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IMF: Excellent economic evolution in Romania this year

Marţi, 10 octombrie 2006, 0:00

The head of an International Monetary Fund mission to Bucharest has said Romania had an excellent economic evolution this year. During talks with Romanian PM Calin Popescu-Tariceanu, the IMF official noted the effects of the fiscal policies promoted by the government, the slow growth of administered prices and the salary policies, according to a government press release.

Emmanuel van der Mensbrugghe, who heads the IMF mission to Romania until October 11, recommended PM Tariceanu to pursue the same policies in 2007 and 2008. An he said the evolution is obvious from Romania’s economic growth of over 7% and from the continuously lower inflation rate.

But he said he was worried of the increasing current account deficit. The budget deficit will stay at 2.5% of the GDP in 2007 as development projects will be encouraged and funds left unused this year will be redistributed, according to the Romanian government.

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