European Commission: The Romanian economy will grow by 4.1% in 2018

The European executive has reduced the estimate of Romania's economic growth in the provisional summer forecast of 4.5% previously

After reaching a record of 6.9 % increase in the post-crisis 2017, economic growth slowed to 4% in the first quarter of 2018 due to a contraction in consumption. Consumption of the population, stimulated by fiscal easing measures, including the reduction of indirect taxes and wage increases in the public sector, has been the main driver of the economy in the last two years. years

. As a result, GDP growth will slow to 4.1% this year and 3.8% in 2019. In the spring forecast, the Commission has estimated economic growth of 4%, 5% for 2018 and 3.9% for next year

The EU executive estimates that investment will likely increase this year thanks to the implementation of EU-funded projects

At EU level, growth – and maintains the steady pace both in 2018 and in 2019. The Commission estimates an increase in the EU economy of 2.1% this year and 2% the following year

slowed down in the first half of 2018, but growth rates are expected to accelerate somewhat in the second half of this year as labor market conditions are s & # 39; Household debt is decreasing, consumer confidence is still falling, and monetary policy remains favorable, of the European Commission