IMF says economy is starting to recover, which also carries the risk of reforms being dropped
IMF says the Romanian economy is starting to rebound, exports continue to increase and consumer and investor confidence, although low, is showing signs of recovery, yet warns that there is a risk that the Government might drop certain reforms because the economy is picking up.
IMF experts are considering revising forecasts about macroeconomic indicators, but there will not be any radical changes.
The base scenario has IMF estimating a 1.5% economic growth this year. However, the Romanian authorities and the Fund did not rule out the continuation of recession this year, too, forecasting a 0.5% decline in 2011 in a worst-case scenario. It remains to be seen how much the economic growth forecast will be changed and whether the recession scenario will be considered or not.