It could be argued that communism prospered in Romania until the mid 1990’s and beyond. Iliescu and his cronies effectively took one step forward after the departure of Ceau?escu and little changed for years (apart from party names). Politicians of all stripes talked about capitalism, building a free market economy and the concepts of privatisation as the silver bullets that would transform the economy and drive rapid growth. The concepts are powerful if the execution matches them – sadly the temptation to dip into the cookie tin has proved to be too much for too many and the Romanian economy is still blighted by corruption and chronic inefficiency. Politicians, however, cannot resist meddling, and health care is the latest victim (and it was not exactly robust to begin with).

So why are there rioters on the streets of Bucharest and other Romanian cities?

At the end of December 2011, the Romanian Ministry of Health published a draft law for public discussion. If implemented, the new law will effectively change the nature of the healthcare system. Under these new provisions, the private sector will play a more important role and there are references to the privatisation of hospitals and voluntary health insurance made by private companies.

In response to the proposed laws, Raed Arafat, the polpular deputy health minister, stated that the new health law would destroy the integrated system of emergency response that is instrumental in solving very serious cases and provides a key element of the national security and defense policy of Romania against disaster, replacing it with commercial competition. The main objection was against allowing private medical operators to run their own ambulance service, which should offer free emergency services, as a competition to the state run emergency services. Having seen how some companies have dominated the private security sector and are moving into ambulance services, there is clear cause for concern.

Raed Arafat was appointed Under Secretary of State for Health on August 23, 2007, by a decision signed by then Prime Minister, Calin Popescu Tariceanu. In the ministry, Raed Arafat was in charge of emergency medicine. He is also the founder and coordinator of the Mobile Emergency Service for Resuscitation and Extrication (SMURD), one of the most successful emergency systems in Eastern Europe. He was awarded with the National Order ‘For Merit’ in rank of Officer by President Traian Basescu in December 2005 he for his efforts in rescuing people from floods and for his daily efforts to save the lives of many Romanians. He is currently the coordinator doctor of SMURD (intensive care) of Targu Mures, and is undoubtedly a man that deserves genuine respect.

It must have been a blow for the government to see the resignation of Raed Arafat in response to their draft law on the reform of the healthcare system. President Basescu had already warned Arafat during a live TV interview “that the draft law is to be discussed, this is why it is open for public debate. The right approach is to present his concerns via the ministry and not create public outcry that this government wants to destroy the ambulance service.” This warning was arguably one of the key points leading to the resignation that subsequently sparked a series of protests that quickly transformed into protests against the regime itself. Many hospitals in Romania may amongst the worst in Europe but the system Arafat founded is one of the few things many Romanians think works properly – it literally saves lives. The proposal to restructure this was the spark to the tinder and 22 years after the first major round, demonstrators took to the streets.

After resigning as Under Secretary of State in Romania’s Health Ministry, Arafat condemned the draft law on health reform in the clearest terms possible, stating on January 10: “I have the obligation to warn, and not to shut up, not to stand still, hoping that this will be negotiated. This was not the first time an attempt to commercialise the emergency system has been made.” Arafat also added that he resigned because he felt by leaving the Ministry of Health he will have more chances to protect the emergency system.

In the face of this widespread opposition, B?sescu declared on Friday that the draft law should be withdrawn. As ever, Basescu displayed an alarming level of disconnection with the electorate when saying: “I reckon that very many are happy with the current health system.” Basescu appears to have assessed public opposition towards operating the health system as a market as opposition towards improving it in general. Since then the street protests have continued, highlighting the gulf between the country’s ‘elite’ class and the people on the street. People continued to gather in big cities, protesting in the name of a variety of causes.

Some of the international press are referring to these events as protests against the austerity measures that the government have had to agree with the IMF in return for monetary support. As ever, protesters look for key figures to direct their anger towards. Worryingly, the opposition have not been opposing the government, indicating that the entire political class is disconnected from the reality of the streets. This brings the harsh reality to light – when faced with choices between a leader like Basescu and leading opposition figures such as Crin Antonescu or Victor Ponta, Romanian voters could hardly be accused of being spoilt for options.

After riots on Sunday January 15^th the Prime Minister, Emil Boc, called for dialogue. According to Boc, following the withdrawal of the draft law, Raed Arafat will return as Under Secretary of State in Romania’s Health Ministry. The streets will hopefully be restored to peace, but the underlying problems will not go away. When you live on a pittance and drive a Dacia 1300, watching the politicians swan around in their expensive limousines and gas guzzling SUV’s from expensive housing to expensive restaurants must create some bewilderment. It appears that there is some steel behind the discontent and we can only hope that the government can address concerns and drive a peaceable end to the protests.

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Just the other day we spoke with a husband and wife who both come from completely different walks of life. The wife – born and raised in New York City is a true “patriot” from the modernized and twisted definition. She believes that the US is the greatest Country in the World across the board. She believes that the US has the best food, the best healthcare, the strongest as well as most accurate beliefs, the greatest educational system, and the best quality of life overall. We’re not going to argue this point. Not because she is right, but because you simply cannot argue…period. For people like this, the US is the greatest. Is the US good at some things? Maybe. Bad at other things? Of course. Can we tell you what is the greatest Country of all? Not likely. Nonetheless, this is her point of view. Her husband on the other hand, was born and raised in a northern Italian city. His views are not only drastically different, but also slightly less voiced. Imagine that. While one can complain with reason about the quality of dental care in some European countries – Romania included – how can anyone in their right mind defend the chemical and hormone laced “foods” the US dare allow distributed? The conversation with these two was very interesting. It allowed us to truly “grasp” the evolution of a belief – the movement from one paradigm to another. Both are well-traveled. The wife worked for an airline for many years, which flew around the World to near-unlimited destinations. Although well-traveled, it would be a stretch to say that one in this line of work would be able to fully immerse themselves in a different culture for any meaningful period of time. A hotel is a hotel. The husband, a chemical engineer, also traveled around the World for work. His stays were likely longer, and as such he veered off in a much different direction mentally. Currently, this couple is living four months in Europe (Italy), four months in the US (New York), and four months in the Caribbean (the Dominican Republic). While this seems like as reasonable a division as any, their life is still torn. She would like no fewer than these four months set aside for life in what to her is the greatest Country on the planet; and he would like nothing more than to drop life in the US altogether. In fact, it was difficult for him to remain part of a conversation in any serious fashion when the topic revolved around the greatness and pure desirability of life in the US.

So there the stage is set – two drastically different people and trains of thought put together. But what does this really have to do with September 11th? We’re getting to that.

It is very interesting to note that the more “experience” Americans in particular have outside of the US, the more they begin to “see the light”. We’re not talking specifics here, but just in general. In order for one not to believe that T.G.I. Friday’s or Kentucky Fried Chicken is NOT the best when it comes to steaks or chicken, one must experience something that is… well… better. In order for one to realise that paying nearly $500.00 USD (much more if you carry health insurance) for a visit to the doctor to cure a sinus infection is unreasonable, one must experience the ultra-low costs comparatively for the same service in Bucharest or other cities. For one to understand that the educational system in the US may not be all it is cracked up to be, one simply needs to speak with a foreigner. Notice how the foreigner understands and speaks English even if it is not their native tongue. We can count on one hand the number of Americans we know that speak anything other than American and Canadian.  This brings us directly to the one thing that stands out in the eyes of an expat more than others regarding a shift in perspective; the media.

