The government will find it difficult to put all the fiscal measures in one basket, a tougher one in 2016, Daniel Daianu, member of the BNR Board has told RFI on Monday.
“The announced measures cannot avoid complicating the budget. (…) It’s only natural for all of us to wait for the new budget. It’s difficult to put all the measures in one basket, a tougher one last year, as according to many estimates we will have one of the lowest levels of fiscal revenues as share in the GDP, even below 27%, maybe 26%; this is very low level given that the economy has performed, according to the central bank estimates and not only, above the level of potential growth, a robust growth, which should not lead to problems in terms of macro-economic balances and of external balances. We estimate 4.7-4.8% growth in 2016, with an obvious slowdown in the last part of the year and having, in the last part of the year, a better evolution in terms of current account deficit,” Daianu said.
Daniel Dainu also says that economic growth should be based on quality investments: “We shouldn’t play with macro-economic balances. Even we disturb some, we at the National Bank say that procyclical devepment, meaning that stimulating economic growth during periods of growth, is accompanies by hazards. One should put coal into the economy, but the coal should consider the economy’s breathing, meaning one should carry out quality investments.”
AOAR chairman: It will be hard for the Gov’t to look as pro-business
The coming period of time will reveal if adopting the measures with high impact on the business environment was accidental or not, said for zf.ro businessmen association (AOAR) head Florin Pogonaru. “It will be hard for the current government to look pro-business. For the moment it projected a Robin Hood-like image, uninspired because it has picked wrong targets or it didn’t correlate the measures to offset the impact on some industries which it claims should be supported (but it started by hitting them).,” Pogonaru said.