In the 3rd
\nquarter of the year Romania saw the most substantial rise in GDP of the 28 EU
\nmember states, by 8.6% compared to the corresponding period of 2016, according
\nto the European statistics office, Eurostat. Romania’s economy also grew by
\n2.6% in the 3rd quarter of the year compared to the 2nd,
\nagain a EU record. Prime Minister Mihai Tudose says this spectacular rate is
\nsustainable. He wrote in a social network post that although Romania currently
\nhas roughly the same number of employees as it did in 2008, its nominal GDP is
\n71 billion euros higher than in 2008. <\/p>\n
<\/p>\n
\n
\n
\n
<\/p>\n
Experts,
\nhowever, are not very confident that the economy will keep up this pace.
\nAnalyst Aurelian Dochia talks about the risks that might slow down the economic
\ngrowth, such as a rise in inflation and interest rates:<\/p>\n
<\/p>\n
\n
\n
\n
<\/p>\n
It is rather
\nunlikely that the economic growth rate stays at this level in 2018. Without
\ndoubt, some of the aspects that seem harmless today might be different next
\nyear. And I believe one of the most
\nalarming elements is related to the budget deficit. We must also keep in mind
\nthat some indicators, such as the interest rate, have started to go up very
\nquickly, and the inflation rate is already above the levels that even the
\nNational Bank has expected. This puts some pressure on the exchange rate, and
\nthis is something that many people are concerned about.<\/p>\n
<\/p>\n
\n
\n
\n
<\/p>\n
An economic
\ngrowth rate above expectations is welcome, in that it gives Romanians hope that
\nthey will be able to bridge the gaps separating them from the more developed
\nWestern European countries, says Adrian Vasilescu, a central bank strategy
\nconsultant. But he also warns against the high level of imports:<\/p>\n
<\/p>\n
\n
\n
\n
<\/p>\n
Those who
\ncriticise the economic growth claim it relies on consumption, but growth is
\nalways based on consumption. The problem is elsewhere, namely that it is an
\neconomic growth rate based mainly on the consumption of imported goods. This is
\nthe problem that we need to address, because if we continue to rely on high
\nconsumption of imported goods, it will not be good.<\/p>\n
<\/p>\n
\n
\n
\n
<\/p>\n
A high economic
\ngrowth rate is the only way to improve living standards, the Finance Minister
\nIonut Misa said in his turn, and added that Romania is now one of the EU’s most
\ndynamic economies, and its development direction is appreciated by investors
\nand international institutions. <\/p>\n
<\/p>\n","protected":false},"excerpt":{"rendered":"
Romania has the highest economic growth rate in the European Union, an incomparably better situation than in 2016, Bucharest says.<\/p>\n","protected":false},"author":106,"featured_media":63758,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[37738],"tags":[29332],"coauthors":[],"class_list":["post-75487","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-today-in-the-news","tag-economic-growth"],"acf":[],"yoast_head":"\n