As Americans we tend to put a lot of emphasis on what we see on “Fair and Balanced” media outlets such as FOX News, or CNN. How often do we try to catch the news to see what’s going on in the World? Quite often? Interestingly enough as we are exposed to more and more “reputable” networks we are also exposed to more and more variations of the same story. As our minds try to sort out the “differences” we are also faced with a challenge: the challenge  to subconsciously (or consciously really) try to figure out which story is true and which one is false. As Americans do we gravitate towards CNN or Al Jazeera? FOX or Antenna 1? Of course we rely on what we feel to be the most factual of reports. We err on the side of what we are comfortable with. The problem is, it isn’t long before we start to realise that the Ministry of Truth may not be all it is cracked up to be. You see, while we can exist in part, isolated – starring only at the internet and tv – we inevitably must interact with society at some point in time. In doing so, we again, inevitably, come into contact with people from different walks of life that, also inevitably, have a different perspective, or “outlook” regarding the World today.

This brings us now back to the events in New York on September 11, 2001. “She” thinks this was the greatest act of terror ever on US soil which was clearly carried out and masterminded by none-other than Osama bin Laden. “He” thinks that this was the greatest act of terror ever on US soil which was clearly carried out and masterminded by none-other than those that would like you to believe it was Osama bin Laden.

Curiously enough, in talking with many Romanians, we find that the “conspiracy theory” is not the latter. Does this mean that the the events that took place on this date are not what Americans believe as whole? Who knows. What we do know is that everyone who is remembering this event today is remembering it in a slightly different way. We cannot say that Americans are upset for the “wrong” reasons but what we can say beyond a reasonable doubt is that people are upset for many “different” reasons. Whether it be a remembrance of the sad evolution of the political environment we live in today, or a reflection of those that suffered from a horrible tragedy, this is a day to remember.

For an interesting bit of reading for those that wish for a fresh perspective on the World today – consider stepping outside of the box for a moment. Available now is the book Crossing the Rubicon. Take look. This is one of those “must haves” for your reading collection. Here’s what the review has to say:

“The attacks of September 11, 2001, were accomplished through an amazing orchestration of logistics and personnel. Crossing the Rubicon discovers and identifies key suspects—finding some of them in the highest echelons of American government—by showing how they acted in concert to guarantee that the attacks produced the desired result.

Crossing the Rubicon is unique not only for its case-breaking examination of 9/11, but for the breadth and depth of its world picture—an interdisciplinary analysis of petroleum, geopolitics, narcotraffic, intelligence and militarism—without which 9/11 cannot be understood.

The US manufacturing sector has been mostly replaced by speculation on financial data whose underlying economic reality is a dark secret. Hundreds of billions of dollars in laundered drug money flow through Wall Street each year from opium and coca fields maintained by CIA-sponsored warlords and US-backed covert paramilitary violence. America’s global dominance depends on a continually turning mill of guns, drugs, oil and money. Oil and natural gas—the fuels that make economic growth possible—are subsidized by American military force and foreign lending.

In reality, 9/11 and the resulting “war on terror” are parts of a massive authoritarian response to an emerging economic crisis of unprecedented scale. Peak Oil—the beginning of the end for our industrial civilization—is driving the élites of American power to implement unthinkably draconian measures of repression, warfare and population control. Crossing the Rubicon is more than a story. It is a map of the perilous terrain through which, together and alone, we are all now making our way.

Michael C. Ruppert is the publisher and editor of From the Wilderness, a newsletter read by more than 16,000 subscribers in 40 countries. A former Los Angeles Police Department narcotics investigator, he is widely known for his groundbreaking stories on US involvement in the drug trade, Peak Oil and 9/11. “

For those of us that wish to not go through all the hassle of having a book delivered, then consider the Kindle Edition for the Amazon Kindle reader. Those of you that are aware of the Kindle are aware of how great a device this is for the traveling person that loves to read. Not nearly as bulky as a laptop and not nearly as pricey as the iPad, the Kindle reader is at home in our backpacks. The second link on this page for Crossing The Rubicon is the Kindle E-Book Edition.

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Rosia Montana in the Transylvanian Region is a reletaively unscathed “ancient” source of this precious metal which has been mined here for roughly 2,000 years. This “mine” still contains the largest gold and silver reserves in Europe. This village, Rosia Montana has nearly been submitted by Romania for inclusion on the UNESCO list of World Heritage sites due to the unique history of the area including its significance to the Roman Empire.

The Rosia Montana Gold Corp (80% Canadian owned) has indicated that it hopes to extract up to 10.6 million ounces of gold out of four open pit mines they wish to dig in the area. At current value that would be roughly 18 Billion Euros worth of gold – more than enough to justify the costs. Additionally, it is suspected that there are up to 1,600 hundred tons of silver within the site; that’s approximately another 1.5 billion in value.

As expected there is mixed feeling regarding the re-opening of this mining site. Many locals and Romanians alike wish to preserve the history and the heritage of the site, not opening up a “can of worms” with construction and health nightmares. The ones that wish to go ahead with this project are the ones considering the new economic opportunities that will be brought to the area. It is Traian Basescu himself that recently stated “It is in Romania’s interest that the mining of the gold begin as rapidly as possible… any country that has resources must use them.”

Surely Romania won’t make decisions based purely upon financial gain?

Read Our Recent Post Regarding Gold In Our Financial Section – Let’s get the comments going  – as I am sure a lot of you have a lot to say about Gold and Silver!

The Number One Reason For Mining For Gold In Romania

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We have to be honest and admit that before the weekend we were not asking this question, but after a visit to London it is now at the forefront of our minds.

A member of the Bucharest Expat team spent the weekend in London catching up with old friends and a game of rugby. Knowing of our interest in all things Romanian, some friends were very keen to show the crown jewel of the global drive to increase tourism to Romania – the Romanian National Tourism Office.

Believe it or not, in its growing attempts to brand the Country as a whole and promote tourism and the “allure” of this area (more specifically the delta region and Transylvanian regions) Romania “branches out” to bricks and mortar. In this case, The Romanian Hospitality Industry welcomes you with open arms into their new, ultra-high end, streetside tourist office… well… sort of.

Curiosity engaged, we took a stroll to have a look and to see if we could get some information worth sharing. The office / shop is in a prime London location, just off Marylebone High Street. If you are also curious and you would like to visit (if in London) then you can find it at:

22 New Cavendish Street
London W1G 8T
+44 207 224 3692

Having seen the office, the strategy behind this place is not exactly clear. Establishing a physical presence is an interesting approach to take in this day and age. Most countries establish a customer focused website to enable maximum communication potential for minimum cost. Countries with bigger budgets advertise on CNN. The Romanian budget is clearly in the A League as they have taken a prime piece of real estate in one on London’s more exclusive and expensive areas. Maybe this is to send a message to other countries competing for the premium end of the tourism market and establish a niche.

We stood outside the ‘office’ and speculated about the decision making process behind this. Considering the investment in the location, the limited variety of brochures in the window was not inspiring. We concluded that there might be more inside, plus some on hand expert knowledge to draw from.

