Reducing Allocation for Scholarships in Romania
The education landscape in Romania is undergoing a transformation with the recent scholarship reform, which brings about changes in allocation criteria, budget reductions, and potential impacts on students.
One of the key aspects of the reform is a significant 40% cut in the per-student scholarship budget. Currently, the scholarships budget stands at approximately RON 2.4 billion (based on 540,000 students), but this figure is set to decrease to around RON 1.4 billion under the new system. This reduction forms part of broader fiscal consolidation efforts by the Romanian government [1].
The reform also introduces changes in the allocation criteria. For instance, social scholarships, which provide support to students from lower-income households, will continue to be allocated based on family income. However, performance-based scholarships will be subject to new restrictions. Only pupils with an average grade above 9.5 out of 10 will qualify, but no more than 15% of students in a class can receive this scholarship. Scholarships awarded for winning school contests are currently suspended pending a review of these contests [1].
In addition, for students in higher education, the calculation basis for scholarships shifts from 10% of the minimum gross wage to 10% of the minimum net wage. This change is justified by the scholarships being tax-exempt and contributes to reducing the overall funding available [1].
The reform is expected to reduce the number of beneficiaries, particularly affecting those who do not meet the higher academic threshold or are contest winners who currently receive scholarships. The budget cut and stricter criteria will limit financial support availability, potentially increasing financial pressures on some students [1].
The reform is part of Romania's government's broader fiscal consolidation and public sector reform efforts aimed at better governance and financial sustainability, as outlined in their ruling program for 2025-2028 [4].
In summary, the scholarship reform in Romania means a substantial budget reduction, stricter eligibility based on academic performance, and a focus on maintaining support primarily for socially disadvantaged students, with implications of reduced benefits for many current recipients [1][4].
[1] Romanian Government's Fiscal Consolidation and Scholarship Reform Efforts (2023) [4] Romania's Ruling Program for 2025-2028 (2022)
The Romanian government's fiscal consolidation efforts, as outlined in their ruling program for 2025-2028, extend beyond education reform and also involve business and finance. The reduction in the per-student scholarship budget and changes in scholarship criteria are part of Romania's broader business strategy to achieve better governance and financial sustainability.
