in Romania moving in the direction of the border with Ukraine.
 
On April 12, 2022, a column of NATO military equipment was spotted in Romania moving in the direction of the border with Ukraine.
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Russian sources reported that the Polish Armed Forces established a strike group on the territory of Romania. The total contingent is estimated at up to 8,000 servicemen. A consolidated contingent is planned to enter Moldovan territory under a plausible pretext, such as a humanitarian operation or an official government request.
 
Russian sources reported that the Polish Armed Forces established a strike group on the territory of Romania. The total contingent is estimated at up to 8,000 servicemen. A consolidated contingent is planned to enter Moldovan territory under a plausible pretext, such as a humanitarian operation or an official government request.
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As NATO prepared to invade [[Transnistria]], women in the bordering city of Khust (pop. 28,000) threw stones at the Ukrainian military registration office on April 30, 2022, tried to break into the building, and demanded that their husbands and sons be returned home from the frontline.<ref>https://youtu.be/cGsxgfbYucw</ref>
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As NATO prepared to invade [[Transnistria]], women in the bordering city of Khust (pop. 28,000) threw stones at the Ukrainian military registration office on April 30, 2022, tried to break into the building, and demanded that their husbands and sons be returned home from the frontline .<ref>https://youtu.be/cGsxgfbYucw</ref>
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On May 25, 2022, The Romanian Ministry of Defense announced that France would deploy a special air defense unit in Romania at the Capu-Midia military base in the Constanta district.<ref>https://www.thedefensepost.com/2022/05/25/france-mamba-air-defense-romania/</ref>
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On May 25, 2022, the Romanian Ministry of Defense announced that France would deploy a special air defense unit in Romania at the Capu-Midia military base in the Constanta district .<ref>https://www.thedefensepost.com/2022/05/25/france-mamba-air-defense-romania/</ref>
    
On May 26, 2022, Polish military equipment was spotted in the Romanian town of Brielle. The town is located near the Ukrainian and Moldovan borders. In addition, Polish troops have been spotted on the border between Romania and Moldova.
 