Take a look at the photo here. You’ll see the simple laminated sign in the window, allegedly hung by a one-armed fellow with three fingers, the IKEA-esque desk on the inside with well-situated government issue metal framed chairs, and the make-shift window shelf for the sole purpose of adequately displaying everything Romania. Clearly a work in progress.

The challenge is going to be actually catching someone to speak to. Having established the office in this prime location, an element of budgetary reality must have been set in. To keep running costs (personnel, electricity etc.) down the office is only open for restricted hours. The options to pop in for some holiday inspirations were clearly posted on the door to the office. Visitors can call in during the following hours:

Monday / Wednesday / Friday
12:30 – 17:00

Tuesday / Thursday
09:00 – 14:00

From this we can draw several conclusions. The first is that no thought has been put into this venture and that budgets have no restriction as real estate in this location is almost the most expensive in London (and therefore the UK). The second possibility is that the person responsible hasn’t got a clue about anything other than the fashionable Marylebone area. The third is that the Romanian tourist department has no idea about modern age communications as a UK dedicated website would have cost a fraction of what the office is costing and have a massively broader reach and may actually have led to some tourists visiting the amazing nature of Romania.

Combine this with the enviro-leaf branding campaign for Romania that has been a global hit (ha ha) and it is no wonder that tourism into Romania is at an all time high. I would venture to guess that Bucharest Expat alone has been responsible for more tourism to Romania than the entire branding campaign of Romania. During your next visit to London, stop in and say hello; make their investment worth the while.

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That brings us now to the emigration of many Romanians to the land of opportunity and the home of the free…

Many individuals we come into contact with in Bucharest (not limited to this city of course – for those who wish to consider this an insult) suffer from severe delusions when it comes to the U.S. and all it has to “offer” based on what they read, hear, and see through the media outlets. For example, everyone seems to think that New York is a carbon-copy of Sex And The City, Miami offers a life filled with yacht parties and art-deco penthouses, the mid-west is a place for Cowboys and re-runs of “Dallas”, and best of all many still believe that Hollywood is a sure ticket to fame and fortune (apparently word never got out 60 years ago that this just isn’t so). Everywhere you walk in Bucharest nowadays is awash in venues designed in a way that they [non-locals] believe is “the way they do it there”. From clubs to restaurants, shopping malls to boutique shops; even simple conversations between Romanian Bucharestians make it subtly apparent that their entire “aura” is geared towards Americanisms. Recently in the media you will likely have seen that regionally-famous bimbo Monica Columbeanu (now Minican Gabor)has jumped ship with her oompah-loompah-esque sponsor Irinel Columbeanu for someone with “real” fortune; a Chinese millionaire with supposed ties to the film and modeling industry in Hollywood. Now Monica has a chance to take her brand to new heights (cough, cough). This “venture” in and of itself is a dream that many Bucharest girls dream about (the dream is slightly different for the Bucharest male, but shares the same concept). Work as hard as you can and claw your way to the top of what you feel is a mountain of fame, fortune, glory, and prosperity. We have an American University in Bucharest handing out degrees in Business and Marketing to anyone with a pulse and a pocketbook, and a local media that thrives almost purely on westernized gossip. Sooo, now the Los Angeles, California is the new “it” destination for the “who’s, who” of Bucharest (case in point – Oana Zavaranu is following in Monica’s footsteps – just watch ProTV for the latest American-Romanian gossip updates) we really were unexpectedly surprised when we had the conversation with an expat we’ll share in a moment.

This expat friend of ours has been living outside of his home Country of Argentina for close to 15 years now, of course with return visits home. He travels the World as we all do and as such has many interesting experiences and stories to share. We were having a general conversation that including many of the elements discussed above. This fellow comes from a very wealthy old-money family and in no way is he allowing money to drive his decisions nor his opinions. That isn’t to say that he is not able to look at life with a proper perspective, he simply is free enough from outside pressures to combine deep thought with educated decisions. For many years this expat was actually courted by the US. He was sent letters, solicited by locals in his home town that worked for the embassy, and even called on the phone. He was being solicited for the receipt of a U.S. Visa. The U.S. wanted him as a citizen. They wanted his money, the wanted his family’s respect, they wanted something from him. You don’t need me to tell you that this does not happen very much. When it happens, you can rest assured that most people would jump on this “opportunity” likely out of pure ignorance, insanity, or desperation. I don’t mean that in an insulting or derogatory fashion at all. I simply mean that if and when people explore the positives of other cities such as Bucharest, and make a factual comparison, they will realize that what transpired next in this conversation is not only plausible, but likely as well. The response this expat gave to all that solicited his entry to the US was shocking, even for us to hear. His verbal reasons were finally submitted in written form to the USCIS in response to the continuous letters they were sending him. He simply stated the following:

” RE: United States Of America Visa –

1. Americans Are Terrorists. Your Country Is Not Secure.
One must not look far to clearly see that the United States is pushing the limit of global policing more and more; on an exponential scale. Your Country continues to theatrically rule the World with an iron fist. Sooner or later this will catch up with you as evidenced through the events of 11 of September. I have no interest in actively risking the lives of my family and myself.

2. You lie about your accounts to the World.
Although financial deceit is widespread throughout the World, the U.S. regularly misrepresents their economic standing with such panache and ease that only harm may come. This harm will not only come to you but to the others that depend on your integrity. I wish to not partake in this particular pastime.

3. Your Country is racist.
I find it very interesting as well as subtly amusing that you are courting me, a foreigner, to enter into your Country. Why is it that you wish for me and my family to enter when you are currently pursuing the deportation of many “illegal immigrants” as you call them who are clearly a benefit to your society? Why would any rational being believe their fate to be any different? It is also very apparent to me that personal freedoms are heavily controlled – controlled in such a fashion that as long as I comply to your ways of being and believing I will remain temporarily unscathed. Your Statue of Liberty claims “Give me your tired, your poor/Your huddled masses yearning to breathe free” yet due to current events at seems as though you have long since forgotten your very own promise.

4. The U.S. Is Far Too Strict On Business And The Pursuit Of Opportunity.
Your taxes are much higher than many are led to believe. Even your own citizens are highly unaware of the monetary contributions they unknowingly pay in to your system. Your Country has one of the most corrupt economic systems on the planet. This corruption is bribery and extortion at its very worst. I say this because what other Countries call questionable, your Country simply deems necessary under the guise of various laws and regulations. The cost of doing business, whatever that business may be, and the regulations one must comply with in order to legally operate said business, are far greater than I wish deal with. From a business perspective, the path of last resistance for me and my family is simply not to attempt such a venture in the first place. Taking this and the fact that your Country is racist into consideration, you can clearly see why I feel my opportunities lie elsewhere.

Thank you again for your consideration, however I feel that it is not in my best interest to accept your offer.”

