Ooni Koda
  1. Home
  2. /
  3. Newsfeed
  4. /
  5. Romanian Economic Monitor: Romania's economic growth to reach...

Romanian Economic Monitor: Romania's economic growth to reach 1.8pct in 2024, much below initial provisions

October 24, 2024

The annual growth of Romania's Gross Domestic Product (GDP) will be moderate in 2024, of 1.8%, well below the initial economic forecasts of 3%, despite the positive trends recorded in the first half of the year to also be maintained in the next period as well, according to a team of economists running the Romanian Economic Monitor (RoEM), a research project of the Faculty of Economic Sciences and Business Management of the Babes-Bolyai University in Cluj-Napoca.According to a press release of the team of economists sent on Wednesday, in September 2024, the National Institute of Statistics published provisional data on Romania's economic growth in the first six months of this year, according to which Romania's GDP registered an increase of 0.8% in the second quarter compared to the first quarter, while in the first quarter an increase of only 0.5% was observed. While these figures might suggest a modest acceleration in economic growth, they are actually below analysts' expectations, which portends lower economic growth for the full year 2024 than expected earlier this year, RoEM research shows."Considering these developments, our team revised the forecast for Romania's GDP growth in 2024, reducing it from the level of 3%, estimated at the beginning of the year, to 1.8%, which already includes the effects of the weaker economic performance from the first half of the year. Moreover, this growth rate could decrease even more in case of new unforeseen events compared to those of the first semester. Therefore, in addition to our current forecast of 1.8%, the balance of economic risks until the end of the year inclines more downward," explained Levente Szasz, vice-rector of UBB Cluj-Napoca, coordinator of the Romanian Economic Monitor team.In the first half of this year, in Romania, there was an increase in domestic demand, stimulated mainly by the real increase in the population's income (including the increase in pensions in the beginning of this year, respectively the increase in the minimum wage per economy in the last quarter of 2023, as well as the gradual reduction of inflation. Although these trends continue in the second half of this year, the team of RoEM economists believes that the less favourable news comes from the companies sector, which fail to fully capitalise on the increase in demand by expanding their offer on the local market.All sectors of economic activity: agriculture, industry, construction, services, including the IT sector, make modest, and in some cases even negative, contributions to the evolution of Romania's GDP this year, say RoEM specialists. (Photo:https://www.facebook.com/RoEconMonitor)

Read in full - click here
Two new investment funds active in Romania receive financing through EU-backed PNRR

Two new investment funds active in Romania, Sparking Capital II and PCP SEE II, will receive allocations worth EUR 30 million under the National Recovery and Resilience Plan, or PNRR, after an approval from the Romanian executive and the European Investment Bank. The allocations are mediated by the European Investment Fund, a European financial institution, […]

Romania’s tax collector ANAF sees revenues up 12% in first half of 2025

The net revenues collected by Romania’s tax agency ANAF for the state budget increased by 12.2% in the first six months of 2025 compared to the same period last year, reaching RON 245.2 billion (EUR 49 billion), said outgoing ANAF president Nicoleta-Mioara Cîrciumaru. Nevertheless, the net revenues collected by ANAF are RON 3.8 billion (EUR […]

Survey: Romanians place highest trust in Army and Church, while Parliament ranks last

Romanians continue to place the most trust in the Army and the Church, while Parliament remains the least trusted institution, according to the second edition of the Informat.ro – INSCOP Research Barometer conducted between June 20–26. The monthly survey was commissioned by the news platform Informat.ro in partnership with the Strategic Thinking Group think tank. […]

Romania braces for fiery weekend as meteorologists issue Orange Code

Romania’s National Meteorological Administration, or ANM, issued on Thursday, July 3, an Orange Code warning for heatwave and heightened thermal discomfort, valid Friday and Saturday, July 4-5, in more than half the country, including Bucharest. The parts of Romania not covered by the Orange Code warning are under a Yellow Code for extremely hot weather. […]

Romania steps into the big league of fintech - Best Credit IFN becomes the first Romanian NBFI to partner with Bondster

Best Credit IFN announces the strategic partnership with the European crowdfunding platform Bondster, becoming the first Romanian non-banking financial institution (NBFI) to attract international capital through this platform. This initial round of financing marks a milestone in the company’s strategy to diversify its capital sources and rapidly scale its lending capacity in a dynamic market […]

Eastern Romania: Investigations continue in case involving Romanian IDs for Russians, Ukrainians

Another 93 searches were carried out at public institutions and private residences on Thursday, July 3, in the case of illegally-obtained Romanian identity documents for citizens of former USSR countries. Earlier this week, Romanian police completed 206 searches in the same case. Prosecutors claim that between 2023–2024, over 1,700 individuals born in the Russian Federation, […]