Romania deadlocked on new government as PSD, USR, PNL clash with President Dan

Romania government deadlock PSD USR coalition demand President Nicușor Dan EU recovery fund

President Nicușor Dan, elected a year ago, is under pressure to nominate a prime minister after the collapse of the Bolojan government and the failure of two previous premiership nominations. He must secure a parliamentary vote before the parliamentary recess and before the August deadline for EU‑funded reforms.

The Social Democratic Party (PSD) accuses the centre‑right parties PNL, USR and UDMR of sabotaging the process, saying they are “inventing conditions” and “blocking a full‑power government”. USR, led by Dominic Fritz, insists it will not back a monocolor PSD cabinet and proposes a rotating minority coalition (PNL‑USR‑UDMR for six months followed by PSD) together with a principle of reciprocity.

Rating agencies have warned that the stalemate could affect Romania’s sovereign rating and the disbursement of roughly €11 billion from the EU recovery fund. Opposition parties, including the far‑right AUR, have hinted at an impeachment move against President Dan, while early elections remain a possible outcome.