We have reached the 2nd place in terms of inflation: the only country that has an annual spread, that is, the HIPC index is higher than us, is Hungary, – said Mugur Iserescu, the governor of the BNR.
Why
“The main factor is what characterizes Romania compared to other countries: a larger fiscal deficit. A much more vulnerable fiscal and budgetary position. The impact of measures to reduce the budget deficit, so to speak, has not yet been felt,” Iserescu said.
It mainly refers to the new tax law (296/2023).
Other statements:
- We see a slowdown in economic growth in the third quarter. This is likely to continue in the 3rd quarter. We do not yet see signs of a recession, but this moderation in growth is evident. What we have tried to do is reduce inflation without creating a recession, which is a difficult task.
- The exchange rate helped us in 2021 and 2022 and in the middle of this year, but Romania’s risk premium is still the highest. Who is the main factor? The situation of double deficit: fiscal and current account. They are still big. It is difficult to overcome this problem.
The news is updatedd
Source: Hot News
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