Romania needs to correct its budget deficit and go ahead withreforms in order to have a more flexible economy, which wouldattract foreign investors, if it wants to leave the global crisisbehind, says Nouriel Roubini, one of the best-known economists ofthe time worldwide, famous for predicting the 2008 global crisis,which earned him the nickname "Dr. Doom".
"Every country that has a big budget deficit needs to cut it, youdon't have an alternative to fiscal austerity. The most importantthing is to have a progressive and continuous budget deficit overtime, in order to recover access to the market," says Roubini. Headds that austerity measures cannot be avoided, even though theeconomic recession has been tougher than anticipated, as was thecase of Romania, but on the other hand policies have to be puttogether in order to see a recovery.
Roubini's speech is even harsher than that of the InternationalMonetary Fund, which agreed to a budget target deficit increase,admitting the fact that the extension of recession entails adecline in budget revenues, which could not be offset by thespending cuts.
Pentru alte știri, analize, articole și informații din business în timp real urmărește Ziarul Financiar pe WhatsApp Channels
