The improved situation is due mainly to powerful strategic interventions. As such, the global economy is no longer in free fall, with recent data regarding trade, industrial production, confidence in the business environment, and consumers encouraging.
According to the EC, the improvement in financial conjunctures has contributed to a slowing in the decline of the EU’s gross domestic product (GDP) in the second quarter (to -0.2 percent inter-quarter from -2.4 percent in Q1 2009). The Commission revised projections for growth upwards slightly in the second half of the current year, but the decline in the GDP rate estimated for the full year remains unchanged, at 4 percent, for both the EU and the euro zone.
This calculation is based on updated forecasts for France, Germany, Italy, the Netherlands, Poland, Spain, and the United Kingdom, which together make up some 80 percent EU’s GDP.
“The acceleration of economic growth in the euro zone is good news for Romania, which has benefitted from programs to support consumption from countries in this zone – such as the programs to renew the auto parks, but it should be remembered that many of these will end in the coming months. However, Romanian economic data, such as poor internal demand, the fiscal burden, and low lending, have led us to change our projections,” according to a declaration for Business Standard by Christian Keller, Senior Economist of Barclays Capital in London.