One of the main risks for Romania’s economy is the significant slowdown of the Chinese economy that would delete two percentage points of the estimated increase in the GDP, according to Oxford Economics.

The tightening of the monetary policy by the US Federal Reserve (Fed) could also have a negative impact of one percentage point on Romania’s economic growth, reports local Mediafax.

The local economy will grow by 3.8% this year, and will slow down to 3.2% in 2017 and 2.9% in 2018. The GDP could increase by 3.2% in 2019.

If the situation in China worsens, the shock could expand to other countries. The growth of the global economy would drop by 1.7% in 2017.

Romania’s economy would also be affected due to the lower demand for exports.

editor@romania-insider.com