Deficit above 10 percent means excessive consumption, he added. "Narrowing the current account deficit depends on fiscal and monetary policies decision. Based on them, we will have a shorter or longer period to narrow deficit, but we are not talking about one year, maybe two to five years," Lazea said.
According to estimates by Romania's National Bank (BNR), current account deficit should be around 14 percent of the GDP, similar to 2007. "We foresee lower oil prices and food prices, but an increase in imports, due to consumption, is still possible," Lazea said. He added foreign direct investments are likely to amount to some €8 billion this year, but said this not an official BNR prognosis. (NewsIn)
Romania needs to narrow current account deficit to 10 percent
Publicat la 15.09.2008, 16:34:00
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