Now, although this seems a bit harsh and “controversial” to say the least, it certainly contains a lot of points that are pertinent to how expats think and view cities and countries around the world. We all try to educate ourselves on the systems and ways of “target” destinations from a logical standpoint; the pros and cons if you will. While clearly this message points out the cons, it is reason enough to dismiss the invitation altogether as this particular expat did. Why put yourself in a negative or potentially negative situation if you don’t need to? Isn’t that why a lot of us came to Bucharest? Isn’t that why a lot of us travel to other destinations? There is a very solid handful of expats that fall within the group of people that are constantly seeking a “better” place to settle, retire, or just live life to the fullest. As we know, Bucharest is one of these places. There are things we love, and things that irritate us almost to the core. But we all came here for a reason, and rest assured, at the end of the day, we stay because we believe in what Bucharest has to offer.

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Romania is going green. No more Dracula, no more sharp-edged mountains, dark forests, castles, river deltas, and rich culture. Romania should now be referred to as “eco-tropical Green Country”.

Here’s what has transpired so far in a nutshell with the Branding Of Romania:

On the 6th of last July, Romania’s Minister of Tourism Elena Udrea announced the “One Country, So Many Experiences”  catch phrase for the new image of Romania.

The process of re-branding of Romania goes back to the World Expo of Shanghai, where Romania introduced the “Greenopolis” concept (by the same designers of AFI Palace Cotroceni or vice-versa??). This concept was intended to alter the general public’s perception or pre-conceived notions of Romania.

The Completed Romania Pavillion At The Shanghai World Exp

Romania should now be perceived as an environmentally aware (in practice as well as mindset) country that prides itself in sharing its rich wonderland with all that desire the greener elements in life. That’s the pitch.

Introducing Romania’s new “logo”; the brainchild of Barcelona based company THR, creators for the new Espana logo as well.

Let’s analyze this new logo:

The first thing one notices is that this logo is green. Very green. Does Romania wish for us to think that this is because of their “green” mindset as portrayed by “Greenopolis”? Does Romania wish for us to believe that this country features a lush landscape awash with greenery? Either way we’re not fooled. No, Romania is not located in the rain forests of South America, the outback of Australia nor the jungles of Madagascar.

The leaf. Yes the famous leaf. This leaf was the center of controversy for quite a while. A whopping 900,000.00 Euros was estimated to have been spent on this logo. The company that created this logo, THR, is under suspicion of “stealing” the art for this clearly clip art-esque design. While stealing is a strong word (many great logos and designs are created through mixing various elements including clip art) this certainly is not a nine hundred thousand euro design. Plain and simple. Someone lined their pockets on this one. The leaf was clearly sourced from the “Eco-Image Collection” within iStock Photo, a common clip art distribution website.  THR allegedly claims to have hand drawn this element of the logo. Yeah right. Accusations of plagiarism should go ignored here, as we have no doubt that THR was able to pay the sub-$50 licensing fee to iStock Photo in order to cover their ass. So, plagiarism and copyright infringement? No. Creativity? No. Lame-ass B.S.? Yeah.

This Is The Leaf Clip Art From iStock Photo. Look Familiar?

“Explore The Carpathian Garden”. What the **$%? Romania is not the only country in Eastern Europe with the Carpathian Mountains. When we close our eyes and think of the Carpathian mountains do we honestly envision lush river-valleys straight from Disney’s The Jungle Book? Are their parrots circling around the tree canopies while chimpanzees swing from vine to vine? Not really. Why not play off of what Romania and the Carpathian mountains are actually known for? Is it so bad that the mountains are some of the most unique and dramatic in the entire world? Is it so bad that there are many castles and mystical “areas” throughout the Carpathian Mountains in Romania? For those of us that have “been there” we of course envision the impressive vistas, the amazing transitions as you drive from city to city through the jagged mountain passes (the occasional petrol refinery) and more undisturbed land than a westerner may have ever seen? They could have played this up rather than switch gears altogether (leaving out the petrol refineries… or not).

The diacritics above the “a” is meant to be a mountain peak with a sunset behind it. Well that’s original. Looks more like a boomerang than anything else. Was this the design for Australia Tourism?

The stem of the leaf is blue. Is this water? Is this the Danube? Romania wants you to know they have a river. This is clearly an important element of the country that should be brought to your attention. Now you know.

Attention Romania - try focusing on what you are actually known for and what you actually have to offer. Don’t try to be something that you’re not; leave that to the residents of Bucharest.

Here are the main points we at Bucharest Expat wish for you to take away from this article:

There is nothing wrong with using clipart to assemble a logo as long as it paid for and copyright free. Romania paid approximately 900,000 Euros for this logo. Instead of Romanians stealing from other countries, the other countries (Spain in this case) were able to successfully pull one over on Romania. Bravo.

Romania should brand itself based on what it HAS to offer, not on what it thinks people want it to have. This can be compared to the fitze (fite) group of people. They are trying way too hard to portray an image they believe others wish for them to be rather than just being themselves.

Romania does have amazing natural land. It is lucky that Romania hasn’t f’d up this unspoiled land. Good thing Ceausescu didn’t promote urban sprawl. He centralized his destruction.

Check out some excellent article on the web regarding the Branding Of Romania. Cafe Babel and All Romanians Are Vampires.

We At Bucharest Expat Decided To Throw Together Our Very Own “Sample” Of What Could Have Been (we did this in about 45 minutes by the way… please deposit 900,000 Euros times two in to our account)……….

We "Borrowed" A Clip Art Image From A Google Image Search Then Added Text With "Party LET" Font And Colorized It. Total Time Was Around 15 Minutes.

We Again "Borrowed" A Mr. Burns Image From Google And Edited It To Resemble Basescu. We Then Added The Text Using "Arhaic" Font. Total Time Invested Was Around 30 Minutes.

Hope you like our contribution to the re-branding of Romania. We didn’t even charge the Ministry Of Tourism for our services even though it likely took us more time and effort than THR.

As always, we value your input! If you have a version of a logo for the Branding of Romania or any other Romanian-branding-gone-awry logos please send them to us at Bucharest Expat. We may feature them!

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The experience of the British expats on the team was mostly favourable when recalling the service provided at home, although receiving additional bank charges from Barclays for exceeding the overdraft limit triggered by other bank charges was not a highlight. The service provided by First Direct has been more positively remembered as it has been exemplary for more than 20 years; totally free of any charges and with access to courteous telephone assistance 24/7 and a very easy to use website.

Moving to other countries in Europe has therefore led to some surprises. Having to pay for a credit card that is in effect a debit card was an early painful lesson. Having to fight to get a proper credit card (i.e. a card where you settle the bill on a monthly basis) was a bigger surprise, but you learn to take these little bumps in the road as part of the rich tapestry of life. This acceptance is made easier when you see that the ease of acquiring credit vehicles (mainly, you guessed it, credit cards) has led to some people taking on serious levels of debt that they are now trying to reduce, and this was one of the contributory factors to the severity of the financial crisis in the UK.

We can now consider the following from the point of view of an American expat in Romania. The past few years have been something near a nightmare for many in the US. The media itself has been laden with feature after feature, and headline after headline of customers falling victim to the latest banking “technique” (or swindle for those of us see the light). We’ve already named Barclays, so without further ado we’d love to introduce to you our next ‘bank of shame’; Bank Of America.

Let’s set a few ground rules before we begin:

1.     Bank Of America has learned well from the English form of customer taxation (sorry, charges). They have indeed thrust this concept in to the banking system with extraordinary force.

