San Francisco Chronicle

Ruling party unseats its own premier

- By Andra Timu Andra Timu is a Bloomberg News writer.

BUCHAREST, Romania — Romania’s governing coalition toppled its own prime minister after he clashed with the leader of the ruling party, paving the way for a new Cabinet just six months after elections.

Premier Sorin Grindeanu, who rejected calls last week from his Social Democratic party to resign, lost a no-confidence motion 241-10 on Wednesday, according to parliament­ary Speaker Calin Popescu-Tariceanu. The result reaffirms the coalition’s majority after the feud between Grindeanu and party head Liviu Dragnea prompted dissatisfa­ction among some lawmakers. President Klaus Iohannis can now hold talks with parties to name a replacemen­t.

“We took this political risk because we want to make sure that our ambitious governing program is being applied and changes the country for the better,” Dragnea said. “It wasn’t easy but the party came out stronger from this test despite immense pressure from all sides.”

The latest bout of political turmoil in Romania, which has had 13 prime ministers in 27 years, had sent the leu currency to its weakest in five years. Grindeanu fell out with Dragnea over government performanc­e despite overseeing one of the European Union’s fastestgro­wing economies and surviving the largest protests since communism in the nation of 20 million people.

While Dragnea himself sought to become prime minister when the Social Democrats retook power in elections last year, he’s banned from office because of a criminal conviction. The law that’s blocking him and others who’ve been criminally convicted from holding government jobs may be challenged during the next parliament­ary session. Dragnea, 54, was convicted of electoral fraud in a 2012 referendum.

“Naming a new premier could take a while,” said Dan Bucsa, a London-based economist at UniCredit Bank, speculatin­g that Dragnea could target the job if the law that’s currently stopping him is overturned. “A new government is unlikely to last until the next regular parliament­ary elections, scheduled for 2020.”

Forming a new Cabinet could also be tricky: Iohannis rejected Dragnea’s first pick for premier last year and vowed to maintain demands for an “upright” candidate, with no criminal conviction­s. In the meantime, Dragnea will still need to reassess his coalition support after Wednesday’s victory came with help from outside lawmakers. That could further delay Social Democrat election pledges, such as more tax cuts and higher salaries for public workers.

“Given his former affiliatio­n with the opposition Liberal Party and his opposition to Dragnea’s judicial reform agenda, Iohannis could use this opportunit­y to obstruct the coalition,” said James Sawyer, a London-based economist at Eurasia Group.

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