Presidential adviser: Deficits are the bills by which the governments transfer in the future the costs of current benefits

Romania’s economic growth rates, one of the highest in the EU, were praised on Tuesday by Cosmin Marinescu, economic adviser to the president, who drew attention however to the quality of this growth.

“In 2016 Romania will be on the podium of European growth, but in the context of a very consistent advance of consumption. A new model of economic development should abandon some illusions: firstly, that prosperity can be built on deficits, on public debt and on the artificial stimulation of consumption. Secondly, the illusion that public policy can take the place of real, structural reforms. Not least, the illusion that the prosperity, once achieved, will not be lost,” Marinescu said on Tuesday during a seminar, informs.

But, in order to be sustainable, the consumption growth should be based on sustainable productivity programmes. In this regard we should not admit only the quantitative side, but the quality of growth, the presidential adviser added.

Marinescu stressed that Romania’s exports exceed 40% of GDP, but the growth rate has halved, while imports are growing at an accelerated pace, double against the exports. “Romania needs a sound economic vision in the long term,” was his conclusion.

Cosmin Marinescudefictseconomic growtheconomic visionEuropean Unionexportsimportspresidential adviserprosperitypublic debtstructural reforms
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