2.     We have fees as well. Then we have more fees. We even have fees for fees. Once we get our fees, we then incur additional fees. Said fees incurred then miraculously spawn additional fees with extra fees.  Consider these “value added fees”.

3.     When Americans travel “abroad” that, in banking terms, means travel within the United States but away from their local branch. There are no other countries, let alone any reasonable banking system in those other countries that don’t exist.

4.     Most of any US Bank’s employees live and work in India.

5.     US banks don’t actually carry any cash on hand. The US is one large Ponzi scheme, as is our banking system (remove from your mind for a moment the fact that our printing presses run at less than half the speed of our debts).

6.     In order for one to make a deposit in said “bank”, one must now provide a valid government ID, a credit card, and your fingerprints. No kidding. Bank Of America is NOT the government. Please keep in mind that our Country does NOT have a government run banking system… the banking system is run (as well as currency printed) by the privately owned Federal Reserve and largely themselves as self governing is more efficient.

So all is not rosy in countries where the banks have had a long history of developing their customer service offering, but some banks (well FirstDirect so far) do appear to have made some evolutionary steps in the right direction. So you know that all is not perfect.

Then you discover banking in Romania.

It will come as no shock to discover that the banks in Romania (mostly divisions of larger international companies based elsewhere in Europe) are serious profit sources within their broader organisations. This is because the banks in Romania will charge you for pretty much anything that they can. This includes making cash withdrawals from an ATM (devices originally designed to save the cost of employing bank personnel for such basic services) or from the bank (up to a maximum of RON 500). The banks are probably looking to charge customers for making movements between their own accounts within the same bank. This already includes making a transfer to your spouse. This includes using their usually not very good Internet based services (which can get slightly better if you pay larger amounts of commission on a monthly basis). American users may be recognising some of this

We tried to understand why the banks are so nakedly ripping off all and sundry to reach the conclusion that it’s because they can (as ever). In the past services were so poor that to get any element of service in Romania was such an improvement that people were prepared to pay for it. The banks, sensing the opportunity, charged in (apologies for the originally unintended pun) to make the most of this. As it is not really in the interest of any bank to seek competitive differentiation by shooting the goose that regularly lays this golden egg, charges continue to be levied for every imaginable transaction. The expats in the banks in Romania must look upon this and wonder how they get away with it. Then again, they are probably also watching the local politicians and wondering exactly the same.

Now take this scenario, sprinkle in some Romanian customer service (a series of “Nu stius”) and their business sense apparently borrowed from the life of Al Capone and you’ve got yourself a day in the life of banking in Romania.

Romanian banks appear to have been designed to serve themselves… not their clients. Why else would some of the most popular banks feature the names of prominent local citizens? Could they not come up with names more creative, like “Trust” or “Savings”…? These are no longer the people’s banks (if they ever were).

So we find ourselves facing the situation that any new expats, particularly from the UK and possibly the US, will still be in for a big (and not very pleasant) surprise if they go into the bank today. Are there any short-term alternatives? Not that we are aware of, but if you do have any positive (non criminal!) suggestions then please feel free to share them with us….

Additionally, Bucharest Expat (and our fellow expats) seem to share a common “way of thinking”. That being said, we’d like to recommend a few resources to our readers.

Many of you may already be familiar with Robert Kiyosaki, best selling author of the “Rich Dad, Poor Dad” series of books as well as creator of a financial education board game named “Cash Flow 101″. Recently, Robert Kiyosaki has released his first ever online book entitled “Conspiracy Of The Rich”. This book discusses the “hijacking” of the US (and World) banking system and how it impacts the lives of you and I. Go Now To Conspiracy Of The Rich.

Those of you who are even remotely interested in the corruption of the banking system have probably amassed your own “bookmark” portfolio of pertinent websites from around the web. These sites are filled with “theories”, rants, complaints, defenses, videos… and so on. One of the sites that we keep returning to on a regular basis is www.Inflation.us. This site has a very well-done video section that covers everything from why the banks rip people off so blatantly to the US, and World-wide real estate “bubble”, to inflation and future outlook. Some of the videos may seem a bit extreme at first, but you WILL take away some great information. Check them out!

For Those That Aren’t Quite Up To Speed On Your Banking B.S. Here Is A Vid For You:

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Here’s a snippet from the Yahoo article you’ve gotta read:

MOGOSOIA, Romania – Everyone curses the tax man, but Romanian witches angry about having to pay up for the first time are planning to use cat excrement and dead dogs to cast spells on the president and government.

Also among Romania’s newest taxpayers are fortune tellers — but they probably should have seen it coming.

Superstitions are no laughing matter in Romania — the land of the medieval ruler who inspired the “Dracula” tale — and have been part of its culture for centuries. President Traian Basescu and his aides have been known to wear purple on certain days, supposedly to ward off evil.

Romanian witches from the east and west will head to the southern plains and the Danube River on Thursday to threaten the government with spells and spirits because of the tax law, which came into effect Jan. 1.

A dozen witches will hurl the poisonous mandrake plant into the Danube to put a hex on government officials “so evil will befall them,” said a witch named Alisia…. continue reading about Romania Witches

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When this showroom first opened its doors a few years back, we thought they may have been a bit “looney”. Who in the World (in Bucharest) could afford, let alone justify (as if you can rationally justify purchasing a Ferrari) driving or owning such a vehicle in Romania?

Well eventually the streets of Bucharest became flooded with not just these new Ferraris, but Lamborghinis, Mercedes-McLarens, Porsche Carrera GT’s, Aston Martins, and many more exotic automobiles. Again, who would have thought.

As an avid fan of Ferrari (and a future owner of many) I was shocked to hear about a recently published article about Ferrari of Bucharest. This article stated that Ferrari of Bucharest has not only sold a record number of Ferraris since its opening in Bucharest, but they have surpassed their projections so far, that now demand is outweighing supply.

Milan must now ramp up deliveries to the Bucharest Ferrari showroom in order to meet this demand.

Why do you think this is? Where is the cash coming from for these (Bucharest) people to be buying cars? Did the marketing director for Ferrari of Bucharest maybe not place such an importance on the bribe/embezzlement source of income in Bucharest? Again, who knows.

Ferrari does indeed offer an affordable alternative now to those that can’t quite swing the 300,000-ish euro price of the ultra-premium 599 series with a thunderous front-mounted V-12 engine, a throwback to the Daytonas of days gone by. This new entry level model is dubbed the California, again reminiscent of prior legendary models. The California, a 0-60 mph rocket ship, features the first truly functional retractable hard top Ferrari has offered; not a bad deal for an entry level work of automotive art.

So again we ask, what is it that allows Bucharestians to afford such vehicles on such meager salaries? We have our thoughts… what are yours?

In the meantime, attention expats… head on up to Ferrari of Bucharest (and the Ferrari Store on Victoriei) and have a look!

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There is a lot of confusion life coaching. Nearly everyone understands an attorney, athlete, or teacher. However, hardly anyone knows or understands the duties of a life coach.

A life coach is your partner to work with, looking closely at your life and helping you to unlock your potential or deal with issues you have in your life to make it more happy and balanced and achieve dreams you have always had.

In simple steps, week by week we can unlock the issues that make you unhappy and start a fresh new, more confident person on a better path of life, that you have always wanted.

