Independent Luca Niculescu was confirmed as Romania's prime minister by parliament on Tuesday, ending nearly six months of political deadlock that had put pressure on the country's investment-grade rating and dented investor confidence, Reuters reported from Bucharest. Niculescu, 55, won a parliamentary vote of confidence with 280 votes — easily passing the 233 required — after putting together a minority government of leftists and technocrats following his nomination by centrist President Nicusor Dan. AP, via Euronews, also reported the 280-to-58 vote and that the new cabinet was sworn in the same evening.

Source: Reuters

It was Dan's fourth attempt to install a government in the NATO and European Union member state since a pro-European broad coalition cabinet collapsed in early May, Reuters reported. Niculescu has served as a diplomat and deputy foreign minister and was formerly a journalist. Before the vote he told lawmakers: "I am not asking for a blank check. I am asking you to understand Romania needs a government with full powers after so many months of crisis."

Budget battle ahead

Niculescu must try to make further cuts to one of the EU's largest budget deficits while propping up a contracting economy, Reuters reported. Romania has agreed with Brussels to bring its budget deficit below 3% of economic output — from over 9% in 2024 and an expected 6.2% this year — by 2030. If his government cannot get a deficit-reducing budget plan for 2027 through parliament in December, it will risk a ratings downgrade, with Romania already sitting on the last rung of investment grade, the major ratings agencies have said, according to Reuters. Moody's said on Monday the green light for Niculescu's cabinet would allow for the timely adoption of a 2027 budget that supports fiscal correction. Political analysts cited by Reuters said the government could be short-lived. Sources: Reuters (Oct 20, 2026); Associated Press via Euronews (Oct 21, 2026).