What the newspapers say: January 26, 2009

State incentives, anti-crisis plan, expensive food, real estate falling, immigrants returning and prostitution exports are just some of the headlines on Monday, all approaching the same phenomenon: the new poverty wave.

Construction companies expect state aid, in order to avoid bankruptcy, Evenimentul Zilei reads. While everyone spoke in 2008 about the lack of qualified personnel, no the problem shifted to unemployment. One of the solutions suggested by companies is that the state begins the large infrastructure works, including thermal network rehabilitation.

At the same time, the real estate prices continue to decrease. The fall, compared to last year’s beginning reached 25% in Romania, 15-20% in Poland and some 20% in Bulgaria, being felt all throughout the Easter Europe, Gandul reads.

Back to Evenimentul Zilei, the problem of immigrant workers returning home is once again actual. According to the Italian publication „Espresso”, one of the main effects of the crisis will be that immigrants will return home. Among them – 900,000 Romanians. In Spain, Italy, UK, France or Germany, the number of employees decreased by tens of thousands. From Germany, not only simple workers begun to return home, but also doctors of various specialties and dentists.

Upon their arrival, news isn’t very good: Romania is too poor to support PM Boc’s anti-crisis plan, Gandul reads. Except for the car industry, which may enjoy a state aid worth 1.8 billion RON , all other suggested measures are hard to upkeep and are mainly social, not production-oriented. Economists say there is no money for an anti-crisis plan, since it was all spent last year. “Romania can’t afford other spending than investments, can’t create jobs and help the economic environment”, says Lucian Anghel, chief-economist at the Erste-owned Romanian Commercial Bank (BCR).

Meanwhile, living in Romania is becoming even more expensive: the basic food will see prices growing 20-25%, mainly in meat and meat products, given the devaluation of the Romanian currency, RON, Evenimentul Zilei informs.

The „cherry on top” of all news comes in Romania Libera: hundreds of Romanian boys, aged mostly around 20, practice prostitution among Europe, in Paris, Milan or Rome. The poverty is so deep, some of them would have sex with their clients simply for a warm meal, the newspaper found out.