Our skills are about knowing the right questions to ask and having the right tools and techniques to help you to find those answers within yourself.

You, the client, are the only expert in your entire life who truly knows who you are and what you need. As your coach, we help you discover what your own personal “best” might be.

Every day we make choices to do or not do many things. These choices may range from profound to trivial and each one has an effect that makes our lives more fulfilling or less fulfilling. Life coaching helps you learn how to make choices that create an effective, balanced and fulfilling life.

We help you connect your head and your heart in a way that transforms your passion for your dreams into action.

Visit Us At Our Website

We can coach superbly on any aspect of life. However, we may choose to specialize in one or more of the following areas :

• Relationships
• Stress Management
• Spirituality and Personal Growth
• Business Development
• Career Planning and Development
• Motivation and Time Management
• Money
• Health, Aging, Lifestyle and Self-Care
• Family and Parenting

Another way to think is;

• Are you aware of your potential? Are you using it currently?
• Something is missing in your life and you can’t see what it is?
• Are you free to make your own choice in your activity?
• Are you inspired by the idea of producing your own change but also helping others produce theirs?
• Do you want to make that great change for once in your life and possibly the lives of others?

Better Consulting is a company setup in Romania 6 months ago by 4 friends all Bucharest Expatriates, two English, one American and one Scottish, who decided to devote there time to changing certain aspects of everyday life in Romania and the world. They are unique, they have travelled and worked all over the world, there joint experience in life is incomparable, and together they are, a unique force, very amusing, comfortable to be with, and they are determined to help. You will find them different and very genuine, but most of all, helpful, no matter what your story is…

Weekly meetings for 45 minutes is all that is needed..try it, the first one is free, it’s our gift, just come for a coffee and talk to us, we would be delighted to meet you.

For Bucharest Expat Readers we have put together a very special and unique opportunity:

Take this moment to contact us now for your free consultation to find out what life coaching can do for you. You want help, you want to change, then mail me, let me help…

Bucharest Expat Contributing Author Alistair Willis

Alistair@bettercareconsulting.com

If you enjoyed this article, please tweet it and if you can, share it on Facebook or on your preferred social network via the links below… and of course, if you haven’t done so already, please join our group via registering or connecting with your Facebook account on this page (your information is of course always kept private). Thank You for helping our community grow and keep your comments coming!

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Recently a local media outlet was gracious to supply is with some “photos” of these “starter-mafia” individuals. Along with the photos they discuss the “split” of the families or “groups” that make their own laws essentially in each of the 6 sectors throughout Bucharest. Again, this is not something we really wish to type here, we will let the links speak for themselves. We do however think it is very “insightful” to say the least. So here are some links to enjoy that give you a glimpse in to how he mafia makes their money, where they are spread about, and various other interest fact… allegedly. Here are some links we found quite amusing to say the least as well as the links to the articles of which this information was sourced:  Link 1 Link 2 Link 3 It didn’t come from us. Enjoy.

** If you wish to have your photos removed from this post, please contact us at:

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With unending competition for dining, lodging, shopping, etc. popping up daily creating many, many options for people living in Bucharest, it is time the business owners stood up and demand an excellent image with excellent service. This is the “way” to growth and higher profit. It is simple.  As customers isn’t it time that WE stand up and demand more accountability from the establishments WE patronize? Of course it is… that’s how the local economy and the marketplace excels. Find Out More About The Next Wave In Better Consulting By Clicking This Link.

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In the 1980s Australia based company CSIRO, a subsidiary of the Reserve Bank of Australia, began work to improve the durability and security of Australia’s currency. The result was the World’s first (modern day) “plastic” banknote. As such, polymer notes have replaced paper notes in Australia, and Australia leads the world in polymer banknote technology. It is these systems and techniques that have spread rapidly across the globe, reaching of course Romania, and just recently such “hole in the wall” places as the Dominican Republic.

Pull out one of your Romanian banknotes and take a look at some of the security features:

“Clearly” you can see the transparent window. See the face value of the note embedded within?

Optically variable devices

Shadow Images

Heavily embossed printing

Use of metallic, metameric, and metachromatic inks.

As a side benefit, these polymer notes will also last nearly five times longer than their “paper” predecessors. At the end of what is considered their useful life, these plastic notes are shredded and recycled. The cost for doing such is drastically less than that of recycling and re-printing paper notes.

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In an attempt to essentially reroute the oil through a “cut” and modification to the lower pipe BP has done nothing more than to increase the rate of “gush” into the ocean. Imagine that.

As of this writing, the most recent update is that the spill is “nearing” the Gulf coast, more specifically the Florida panhandle. Apparently the US news is deceiving us! Who would have imagined such a thing! From a leisurely stroll on the beaches of the Gulf of Mexico by one of our “Expats” on his recent trip to the US, we can assure you… the spill has reached the shores. Not only has it reached [all] the shoreline, but the major part of the spill is nowhere NEAR where the US media claims it to be!

The spill is growing exponentially and is ready to spread its love around the world, hooking up with the gulf stream down in the Caribbean where it will hitch a ride north-east through the Atlantic. But that’s not in the news… so it can’t possibly be true right? Well, here’s the proof from our flight recently to the Caribbean. In the pictures below you’ll see the photos from our seats on the airplane on our approach to the Dominican Republic. The size of this thing is massive, and consider that 99% of the spill has “suspended” itself below the surface (imagine mixing oil and vinegar and shaking it up… once the churning stops it will seperate again). So maybe this will make its way back to the Arab Nations where they will of course clean it up, barrel it, and sell it back to the US… hopefully at a nice mark-up! Enjoy…

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The Following is an Interesting Article From an older New York Times Posting. An interesting look at the “what money could have bought” concept.

In Bucharest, a Flourishing Housing Market

By JON GORVETT

BUCHAREST-

The streets may sometimes be chaotic and the sidewalks crowded, but to some of the New Yorkers who live in Romania’s capital, it can also be one of the most rewarding cities in Europe.

Leslie Hawke, mother of Ethan Hawke, the actor, is one such resident. She moved here seven years ago and now lives in a rooftop apartment on the city’s main street, Calea Victoria.

“It’s Bucharest’s Fifth Avenue,” she said, looking down from her 45-square-meter (485-square-foot) terrace, which curves around her apartment. “It has all the major department stores and museums, palaces and squares.”

Spreading out below her apartment is the eclectic jumble of downtown. And across the rooftops are the onion domes of a Russian church rising above 19th-century French-style apartment buildings. This is Europe’s sixth-largest city, with a population of 1.9 million.

Ms. Hawke’s 1930s-era apartment has 95 square meters (over 1,000 square feet) of living space, with a large living room, kitchen, two bedrooms and a bathroom, and is just a few minutes’ walk from her office. She works for Ovidiu Rom, a nongovernmental organization that uses education programs to support families and children, a job that spun out of the Peace Corps volunteer work she did when she first arrived in the country.

“One of the really great things about Bucharest is the sense of proximity,” she said. “Here, everything is still going on in the city center. I almost never have to go to a social or work event by car.”

That suits Anthony Raftopol, too. “As someone who grew up in the Big Apple,” he said, “I am absolutely fine with the metro and the buses.”