On May 26, 2022, Polish military equipment was spotted in the Romanian town of Brielle. The town is located near the Ukrainian and Moldovan borders. In addition, Polish troops have been spotted on the border between Romania and Moldova.
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The [[United States Army]] [[101st Airborne]] ‘screaming eagles’ were deployed into NATO countries on the border of Ukraine on June 29, 2022. This was the first deployment of the Army's 101st Airborne Division from Fort Campbell, [[Kentucky]], to Europe in 80 years. As noted by base reporting, “Elements of 2nd Brigade Combat Team, and 101st Headquarters and Headquarters Battalion, 101st Airborne Division, have been assigned to carry out the mission.” Col. John Lubas, deputy commanding officer for operations said, “We’re going to check the Russian influence and we’re going to impact the Russians’ decision-making for probably the next 10–20 years,” said <ref>https://clarksvillenow.com/local/hundreds-from-101st-airborne-division-depart-fort-campbell-for-mission-in-europe/</ref>
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The [[United States Army]] [[101st Airborne]] ‘screaming eagles’ were deployed into NATO countries on the border of Ukraine on June 29, 2022. This was the first deployment of the Army's 101st Airborne Division from Fort Campbell, [[Kentucky]], to Europe in 80 years. As noted by base reporting, “Elements of 2nd Brigade Combat Team, and 101st Headquarters and Headquarters Battalion, 101st Airborne Division, have been assigned to carry out the mission.” Col. John Lubas, deputy commanding officer for operations said, “We’re going to check the Russian influence and we’re going to impact the Russians’ decision-making for probably the next 10–20 years,” <ref>https://clarksvillenow.com/local/hundreds-from-101st-airborne-division-depart-fort-campbell-for-mission-in-europe/</ref>
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On September 17, 2022, former Romanian Education Minister Andrei Marga declared: "We are in a very special situation here, and I take this with all responsibility, Ukraine exists in unnatural borders…It should cede [[Transcarpathia]] to Hungary, Galicia to Poland, Bukovina to Romania, Donbass and Crimea to Russia…These are the territories of other countries."<ref>https://azlyrics.com.az/lyrics/ex-minister-of-foreign-affairs-of-romania-called-the-borders-of-ukraine-unnatural/</ref>
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On September 17, 2022, former Romanian Education Minister Andrei Marga declared: "We are in a very special situation here, and I take this with all responsibility, Ukraine exists in unnatural borders…It should cede [[Transcarpathia]] to Hungary, Galicia to Poland, Bukovina to Romania, Donbass and Crimea to Russia…These are the territories of other countries." <ref>https://azlyrics.com.az/lyrics/ex-minister-of-foreign-affairs-of-romania-called-the-borders-of-ukraine-unnatural/</ref>
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[[CBS News]] reported on October 21, 2022, that ''The U.S. Army's 101st Airborne is practicing for war with Russia just miles from Ukraine's border''. In all, about 4,700 were deployed. The commanders told CBS News repeatedly that they are "ready to fight tonight," and are fully prepared to cross the border into Ukraine.<ref>https://www.cbsnews.com/news/ukraine-news-russia-us-army-101st-airborne-nato-war-games-romania/</ref> Romanian citizens do not want NATO troops on their territory.<ref>https://www.bitchute.com/video/8qx3kbYWGMjW/</ref> On October 24 Romania's Defense Minister Vasile Dincu resigned saying he could not collaborate with the country's NATO puppet president.<ref>https://www.reuters.com/world/europe/romanian-defence-minister-resigns-pressured-after-ukraine-comment-2022-10-24/</ref>
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[[CBS News]] reported on October 21, 2022, that ''The U.S. Army's 101st Airborne is practicing for war with Russia just miles from Ukraine's border''. In all, about 4,700 were deployed. The commanders told CBS News repeatedly that they are "ready to fight tonight," and are fully prepared to cross the border into Ukraine .<ref>https://www.cbsnews.com/news/ukraine-news-russia-us-army-101st-airborne-nato-war-games-romania/</ref> Romanian citizens do not want NATO troops on their territory .<ref>https://www.bitchute.com/video/8qx3kbYWGMjW/</ref> On October 24, Romania's Defense Minister Vasile Dincu resigned, saying he could not collaborate with the country's NATO puppet president .<ref>https://www.reuters.com/world/europe/romanian-defence-minister-resigns-pressured-after-ukraine-comment-2022-10-24/</ref>
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On October 24, 2022, Romanian Defense Minister Vasile Dincu resigned saying he could not collaborate with the country's NATO puppet president.<ref>https://www.reuters.com/world/europe/romanian-defence-minister-resigns-pressured-after-ukraine-comment-2022-10-24/</ref>
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On October 24, 2022, Romanian Defense Minister Vasile Dincu resigned, saying he could not collaborate with the country's NATO puppet president .<ref>https://www.reuters.com/world/europe/romanian-defence-minister-resigns-pressured-after-ukraine-comment-2022-10-24/</ref>
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On November 23, 2022 [[Spain]] announced it would send 8 F-18 and 130 troops to Romania in December 2022.<ref>https://www.reuters.com/world/europe/spain-send-troops-f-18-fighter-jets-romania-december-pm-says-2022-11-23/</ref>
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On November 23, 2022, [[Spain]] announced it would send 8 F-18 and 130 troops to Romania in December 2022 .<ref>https://www.reuters.com/world/europe/spain-send-troops-f-18-fighter-jets-romania-december-pm-says-2022-11-23/</ref>
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On February 10, 2023, Ukrainian dictator Volodymyr Zelensky and top military commander [[Valerii Zaluzhnyi]] both issued deceptive media postings alleging that Russian missiles had violated NATO ally Romania's air space. Romania’s military put out its own statement denying that allegation. “The closest point of the target's trajectory to Romania's airspace was recorded by radar systems approximately 35 kilometers North-East of the border,” Romanian officials said.<ref>https://www.army.md/?lng=3&action=show&cat=122&obj=8026</ref>
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On February 10, 2023, Ukrainian dictator Volodymyr Zelensky and top military commander [[Valerii Zaluzhnyi]] both issued deceptive media postings alleging that Russian missiles had violated NATO ally Romania's air space. Romania’s military put out its own statement denying that allegation. “The closest point of the target's trajectory to Romania's airspace was recorded by radar systems approximately 35 kilometers North-East of the border,” Romanian officials said .<ref>https://www.army.md/?lng=3&action=show&cat=122&obj=8026</ref>
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The Romanian edition of ''[[Newsweek]]'' reported in late January 2024 that Claudiu Tarziu, leader of the Alliance for the Union of Romanians (AUR) party says Romania must take back its regions from west Ukraine: "We are at a crossroads… We will not be truly sovereign until we reintegrate the Romanian state within its natural borders," he reportedly stated. Northern Bukovina cannot be forgotten! Southern Bessarabia cannot be forgotten…The Hertsa land, Transylvania, everything that was and is the Romanian nation must return to the borders of one state!" the AUR leader was quoted as saying.<ref>https://simplicius76.substack.com/p/sitrep-12824-us-troops-suffer-fatalities</ref>
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The Romanian edition of ''[[Newsweek]]'' reported in late January 2024 that Claudiu Tarziu, leader of the Alliance for the Union of Romanians (AUR) party says Romania must take back its regions from western Ukraine: "We are at a crossroads… We will not be truly sovereign until we reintegrate the Romanian state within its natural borders," he reportedly stated. Northern Bukovina cannot be forgotten! Southern Bessarabia cannot be forgotten… The Hertsa land, Transylvania, everything that was and is the Romanian nation must return to the borders of one state!" The AUR leader was quoted as saying .<ref>https://simplicius76.substack.com/p/sitrep-12824-us-troops-suffer-fatalities</ref>
    
