Local bank BCR expects Romania's economy to grow by 3.3% this year, driven by consumption, the bank's chief economist, Ciprian Dascalu, told Ziarul Financiar.

He estimated the consensus expectations at 3.2%.

The economy will be driven by consumption this year after the investments (gross fixed capital formation) were the main engine last year, he explained. This is because real wages will grow at higher real rates as inflation eases. 

"Wage gains in real terms have become significant and will increase as inflation declines. Since August last year, salaries [...] recovered in real terms the losses caused by high inflation. If we look at the latest figures on sales of non-food products, we see an increase of 6.4% [y/y], which suggests that we can assume economic growth of 3.3% this year, except for the situation of a major external shock," Dascalu explained in during the online business show ZF Live.

iulian@romania-insider.com

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