BUCHAREST, Romania - Romania's government extended Thursday a ban on foreign adoptions of Romanian children until Feb. 28 to allow lawmakers more time to adopt new laws on adoption and child welfare.

The government has drafted new legislation encouraging adoptions in Romania  itself and placing children in foster families or in family style homes. Parliament was expected to enact the new laws in February.

Romania suspended international adoptions in 2001 after criticism from the European Union that the system was corrupt and Romanian children were being sold to foreign families.

The EU advocates considering foreign adoption as a last resort, after foster care or attempts at local adoption have failed.

An estimated 30,000 children have been adopted by foreigners since communism collapsed in 1989, international agencies say.

The ban left some 3,500 foreign families, many from the United States, France, Italy and Spain, stuck in the middle of adoption procedures. Some exceptions were made for disabled children and children whose paperwork was nearly completed at the time of the ban.

To comply with EU requirements on child welfare, Romania has also begun to shut down its large orphanages and move children into smaller homes. Romania hopes to join the EU by 2007.

The number of children living in state institutions has decreased to about 43,000 from 57,000 last year, while about 41,000 children have been placed in foster families or with close relatives, according to government statistics.

The ban, initially imposed for one year, was extended three times as authorities needed more time to draft the laws and send them to parliament.