Experts forecast Romania will see a slight economic revival this year, while between 2014 and 2016 the country’s economy is expected to grow up to 4.3 percent.

The forecasts were included in the recently released GfK Consumer Climate Europea study, which detailed a generally positive outlook for the country.

“According to current estimates, GDP rose by 0.5 percent in the second quarter,” the study read.

"The overall economic framework conditions are favorable: national debt is at around 34 percent, the budget deficit is around 2.5 percent and unemployment is in the region of 7 percent."

However, the report noted that a number of reforms were still needed for Romania to keep pace with other European countries on long term basis, particularly surrounding privatization.

“A great many companies are still owned by the state. Hopes for further privatization were dashed again and again in the chemical, mining and transport industries, in particular”.

Other problems pointed out in the study included the weak judicial system and the black market.

However, private consumption is playing a more and more important role in Romania, while real income is rising, it found.

“In central Romania, for example, some areas have virtually zero unemployment,” according to GfK.

The GfK Consumer Climate Europe survey provides an overview of the development of economic and income expectations as well as willingness to buy among consumers in 14 European countries. The entire study can be read here.

Irina Popescu, irina.popescu@romania-insider.com