Mr. Raftopol works for Salans, a law firm. He moved here when it opened a local office in the 1990s. He bought a two-bedroom, one-bath apartment in the city center near Cismigiu Park, where he and his partner, Shawn Hargon, now take their 13-month-old daughter, Zoe.

Mr. Raftopol’s parents were Romanians who fled the Communist regime in 1968. Although the family ended up in New York, he was born in a refugee camp in Austria — where, he said, an exiled Hungarian countess used to help take care of him.

As both a buyer and a real estate lawyer, he has seen the market evolve. “Prices have exploded here,” he said. “The economy has been growing fast, yet the supply of apartments just hasn’t kept up with demand. We estimate they need about 300,000 new units at the moment, and so far this year there are plans to build just 30,000. At that rate, the boom in prices should continue for a decade.”

Because of the shortage, prices are comparable with those in Vienna and Berlin.

“Residential property in new developments in the suburbs goes for around 1,500 euros a square meter these days,” or $198 a square foot, said another real estate specialist, Brian Jardine, an American who works here for Wolf Theiss, an Austrian law firm. He said that 100- to 150-square-meter (1,100- to 1,500-square-foot) apartments downtown sell for around 300,000 euros ($426,000). “That’s five or six times what it was five years ago,” he said.

With high potential yields, Bucharest has become an increasingly popular place for foreigners to invest, and now that Romania is a member of the European Union, the number of those investments is likely to grow.

“Many individuals from places such as Germany, the U.K. and Austria are already here,” Mr. Raftopol said. “The U.S. resident community is pretty small but tends to be made up of people who have quite a commitment to the place.”

Ms. Hawke added: “Buying here is quite different from back home too. One great thing is, you can do it all via a notary, without all the lawyers you need back in the States.”

There are no restrictions on Americans’ buying houses or apartments. Land purchases, however, must be done through a company registered in Romania, although foreigners are allowed to own such companies. “Setting one up is a no-brainer,” Mr. Raftopol said. “It’s very quick and at about 300 euros ($426), pretty cheap.”

Transactions can be complex. When Ms. Hawke bought her apartment, she explained, she was asked for 113,000 euros ($160,460) in cash. “I didn’t feel so great carrying that around town in a bag, though,” she said, “so eventually I persuaded them that we could all just go to the bank and watch the wire transfer go through.”

Finding a place also can require unconventional methods.

“Word of mouth is the best way,” Ms. Hawke said. “I bought a little place out in the countryside recently and, to get that, I first asked a guy in a local shop, who took me to the local priest, who took me to the mayor, and while I was there a guy came by wanting to buy some wine off the mayor and said he had a place for sale. It’s not quite that extreme in Bucharest, but it always helps to network.”

Another issue to be aware of is restitution, Mr. Raftopol said. He explained that in 1946, private owners were stripped of their property by the Communists’ nationalization process, and that after 1989, those owners were shut out when current residents were allowed to buy their homes. Problems sometimes cropped up later, when the original owners were allowed to claim restitution.

“It’s a good idea to hire a local lawyer to do a full title search to find out if there are any restitution issues on the place you want to buy,” Mr. Raftopol said. “They should also look to see if the property is earthquake proof.” Bucharest is in an earthquake zone, and buildings are graded according to their ability to withstand tremors.

Restoring a property also can be a challenge, as Romanian workers have been heading to other European Union countries in search of higher wages, creating a shortage of skilled workers. Yet “all the big home-improvement stores are here,” Mr. Raftopol said. “The materials cost what they would in the U.S., but the labor is much less.” The restoration of his apartment cost 20 to 25 percent less than what it would have in America, he said.

Bucharest has appeal but it is definitely for someone who likes a challenge. “It is a city still figuring out what it wants to be,” Mr. Raftopol said. “It’s not the sort of place you come because everything is already fixed up and done; you come here because it’s not like that. Instead, the potential is still there for it to become something else — something really different.”

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So here’s the interesting part of why the majority of the new houses (basically McMansions) in the “countryside” are being sold… Image. That’s it. As sure as people by overpriced houses in Dorobanti, as sure as people properly stack and position their fancy cell phones and key fobs on coffee shop tables, as sure as people with “fancy” cars have the right-of-way, the vast majority of Bucharestians are buying houses in the suburbs as second, or vacation homes. Why wouldn’t one buy a vacation home in a “vacation” area like anywhere between here and the mountains? Simply because your vacation house MUST be close enough for you to whisk your unsuspecting friends and family members away to for a quick barbecue! But isn’t this typical anyways?

That leaves the rest of the older houses in the more established communities. These are people that choose to be “away” from it all, or that have lived there through multiple generations. Quite often these people own quite a bit of land, and still have beautiful gardens in which they grow a lot of their own food. It truly is a different lifestyle and does have a hint of desirability.

For someone looking to get a taste of the suburb life while still being close “enough” to Bucharest, try looking for re-sale homes outside of the pre-planned communities. Maybe even consider a nice restoration project with a large parcel of land, as you’ll more than likely “beat the banks” on appreciation.

So will people from the “big city” spread out to image-conscious McMansions? Will they buy in to the master-planned communities? Will they say to hell with the city and buy an older farmhouse? Who knows! Only time and progress will tell!

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A side note that is paramount in some real estate values; the PRE elections are playing a role here… especially in sector 2 near Decebel, Stefan, and Mihai Bravu. If you’ve driven around a bit you have to try really hard to miss the commie buildings draped in tarp and flush with scaffolding. You’ll see a total of 8 color schemes being used on these buildings, with some sealant foam, some pressure washing, and some slight rehabilitation, these buildings are getting a new lease on life. Could this possibly be politically motivated in some way?? Nooo of course not…. But none the less, curb appeal plays a very important role in the values of the units in that particular building as well as surrounding buildings.

Communist Style Building "Before" painting

When I was here a few years back, I feared I may have missed getting in at the beginning (or relatively close to the beginning) of the big wave of appreciation that came with the formal announcement of EU “acceptance”. I actually began looking in Cluj and elsewhere for different property opportunities (the Nokia establishment was a big draw, as was the “college town aspect”) because I suspected that the smaller cities in Romania would follow suit. It was then that a 1 or 2 bedroom flat in the best areas of Bucharest could be had for around 130,000 Euros. Tipping the scales were some ultra-luxurious smaller units in Dorobanti for 250,000, but for the big picture, I tossed out the ultra-highs, as well as the scummier areas of town. I basically stayed within sectors 1 & 2, with a small piece of sector 5 that was interesting to me value wise.

Communist Style Building "After" painting

Fast forward to today… do we see prices hovering around where they were prior to the “boom”? New construction has picked up again, prices have fallen in some sectors, however seem to follow no distinct “pattern”.

Do we have another great wave to ride?

I hear so many people telling me I am crazy for wanting to buy as much well placed, potential- laden property that I can (including suburb land) but I really believe we are heading for a big upswing pretty soon… within the next 2 years. There is indeed a lot of money coming into Bucharest (from Romanians that have left and come back, to Arab influx, as well as many American and English expats). Is it what Bucharest was expecting as far as foreign investment? Doesn’t matter.

Remember…. 80% of the crisis is in peoples minds… but it is these people that influence the purchasing habits of the whole.