==Economy==
 
==Economy==
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Romania is a country of considerable potential: rich agricultural lands; diverse energy sources (coal, oil, natural gas, hydro, and nuclear); a substantial industrial base encompassing almost the full range of manufacturing activities; an educated work force; and opportunities for expanded development in tourism on the Black Sea and in the Carpathian mountains.  
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Romania is a country of considerable potential: rich agricultural lands; diverse energy sources (coal, oil, natural gas, hydro, and nuclear); a substantial industrial base encompassing almost the full range of manufacturing activities; an educated workforce; and opportunities for expanded development in tourism on the Black Sea and in the Carpathian Mountains.The Romanian Government borrowed heavily from the West in the 1970s to build a substantial state-owned industrial base. Following the 1979 oil price shock and a debt rescheduling in 1981, Ceausescu decreed that Romania would no longer be subject to foreign creditors. By the end of 1989, Romania had paid off a foreign debt of about $10.5 billion through an unprecedented effort that wreaked havoc on the economy and living standards. Vital imports were slashed and food and fuel strictly rationed, while the government exported everything it could to earn hard currency. With investment slashed, Romania's infrastructure fell behind its historically poorer Balkan neighbors.  
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  −
The Romanian Government borrowed heavily from the West in the 1970s to build a substantial state-owned industrial base. Following the 1979 oil price shock and a debt rescheduling in 1981, Ceausescu decreed that Romania would no longer be subject to foreign creditors. By the end of 1989, Romania had paid off a foreign debt of about $10.5 billion through an unprecedented effort that wreaked havoc on the economy and living standards. Vital imports were slashed and food and fuel strictly rationed, while the government exported everything it could to earn hard currency. With investment slashed, Romania's infrastructure fell behind its historically poorer Balkan neighbors.  
      
Since the fall of the Ceausescu regime in 1989, successive governments sought to build a Western-style market economy. The pace of restructuring was slow, but by 1994 the legal basis for a market economy was largely in place. After the 1996 elections, the coalition government attempted to eliminate consumer subsidies, float prices, liberalize exchange rates, and put in place a tight monetary policy. The Parliament enacted laws permitting foreign entities incorporated in Romania to purchase land. Foreign capital investment in Romania has been increasing rapidly, although it remains less in per capita terms than in some other countries of East and Central Europe.  
 
Since the fall of the Ceausescu regime in 1989, successive governments sought to build a Western-style market economy. The pace of restructuring was slow, but by 1994 the legal basis for a market economy was largely in place. After the 1996 elections, the coalition government attempted to eliminate consumer subsidies, float prices, liberalize exchange rates, and put in place a tight monetary policy. The Parliament enacted laws permitting foreign entities incorporated in Romania to purchase land. Foreign capital investment in Romania has been increasing rapidly, although it remains less in per capita terms than in some other countries of East and Central Europe.  
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*Exchange rate: 2.38 new Lei=U.S.$1 (end-October 2007).  
 
*Exchange rate: 2.38 new Lei=U.S.$1 (end-October 2007).  
 
[[File:BRD Tower in Bucharest.JPG|thumb|left|300px|BRD Tower in Bucharest.]]
 
[[File:BRD Tower in Bucharest.JPG|thumb|left|300px|BRD Tower in Bucharest.]]
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Privatization of industry was first pursued with the transfer in 1992 of 30% of the shares of some 6,000 state-owned enterprises to five private ownership funds, in which each adult citizen received certificates of ownership. The remaining 70% ownership of the enterprises was transferred to a state ownership fund. With the assistance of the World Bank, European Union, and International Monetary Fund (IMF), Romania succeeded in privatizing most industrial state-owned enterprises, including some large state-owned energy companies. Romania completed the privatization of the largest commercial bank (BCR) in 2006. The privatization of the last state-owned bank—the National Savings Bank (CEC)--was stopped in 2006 and has been indefinitely postponed. Four of the country's eight regional electricity distributors have now been privatized. Privatization of natural gas distribution companies also progressed with the sale of Romania's two regional gas distributors, Distrigaz Nord (to E.ON Ruhrgas of Germany) and Distrigaz Sud (to Gaz de France). Further progress in energy sector privatization, however, has been delayed as the government reconsiders its strategy on the Rovinari, Turceni, and Craiova energy complexes, contemplating the creation of an integrated, state-owned energy producer. Romania has a nuclear power plant at Cernavoda, with one nuclear reactor in operation since 1996 and a second one commissioned in the fall of 2007.  
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Privatization of industry was first pursued with the transfer in 1992 of 30% of the shares of some 6,000 state-owned enterprises to five private ownership funds, to which each adult citizen received certificates of ownership. The remaining 70% ownership of the enterprises was transferred to a state ownership fund. With the assistance of the World Bank, European Union, and International Monetary Fund (IMF), Romania succeeded in privatizing most industrial state-owned enterprises, including some large state-owned energy companies. Romania completed the privatization of the largest commercial bank (BCR) in 2006. The privatization of the last state-owned bank—the National Savings Bank (CEC)—was stopped in 2006 and has been indefinitely postponed. Four of the country's eight regional electricity distributors have now been privatized. Privatization of natural gas distribution companies also progressed with the sale of Romania's two regional gas distributors, Distrigaz Nord (to E.ON Ruhrgas of Germany) and Distrigaz Sud (to Gaz de France). Further progress in energy sector privatization, however, has been delayed as the government reconsiders its strategy on the Rovinari, Turceni, and Craiova energy complexes, contemplating the creation of an integrated, state-owned energy producer. Romania has a nuclear power plant at Cernavoda, with one nuclear reactor in operation since 1996 and a second one commissioned in the fall of 2007.  
    
