BNR also changed the inflation prognosis for 2011, from 2.8 to 3.1 percent.

However, the inflation rate maintained within the interval targeted by BNR in the second trimester.

Also, the VAT increase from 19 to 24 percent will pave the way to 3 percent higher prices in the period to come, according to the BNR official.

The government hiked the VAT from 19 to 24 percent at the end of June, after the Constitutional Court decided that pensions cannot be slashed by 15 percent.

Isarescu also mentioned Romania’s program to join the Eurozone in 2015 should be tackled again, as the economic indexes got worse and the economic recovery is delayed and painful.