Finance Minister says current account deficit needed to sustain economic growth

“The current account deficit should not alarm us. We need the current account deficit. Without the deficit, we are unable to have 7 percent annual growth,” Vosganian told participants attending the “International Financial Crises: Lowering Risks in the Romanian Economy” economic conference in Bucharest.

Vosganian recalled that Romania's gross domestic product (GDP) in the first quarter of 2008 was the highest since 1990, which proves the country is not facing a crisis. He added that in spite of a wider current account deficit exports have increased significantly.

However, Vosganian’s statements contradict those of Romania's National Bank (BNR) Governor, who said the current account deficit should be narrowed. (TMCTV)