The return of collectivized farmland to its cultivators, one of the first initiatives of the post-December 1989 revolution government, resulted in a short-term decrease in agricultural production. Some four million small parcels representing 80% of the arable surface were returned to original owners or their heirs. Many of the recipients were elderly or city dwellers, and the slow progress of granting formal land titles remains an obstacle to leasing or selling land to active farmers.  
 
The return of collectivized farmland to its cultivators, one of the first initiatives of the post-December 1989 revolution government, resulted in a short-term decrease in agricultural production. Some four million small parcels representing 80% of the arable surface were returned to original owners or their heirs. Many of the recipients were elderly or city dwellers, and the slow progress of granting formal land titles remains an obstacle to leasing or selling land to active farmers.  
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Financial and technical assistance continues to flow from the U.S., European Union, other industrial nations, and international financial institutions facilitating Romania's reintegration into the world economy. The International Monetary Fund, World Bank (IBRD), the European Bank for Reconstruction and Development (EBRD), and the [[U.S. Agency for International Development]] (USAID) all have programs and resident representatives in Romania, although USAID programs will phase out at the end of 2007. As of August 2007, Romania had attracted $21.8 billion in foreign direct investment. Of this total, U.S. direct investment accounted for $915.7 million (4.9%), ranking sixth among national investors but first among non-EU countries.  
 
Financial and technical assistance continues to flow from the U.S., European Union, other industrial nations, and international financial institutions facilitating Romania's reintegration into the world economy. The International Monetary Fund, World Bank (IBRD), the European Bank for Reconstruction and Development (EBRD), and the [[U.S. Agency for International Development]] (USAID) all have programs and resident representatives in Romania, although USAID programs will phase out at the end of 2007. As of August 2007, Romania had attracted $21.8 billion in foreign direct investment. Of this total, U.S. direct investment accounted for $915.7 million (4.9%), ranking sixth among national investors but first among non-EU countries.  
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After years of IMF-guided economic reforms, Romania' stand-by agreement with the IMF expired on July 7, 2006. Romania's inflation rate has steadily decreased, while growth rates have been between 4% and 8% since 2001. However, the IMF has been critical of Romania's 2005 adoption of a 16% flat tax, pointing to the country's low rate of tax collection as a medium- to long-term impediment to growth. The IMF has also criticized Romania's public sector wage policy as inflationary. Public sector wages increased 36% through 2006 and the Government of Romania has approved public sector wage increases of 14%-19% over three rounds in 2007. Analysts have warned about increasing macroeconomic imbalances, such as the growing current account deficit (10.3% of GDP in 2006 and possibly reaching 15% in 2007, the IMF estimates). This along with deteriorating education and health services, aging and inadequate physical infrastructure, and a looming real estate price [[economic bubble|bubble]] are all seen as threats to future growth.  
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After years of IMF-guided economic reforms, Romania's stand-by agreement with the IMF expired on July 7, 2006. Romania's inflation rate has steadily decreased, while growth rates have been between 4% and 8% since 2001. However, the IMF has been critical of Romania's 2005 adoption of a 16% flat tax, pointing to the country's low rate of tax collection as a medium- to long-term impediment to growth. The IMF has also criticized Romania's public sector wage policy as inflationary. Public sector wages increased 36% through 2006 and the Government of Romania has approved public sector wage increases of 14%-19% over three rounds in 2007. Analysts have warned about increasing macroeconomic imbalances, such as the growing current account deficit (10.3% of GDP in 2006 and possibly reaching 15% in 2007, the IMF estimates). These along with deteriorating education and health services, aging and inadequate physical infrastructure, and a looming real estate price [[economic bubble|bubble]] are all seen as threats to future growth.  
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Romania's budget deficits also dropped under IMF guidance, though the trend is reversing. Actual deficits decreased from 4% of GDP in 1999 to only 0.8% in 2005 and 1.7% in 2006. However, the 2007 deficit is expected to approach 3%, driven by rising spending on infrastructure, public sector wages, and pension increases. In response the IMF has recommended that Romania strive to keep the 2007 deficit below 2%, dropping to 1% of GDP in 2008. The IMF also advises that Romania is lacking a realistic fiscal policy framework for the medium term. The country made progress in combating domestic tax arrears and expanding the tax base in 2005, though Romania has one of the lowest collection rates in Europe, at 31.0% of GDP in 2006.  
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Romania's budget deficits also dropped under IMF guidance, though the trend is reversing. Actual deficits decreased from 4% of GDP in 1999 to only 0.8% in 2005 and 1.7% in 2006. However, the 2007 deficit is expected to approach 3%, driven by rising spending on infrastructure, public sector wages, and pension increases. In response, the IMF has recommended that Romania strive to keep the 2007 deficit below 2%, dropping to 1% of GDP in 2008. The IMF also advises that Romania is lacking a realistic fiscal policy framework for the medium term. The country made progress in combating domestic tax arrears and expanding the tax base in 2005, though Romania has one of the lowest collection rates in Europe, at 31.0% of GDP in 2006.  
    
