The Romanian capital market is very beautiful but lacks liquidity, it’s much like a Ferrari that does not have a proper street for a drive, said Dan Paul, president of the Brokers’ Association.

He also compared the Romanian bourse to a beautiful, well-lit market that lacks goods. “We lack the tomatoes. We don’t trade, we don’t have liquidity,” he added, reports local Agerpres.

He noticed that there has been some progress in the last three years, but liquidity remains a problem. Paul said that the target to become an emergent market is good, but the strategy is also important.

Valentin Lazea, chief economist of Romania’s National Bank (BNR), also said that the Romanian stock market can step up to an emergent market status if significant state-owned companies are listed. He added that the listings of private companies such as MedLife are welcome, but not enough to grant the liquidity necessary to “promote to the superior league”.

At the end of September 2016, Romania was officially included in the FTSE watchlist of the countries that present a substantial potential to become emergent markets.

editor@romania-insider.com