Brussels, 22/12/2011 (Agence Europe) - A European Commission report published on Thursday 22 December concludes that the assistance programme for the balance of payments in Romania remains on track. The report is the fruit of the joint EU-IMF mission carried out from 25 October to 7 November 2011. In a press release the Commission adds that prudent macroeconomic policies and accelerated structural reforms are important to ensure strong economic performance and instil market confidence.
After two years of negative growth, real GDP is expected to grow by around 1½-2% in 2011, above previous projections. A further slight acceleration towards 1¾-2¼% is expected for 2012. Inflation has come down to the inflation target range of 3.0%. The current account deficit is projected to remain below 5% of GDP in both 2011 and 2012.
Public finance developments until the end of September are consistent with meeting the 4.4% of GDP cash deficit target in 2011, explains the Commission. For 2012, the Romanian authorities target a 1.9% of GDP cash deficit.
The fact-finding mission for the next programme review is scheduled for late January-early February 2012. (LC/transl.fl)