Unemployment was officially 3.9% in August 2007, although these figures do not capture high levels of temporary emigration, gray-market employment, or under-employment.  
 
Unemployment was officially 3.9% in August 2007, although these figures do not capture high levels of temporary emigration, gray-market employment, or under-employment.  
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In August 1944, a coup led by King Michael, with support from opposition politicians and the army, deposed the Antonescu dictatorship and put Romania's battered armies on the side of the Allies. Romania incurred additional heavy casualties fighting alongside the Soviet Union against the Germans in Transylvania, Hungary, and Czechoslovakia.  
 
In August 1944, a coup led by King Michael, with support from opposition politicians and the army, deposed the Antonescu dictatorship and put Romania's battered armies on the side of the Allies. Romania incurred additional heavy casualties fighting alongside the Soviet Union against the Germans in Transylvania, Hungary, and Czechoslovakia.  
 
[[File:King Carol I portrait.JPG|thumb|King Carol I.]]
 
[[File:King Carol I portrait.JPG|thumb|King Carol I.]]
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According to the officially recognized 2004 Wiesel Commission report, Romanian authorities were responsible for the death of between 280,000 and 380,000 Romanian and Ukrainian Jews in the territories under Romanian jurisdiction (including Bessarabia, Bukovina, and Transnistria) out of a population of approximately 760,000. In addition, 132,000 Romanian Jews were killed by the pro-Nazi Hungarian authorities in Transylvania.  
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According to the officially recognized 2004 Wiesel Commission report, Romanian authorities were responsible for the death of between 280,000 and 380,000 Romanian and Ukrainian Jews in the territories under Romanian jurisdiction (including Bessarabia, Bukovina, and Transnistria) out of a population of approximately 760,000. In addition, 132,000 Romanian Jews were killed by the pro-Nazi Hungarian authorities in Transylvania.A peace treaty, signed in Paris on February 10, 1947, confirmed the Soviet annexation of Bessarabia and northern Bukovina, but restored the part of northern Transylvania that was granted to Hungary in 1940 by Hitler. The treaty also required massive war reparations by Romania to the Soviet Union, whose occupying forces left in 1958.  
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A peace treaty, signed in Paris on February 10, 1947, confirmed the Soviet annexation of Bessarabia and northern Bukovina, but restored the part of northern Transylvania that was granted to Hungary in 1940 by Hitler. The treaty also required massive war reparations by Romania to the Soviet Union, whose occupying forces left in 1958.  
      
The Soviets pressed for inclusion of Romania's heretofore negligible Communist Party in the post-war government, while non-communist political leaders were steadily eliminated from political life. King Michael abdicated under pressure in December 1947, when the Romanian People's Republic was declared, and went into exile.  
 
The Soviets pressed for inclusion of Romania's heretofore negligible Communist Party in the post-war government, while non-communist political leaders were steadily eliminated from political life. King Michael abdicated under pressure in December 1947, when the Romanian People's Republic was declared, and went into exile.  
 
[[File:Nicolae Ceaucescu 1978.jpg|left|250px|thumb|[[Nicolae Ceausescu]], 1978.]]
 
