The speed and path of the economic recovery are uncertain, conditional on the evolution of the COVID-19 pandemic and the associated restrictive measures, as well as on the economy's response to fiscal and monetary stimuli, according to the minutes of a monetary policy meeting of the board of the National Bank of Romania (BNR) of August 5, 2020.
Public Finance Minister Florin Citu says that his objective is to minimize the negative impact of the global economic crisis on Romania's economy, and that the best measures to this effect have been taken so far, a fact confirmed by official data. "The real economy proves me right! We have taken the best measures for the economy and this is confirmed by official data.
Romania's annual inflation rate fell to 2.3% in May 2020, from 2.7% in April, given that food prices rose by 5.25% , services by 2.6%, and non-food goods by 0.15%, according to data released on Friday by the National Institute of Statistics (INS). Consumer prices in May 2020 compared with April rose by 0.05%, and compared with December 2019 they advanced 1.47%.
Greece's annual EU-harmonised inflation stayed negative in May at -0.7% year-on-year from -0.9% in April, statistics service ELSTAT data showed on Wednesday.
The data also showed headline consumer price inflation at -1.1% from -1.4% in the previous month.
Prices were led lower by housing and transport costs, telecommunications and consumer durables, the data showed.
The Chairman of the Alliance of Liberals and Democrats (ALDE) Calin Popescu-Tariceanu maintains that by increasing the pensions by 40pct, from 1 September, the Romanian economy could be relaunched because it would encourage the consumption of goods and services in order to create jobs.
The Turkish economy, expected to shrink in 2021 like many other countries due to the coronavirus, will bounce back 6% in 2021, the European Bank for Reconstruction and Development (EBRD) said on May 13.
"Turkey is likely to see a contraction of 3.5% in 2020 because of the economic impact of the coronavirus pandemic," the bank stressed in a press release.
Greece's annual EU-harmonised inflation fell to -0.9 percent in April from 0.2 percent in March, statistics service ELSTAT data showed on Friday.
Government lockdown in response to the coronavirus has triggered a slowdown in the country's economic activity and consumer spending. Higher food prices were more than offset by lower prices in housing, transportation and communications.