The National Commission for Strategy and Prognosis in
\nBucharest has revised down its economic growth forecast for this year to only
\n4.3%, 0.3% down as compared to its previous estimate. The forecast is mainly
\nbased on the growing inflation rate, presently at 8% and expected to hit two-digit
\nfigures shortly, but also takes into account the fifth wave of the Coronavirus
\npandemic and the energy crisis. <\/p>\n
\n
<\/p>\n
Authors of the aforementioned forecast have explained that all the estimates
\nhave been done without taking into account a potential conflict caused by the
\ngeopolitical tensions at the border with Ukraine. <\/p>\n
\n
<\/p>\n
The 4.3% growth has been done in keeping with the higher
\nenergy prices, which may hamper activity especially in the chemical and steel
\nindustry, known to be major energy consumers. <\/p>\n
\n
<\/p>\n
At the same time, dysfunctional supply chains, which
\ncontribute to price hikes on the market, are believed to continue. Even if such
\ndysfunctionalities are diminished, they will continue to affect the car and
\nelectric equipment manufacture. <\/p>\n
\n
<\/p>\n
Services are expected to register a low increase, especially
\nin the household sector, whereas constructions are to see a more significant
\ndevelopment than estimated in autumn. Growth in this sector is expected to become
\nvisible against the same period last year, when activity slowed down but also
\nbecause of an envisaged impetus given by the incoming European funds. <\/p>\n
\n
<\/p>\n
The Commission has also forecast lower growth in private
\nconsumption and investment against the previous estimates. Research has also been
\nmade on the impact of the energy price hike upon the inflation rate, which translates
\ninto higher consumer prices. <\/p>\n
\n
<\/p>\n
This increase is to be felt less in February thanks to the
\nnew regulations aimed at capping these prices, but is to gain momentum in
\nApril. <\/p>\n
\n
<\/p>\n
Slight
\nincreases are also expected in July and at the beginning of the cold season.
\nEstimates point to an inflation rate of 9.5% at the end of the year within the annual
\naverage of 9.9%. The estimates don’t take into account other protection measures
\nfor the population though. Suchlike measures are to be quantified in the commission’s
\nfurther forecasts. <\/p>\n
\n
<\/p>\n
According
\nto data released on Tuesday by the National Institute for Statistics, Romania saw
\na 5.6% economic growth last year whereas its GDP dropped 0.5% in the last
\nquarter of 2021 as compared to the previous quarter, but rose 2.2% against the
\nsame period of 2020. <\/p>\n
\n
<\/p>\n
(bill)<\/p>\n
\n
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The National Commission for Strategy and Prognosis has revised down Romanias economic growth for this year to 4.3%<\/p>\n","protected":false},"author":108,"featured_media":81601,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[37738],"tags":[34104,28918,35685,31693,29615,31400,30256],"coauthors":[],"class_list":["post-91121","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-today-in-the-news","tag-economic","tag-energy","tag-estimates","tag-gdp","tag-growth","tag-hikes","tag-prices"],"acf":[],"yoast_head":"\n