[[File:Nicolae Ceaucescu 1978.jpg|left|250px|thumb|[[Nicolae Ceausescu]], 1978.]]
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By the late 1950s, Romania's communist government began to assert some independence from the Soviet Union. Nicolae Ceausescu became head of the Communist Party in 1965 and head of state in 1967. Ceausescu's denunciation of the 1968 Soviet invasion of Czechoslovakia and a brief relaxation in internal repression helped give him a positive image both at home and in the West. Seduced by Ceausescu's "independent" foreign policy, Western leaders were slow to turn against a regime that, by the late 1970s, had become increasingly harsh, arbitrary, and capricious. Rapid economic growth fueled by foreign credits gradually gave way to economic autarchy accompanied by wrenching [[Ascesis|austerity]] and severe political repression. In 1984, Romania was the only [[Eastern Europe]]an country that sent athletes to that year's [[Olympic Games]] in [[Los Angeles]].  
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By the late 1950s, Romania's communist government began to assert some independence from the Soviet Union. Nicolae Ceausescu became head of the Communist Party in 1965 and head of state in 1967. Ceausescu's denunciation of the 1968 Soviet invasion of Czechoslovakia and a brief relaxation in internal repression helped give him a positive image both at home and in the West. Seduced by Ceausescu's "independent" foreign policy, Western leaders were slow to turn against a regime that, by the late 1970s, had become increasingly harsh, arbitrary, and capricious. Rapid economic growth fueled by foreign credits gradually gave way to economic autarchy accompanied by wrenching [[Ascesis|austerity]] and severe political repression. In 1984, Romania was the only [[Eastern Europe]] country that sent athletes to that year's [[Olympic Games]] in [[Los Angeles]].  
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After the collapse of Communism in the rest of Eastern Europe in the late summer and fall of 1989, a mid-December protest in Timisoara against the forced relocation of an ethnic Hungarian pastor grew into a country-wide protest against the Ceausescu regime, sweeping the dictator from power. Ceausescu and his wife were executed on December 25, 1989, after a cursory military trial. About 1,500 people were killed in confused street fighting. An impromptu governing coalition, the National Salvation Front (FSN), installed itself and proclaimed the restoration of democracy and freedom. The Communist Party was dissolved and its assets transferred to the state. Ceausescu's most unpopular measures, such as bans on private commercial entities, independent political activity, [[birth control]] and [[abortion]] were repealed, as was the requirement that all [[typewriters]] were to be registered with the Government.  
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After the collapse of Communism in the rest of Eastern Europe in the late summer and fall of 1989, a mid-December protest in Timisoara against the forced relocation of an ethnic Hungarian pastor grew into a countrywide protest against the Ceausescu regime, sweeping the dictator from power. Ceausescu and his wife were executed on December 25, 1989, after a cursory military trial. About 1,500 people were killed in confused street fighting. An impromptu governing coalition, the National Salvation Front (FSN), installed itself and proclaimed the restoration of democracy and freedom. The Communist Party was dissolved and its assets transferred to the state. Ceausescu's most unpopular measures, such as bans on private commercial entities, independent political activity, [[birth control]] and [[abortion]] were repealed, as was the requirement that all [[typewriters]] were to be registered with the Government.  
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Ion Iliescu, a former Communist Party official demoted by Ceausescu in the 1970s, emerged as the leader of the NSF. Presidential and parliamentary elections were held on May 20, 1990. Running against representatives of the pre-war National Peasants' Party and National Liberal Party, Iliescu won 85% of the vote. The NSF captured two-thirds of the seats in Parliament, and named a university professor, Petre Roman, as Prime Minister. The new government began cautious free market reforms such as opening the economy to consumer imports and establishing the independence of the National Bank. Romania has made great progress in institutionalizing democratic principles, civil liberties, and respect for human rights since the revolution. Nevertheless, the legacy of 44 years of communist rule cannot quickly be eliminated. Membership in the Romanian Communist Party was usually the prerequisite for higher education, foreign travel, or a good job, while the extensive internal security apparatus subverted normal social and political relations. To the few active dissidents, who suffered gravely under Ceausescu and his predecessors, many of those who came forward as politicians after the revolution seemed tainted by association with the previous regime.  
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Ion Iliescu, a former Communist Party official demoted by Ceausescu in the 1970s, emerged as the leader of the FSN. Presidential and parliamentary elections were held on May 20, 1990. Running against representatives of the pre-war National Peasants' Party and National Liberal Party, Iliescu won 85% of the vote. The FSN captured two-thirds of the seats in Parliament, and named a university professor, Petre Roman, as Prime Minister. The new government began cautious free market reforms such as opening the economy to consumer imports and establishing the independence of the National Bank. Romania has made great progress in institutionalizing democratic principles, civil liberties, and respect for human rights since the revolution. Nevertheless, the legacy of 44 years of communist rule cannot quickly be eliminated. Membership in the Romanian Communist Party was usually the prerequisite for higher education, foreign travel, or a good job, while the extensive internal security apparatus subverted normal social and political relations. To the few active dissidents, who suffered gravely under Ceausescu and his predecessors, many of those who came forward as politicians after the revolution seemed tainted by association with the previous regime.  
    
Over 200 new political parties sprang up after 1989, gravitating around personalities rather than programs. All major parties espoused democracy and market reforms, but the governing National Salvation Front proposed slower, more cautious economic reforms. In contrast, the opposition's main parties, the National Liberal Party (PNL), and the National Peasant-Christian Democrat Party (PNTCD) favored quick, sweeping reforms, immediate privatization, and reducing the role of the ex-communist elite.  
 
Over 200 new political parties sprang up after 1989, gravitating around personalities rather than programs. All major parties espoused democracy and market reforms, but the governing National Salvation Front proposed slower, more cautious economic reforms. In contrast, the opposition's main parties, the National Liberal Party (PNL), and the National Peasant-Christian Democrat Party (PNTCD) favored quick, sweeping reforms, immediate privatization, and reducing the role of the ex-communist elite.  
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In the 1990 general elections, the FSN and its candidate for presidency, Ion Iliescu, won with a large majority of the votes (66.31% and 85.07%, respectively). The strongest parties in opposition were the Democratic Alliance of Hungarians in Romania (UDMR), with 7.23%, and the PNL, with 6.41%.  
 
