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flag Romania's new government proposes tax hikes and spending cuts to reduce the EU's highest budget deficit.

flag Romania's new government plans to introduce tax hikes and spending cuts, including caps on public sector wages and pensions, to address the country's high budget deficit, which is the highest in the EU at 8.6% of GDP. flag The goal is to reduce the deficit to below 3% within seven years. flag These fiscal reforms aim to stabilize the economy amid political unrest and credit downgrades from major ratings agencies.

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