IMF official Delia Velculescu said during a teleconference Wednesday that more permanent cuts to government spending, including the public sector wage bill, are needed for authorities to achieve a primary surplus of four percent of gross domestic product by 2018. A primary surplus does not count the cost of servicing existing debt.
She said the IMF is still "flexible" on the specifics, given that there's still time to go before 2018, but the cuts need to be balanced and sustainable.
Velculescu said the country must revise its foreclosure legislation to tackle the high number of bad loans that are holding back economic growth.
Most Popular Stories
- Doctor Who Christmas Episode Begins Production
- HCL America Adding 1,200 IT Jobs
- Medical Mfg. Jobs Coming to Dayton
- Michael Jackson, Freddie Mercury on Previously Unreleased Queen Cut
- Longtime Unemployed to Get Help in Las Vegas
- SpaceX Aims for Predawn Launch on Saturday
- U.S. Chamber Caught Up in Tax Inversion Question
- Women Key to Democratic Party: Clinton
- Feds Won't Say How Many Border Crossers Jailed
- Christie Didn't Order Bridge Shut Down, Feds Say