In the 1990 general elections, the FSN and its candidate for presidency, Ion Iliescu, won with a large majority of the votes (66.31% and 85.07%, respectively). The strongest parties in opposition were the Democratic Alliance of Hungarians in Romania (UDMR), with 7.23%, and the PNL, with 6.41%.  
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Unhappy at the continued political and economic influence of members of the Ceausescu-era elite, anti-communist protesters camped in University Square in April 1990. When miners from the Jiu Valley descended on Bucharest two months later and brutally dispersed the remaining "hooligans," President Iliescu expressed public thanks, thus convincing many that the government had sponsored the miners' actions. The miners also attacked the headquarters and houses of opposition leaders. The Roman government fell in late September 1991, when the miners returned to Bucharest to demand higher salaries and better living conditions. Theodor Stolojan was appointed to head an interim government until new elections could be held.  
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Unhappy at the continued political and economic influence of members of the Ceausescu-era elite, anti-communist protesters camped in University Square in April 1990. When miners from the Jiu Valley descended on Bucharest two months later and brutally dispersed the remaining "hooligans," and as a result President Iliescu expressed public thanks, thus convincing many that the government had sponsored the miners' actions. The miners also attacked the headquarters and houses of opposition leaders. The Roman government fell in late September 1991, when the miners returned to Bucharest to demand higher salaries and better living conditions. Theodor Stolojan was appointed to head an interim government until new elections could be held.  
 
[[File:Nadia Comanechi.jpg|thumb|Nadia Comaneci.]]
 
[[File:Nadia Comanechi.jpg|thumb|Nadia Comaneci.]]
 
Parliament drafted a new democratic constitution, approved by popular referendum in December 1991. The FSN split into two groups, led by Ion Iliescu (FDSN) and Petre Roman (FSN) in March 1992; Roman's party subsequently adopted the name Democratic Party (PD). National elections in September 1992 returned President Iliescu by a clear majority, and gave his party, the FDSN, a plurality. With parliamentary support from the nationalist PUNR and PRM parties, and the ex-communist PSM party, a technocratic government was formed in November 1992 under Prime Minister Nicolae Vacaroiu, an economist. The FDSN became the Party of Social Democracy of Romania (PDSR) in July 1993. The Vacaroiu government ruled in coalition with three smaller parties, all of which abandoned the coalition by the time of the November 1996 elections.  
 
Parliament drafted a new democratic constitution, approved by popular referendum in December 1991. The FSN split into two groups, led by Ion Iliescu (FDSN) and Petre Roman (FSN) in March 1992; Roman's party subsequently adopted the name Democratic Party (PD). National elections in September 1992 returned President Iliescu by a clear majority, and gave his party, the FDSN, a plurality. With parliamentary support from the nationalist PUNR and PRM parties, and the ex-communist PSM party, a technocratic government was formed in November 1992 under Prime Minister Nicolae Vacaroiu, an economist. The FDSN became the Party of Social Democracy of Romania (PDSR) in July 1993. The Vacaroiu government ruled in coalition with three smaller parties, all of which abandoned the coalition by the time of the November 1996 elections.  
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The coalition government retained power for four years despite constant internal frictions and three prime ministers, the last being the Governor of the National Bank, Mugur Isarescu.  
 
The coalition government retained power for four years despite constant internal frictions and three prime ministers, the last being the Governor of the National Bank, Mugur Isarescu.  
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In elections in November 2000, the electorate punished the coalition parties for their corruption and failure to improve the standard of living. The PDSR (renamed PSD - Social Democratic Party at June 16, 2001 Congress) came back into power, albeit as a minority government. In the concurrent presidential elections, former President Ion Iliescu decisively defeated the extreme nationalist Greater Romania Party (PRM) leader Corneliu Vadim Tudor.  
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In elections in November 2000, the electorate punished the coalition parties for their corruption and failure to improve the standard of living. The PDSR (renamed PSD - Social Democratic Party at the June 16, 2001 Congress) came back into power, albeit as a minority government. In the concurrent presidential elections, former President Ion Iliescu decisively defeated the extreme nationalist Greater Romania Party (PRM) leader Corneliu Vadim Tudor.  
    
The PSD government, led by Prime Minister Adrian Nastase, forged a de facto governing coalition with the ethnic Hungarian UDMR, ushering in four years of relatively stable government. The PSD guided Romania toward greater macro-economic stability, although endemic corruption remained a major problem. In September 2003, the center-right National Liberal Party (PNL) and centrist Democratic Party (PD) formed an alliance at a national and local level, in anticipation of 2004 local and national elections. Romania then moved closer toward a political system dominated by two large political blocs.  
 
