Romania’s government in turmoil over protests at cuts

THE Romanian government was in an uproar yesterday over austerity protests – the interior minister resigned, the opposition demanded the prime minister go as well and top police officials held emergency talks with the president.

The chaos reflected social fallout from the sharp wage cuts, tax hikes and other austerity measures the government has taken to fight its budget deficit amid a deep recession.

President Traian Basescu’s government has been unable to pay wages and pensions without a €20 billion bailout loan from the International Monetary Fund and other lenders, and the IMF is demanding strong action to trim Romania’s debt.