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Bank Austria Creditanstalt: Romanian inflation to reach 7.5% in 2006

Miercuri, 3 mai 2006, 0:00

The GDP of Romania may rise by 5.6% in 2006, considerable lowwer than January predictions of 6.3%, according to a report by Bank Austria Creditanstalt, a member of the Unicredit group. The BA-CA study says the Romanian inflation will rise to 7.5% this syear, much above the National Bank target of 5%, and a current account deficit of 9.6% in 2006 and 9.3% in 2007.

The GDP growth for Romania stays, however, above the 5.1% average predicted for Central and Eastern European countries.

The bank expects 8 billion euro to enter Romanian market as direct foreign investments in 2006, amounting to 8.5% of the GDP.

And it predicts a currency exchange of 3.48 RON/euro by the end of June, of 3.4 RON/euro in 2007 and 3.36 RON/euro in 2008.

BA-CA was considered the best bank of Central and Eastern Europe in a recent analysis by Global Finance, based on its growth of assets, profitability, strategic relations, innovative products and competitive offer.

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