The PSD government, led by Prime Minister Adrian Nastase, forged a de facto governing coalition with the ethnic Hungarian UDMR, ushering in four years of relatively stable government. The PSD guided Romania toward greater macro-economic stability, although endemic corruption remained a major problem. In September 2003, the center-right National Liberal Party (PNL) and centrist Democratic Party (PD) formed an alliance at a national and local level, in anticipation of 2004 local and national elections. Romania then moved closer toward a political system dominated by two large political blocs.  
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In October 2003 citizens voted in favor of major amendments to the constitution in a nationwide referendum to bring Romania's organic law into compliance with European Union standards.
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In October 2003, citizens voted in favor of major amendments to the constitution in a nationwide referendum to bring Romania's organic law into compliance with European Union standards.  
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On November 28, 2004, Romania again held parliamentary and the first round of presidential elections. In the December 12 presidential run-off election, former Bucharest Mayor Traian Basescu, representing the center-right PNL-PD alliance, delivered a surprise defeat to PSD candidate Nastase. Basescu appointed PNL leader Calin Popescu-Tariceanu as Prime Minister, whose government was approved by the Parliament on December 28, 2004.
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November 2004 elections left the Romanian parliament closely divided between the center-right PNL-PD alliance and the PSD, which each hold between 30-40% of the seats in each chamber. The PNL-PD, however, forged a parliamentary majority with the support of the UDMR, PC and (in the lower house) the ethnic minority party representatives. The extreme nationalist PRM won fewer seats than in the 2000 elections, but remained a significant political player. Although the PNL and PD voted as a bloc in the parliament and ran candidates on a common list in the 2004 parliamentary elections, the two parties remained separated. On several occasions since 2005, President Traian Basescu has publicly expressed support for snap parliamentary elections. Parliamentary leaders have steadily opposed calling new elections.  
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On November 28, 2004, Romania again held parliamentary elections and the first round of presidential elections. In the December 12 presidential run-off election, former Bucharest Mayor Traian Basescu, representing the center-right PNL-PD alliance, delivered a surprise defeat to PSD candidate Nastase. Basescu appointed PNL leader Calin Popescu-Tariceanu as Prime Minister, whose government was approved by the Parliament on December 28, 2004.
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After Romania's accession to the EU on January 1, 2007, the cooperation between PD President Basescu and PNL Prime Minister Tariceanu devolved into political infighting. The political turmoil resulted in a rupture of the PD-PNL alliance in April 2007, the 30-day suspension of the President in May, and the President's campaign to force a change from party list representational voting to single-member districts. Prime Minister Tariceanu continues to head a minority government in coalition with the UDMR and with the tacit support of the Socialist opposition.  
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The November 2004 elections left the Romanian parliament closely divided between the center-right PNL-PD alliance and the PSD, which each hold between 30-40% of the seats in each chamber. The PNL-PD, however, forged a parliamentary majority with the support of the UDMR, PC and (in the lower house) the ethnic minority party representatives. The extreme nationalist PRM won fewer seats than in the 2000 elections, but remained a significant political player. Although the PNL and PD voted as a bloc in the parliament and ran candidates on a common list in the 2004 parliamentary elections, the two parties remained separated. On several occasions since 2005, President Traian Basescu has publicly expressed support for snap parliamentary elections. Parliamentary leaders have steadily opposed calling new elections.  
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The presidential election in Dec. 2009 was narrowly won by the incumbent, Traian Basescu. His challenger, Mircea Geoana, cried fraud. Basescu’s record is mixed. He was originally elected to combat corruption, and has fought the nation's endemic sleaze, but only selectively. Supporters who once saw him as the apostle of clean government now regard him merely as the lesser of two evils. Critics make fun of his private life, colorful even by local standards. He is impulsive and abrasive, which undercuts his effectiveness. On foreign policy, he has been a stalwart Atlanticist and strong critic of Russian trouble-making. The IMF has delayed the next payment of a €20 billion ($30 billion) loan until the parliament agrees to a budget deficit no bigger than 5.9% of GDP.<ref>See [https://www.economist.com/displayStory.cfm?story_ID=15066014 ''Economist'' report]</ref>
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After Romania's accession to the EU on January 1, 2007, the cooperation between PD President Basescu and PNL Prime Minister Tariceanu devolved into political infighting. The political turmoil resulted in a rupture of the PD-PNL alliance in April 2007, the 30-day suspension of the President in May, and the President's campaign to force a change from party list representational voting to single-member districts. Prime Minister Tariceanu continues to head a minority government in coalition with the UDMR and with the tacit support of the Socialist opposition.The presidential election in Dec. 2009 was narrowly won by the incumbent, Traian Basescu. His challenger, Mircea Geoana, cried fraud. Basescu’s record is mixed. He was originally elected to combat corruption and has fought the nation's endemic sleaze, but only selectively. Supporters who once saw him as the apostle of clean government now regard him merely as the lesser of two evils. Critics make fun of his private life, which is colorful even by local standards. He is impulsive and abrasive, which undercuts his effectiveness. On foreign policy, he has been a stalwart Atlanticist and strong critic of Russian trouble-making. The IMF has delayed the next payment of a €20 billion ($30 billion) loan until the parliament agrees to a budget deficit no bigger than 5.9% of GDP .<ref>See [https://www.economist.com/displayStory.cfm?story_ID=15066014 ''Economist'' report]</ref>
    
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