Buy low, sell high. Yes we may have a bit more to fall, but the sure thing is we ARE lower now than we will be in the future. Get in now, continue to get in, until you start to reap the rewards of the climb. Then stop “getting in” and begin the transition back out. This is so simple people. Forget all the other “strange elements” and make the decision to at least move forward.

An interesting point however: the suburbs are growing. Becoming more westernized? There WILL be urban sprawl, which will leave the less desirably properties in the city in a bit of a pinch, but as always it will swing back and forth. Just position yourself properly and you’ll benefit from both Urban and Suburban property. I originally thought the high end market was toast, and would continue to feel the hit from both the crisis and the sprawl, but I have since revised my way of thinking. The wealthy is a growing class. Keep this in mind when purchasing. You may not believe it now, as we are surrounded by, and bombarded with the scarcity mindset of cashflow, but again, 80% mental.

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Is Romania following in the footsteps of Greece? While most of the “news” in Romania consists of headlines that serve as nothing more than “content filler”, some stories deserve discussion. Today it was announced that salaries will be cut by 25% across the board on government related employees (excluding those who would be considered protected, or rich… the elite and the politicians… think US-ish thoughts here). As well as a salary cut, the government will also be cutting pension payout by 15% in an [erroneous] attempt to curtail economic overhead. Wow…

Consider the minimum wage here of 600 ron; when the minimum wage in Greece and Italy, as another example, is much higher than this and people actually take to the streets and riot as a result of such announcements… what could the outcome be?

Attached is a snippet of an article that you can continue reading on their website, however you will have to translate it. I apologize for the rough “Google Translation”, however the point is clear:

From June 1 employees’ wages fall by 25% and 15% pension. Unemployment is reduced by 15%.

President Basescu said on Thursday that it will increase the VAT and the flat, but that from June 1 will reduce payroll by 25% from central and local government, being predictable and reduce pensions by 15%, but Taira aggressively subsidized.

Also unemployment benefits will be reduced by 15%.

Basescu said that one possibility under discussion was’ version of distrust “that cover the VAT increase from 19 to 24% and flat at 16-20%, while reducing the budget sector wages by 20%, so Romania to fall into a deficit of 6, 7 or even 8%. The second variant, called the president “legitimate option, is that the Government continued its program of” massive restructuring “expenses.Basescu said that the memorandum will be signed with the IMF at the end of the negotiations will go on this last resort.

He expressed hope that the new letter of intent with the IMF Government to be adopted Wednesday by the Government.

UPDATE: The state is like a fat man perched behind one weak, which is the real economy

“State looks like an obese man of 200 kg which was perched behind one very slight and slim, of 50 kg, which is the real economy, and huge expenditures of click here to read more…

For Another Great Article Click Here

We would Love to have discussion on the topic of Romanian Salaries here…

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http://www.nytimes.com/2010/04/26/us/26expat.html?hp

April 25, 2010

More American Expatriates Give Up Citizenship

By BRIAN KNOWLTON

WASHINGTON — Amid mounting frustration over taxation and banking problems, small but growing numbers of overseas Americans are taking the weighty step of renouncing their citizenship.

“What we have seen is a substantial change in mentality among the overseas community in the past two years,” said Jackie Bugnion, director of American Citizens Abroad, an advocacy group based in Geneva. “Before, no one would dare mention to other Americans that they were even thinking of renouncing their U.S. nationality. Now, it is an openly discussed issue.”

The Federal Register, the government publication that records such decisions, shows that 502 expatriates gave up their U.S. citizenship or permanent residency status in the last quarter of 2009. That is a tiny portion of the 5.2 million Americans estimated by the State Department to be living abroad.

Still, 502 was the largest quarterly figure in years, more than twice the total for all of 2008, and it looms larger, given how agonizing the decision can be. There were 235 renunciations in 2008 and 743 last year. Waiting periods to meet with consular officers to formalize renunciations have grown.

Anecdotally, frustrations over tax and banking questions, not political considerations, appear to be the main drivers of the surge. Expat advocates say that as it becomes more difficult for Americans to live and work abroad, it will become harder for American companies to compete.

American expats have long complained that the United States is the only industrialized country to tax citizens on income earned abroad, even when they are taxed in their country of residence, though they are allowed to exclude their first $91,400 in foreign-earned income.

One Swiss-based business executive, who spoke on the condition of anonymity because of sensitive family issues, said she weighed the decision for 10 years. She had lived abroad for years but had pleasant memories of service in the U.S. Marine Corps.

Yet the notion of double taxation — and of future tax obligations for her children, who will receive few U.S. services — finally pushed her to renounce, she said.

“I loved my time in the Marines, and the U.S. is still a great country,” she said. “But having lived here 20 years and having to pay and file while seeing other countries’ nationals not having to do that, I just think it’s grossly unfair.”

“It’s taxation without representation,” she added.

Stringent new banking regulations — aimed both at curbing tax evasion and, under the Patriot Act, preventing money from flowing to terrorist groups — have inadvertently made it harder for some expats to keep bank accounts in the United States and in some cases abroad.

Some U.S.-based banks have closed expats’ accounts because of difficulty in certifying that the holders still maintain U.S. addresses, as required by a Patriot Act provision.

“It seems the new anti-terrorist rules are having unintended effects,” Daniel Flynn, who lives in Belgium, wrote in a letter quoted by the Americans Abroad Caucus in the U.S. Congress in correspondence with the Treasury Department.

“I was born in San Francisco in 1939, served my country as an army officer from 1961 to 1963, have been paying U.S. income taxes for 57 years, since 1952, have continually maintained federal voting residence, and hold a valid American passport.”

Mr. Flynn had held an account with a U.S. bank for 44 years. Still, he wrote, “they said that the new anti-terrorism rules required them to close our account because of our address outside the U.S.”

Kathleen Rittenhouse, who lives in Canada, wrote that until she encountered a similar problem, “I did not know that the Patriot Act placed me in the same category as terrorists, arms dealers and money launderers.”

Andy Sundberg, another director of American Citizens Abroad, said, “These banks are closing our accounts as acts of prudent self-defense.” But the result, he said, is that expats have become “toxic citizens.”

The Americans Abroad Caucus, headed by Representative Carolyn B. Maloney, Democrat of New York, and Representative Joe Wilson, Republican of South Carolina, has made repeated entreaties to the Treasury Department.

In response, Treasury Secretary Timothy F. Geithner wrote Ms. Maloney on Feb. 24 that “nothing in U.S. financial law and regulation should make it impossible for Americans living abroad to access financial services here in the United States.”

But banks, Treasury officials note, are free to ignore that advice.

“That Americans living overseas are being denied banking services in U.S. banks, and increasingly in foreign banks, is unacceptable,” Ms. Maloney said in a letter Friday to leaders of the House Financial Services Committee, requesting a hearing on the question.

Mr. Wilson, joining her request, said that pleas from expats for relief “continue to come in at a startling rate.”

Relinquishing citizenship is relatively simple. The person must appear before a U.S. consular or diplomatic official in a foreign country and sign a renunciation oath. This does not allow a person to escape old tax bills or military obligations.

Now, expats’ representatives fear renunciations will become more common.

“It is a sad outcome,” Ms. Bugnion said, “but I personally feel that we are now seeing only the tip of the iceberg.”

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