Romania’s National Bank (BNR) estimates an economic growth between 4% and 5% this year, according to BNR governor Mugur Isarescu.

He said that that institution’s exact estimate is confidential, but ranges between 4% and 5%. Isarescu added that the estimate is not relevant to the budget construction, but it’s related to the central bank’s macroeconomic model.

The budget was built on an economic growth estimated at 5.2% for this year, with a budget deficit of 2.96% of the GDP and an average annual inflation of 1.4%, according to a report published by the Finance Ministry.

BNR estimates that the annual inflation rate will reach 0.2% at the end of March. The inflation rate will grow to 0.6% at the end of June, 1.3% at the end of September, and 1.7% at the end of this year, Isarescu said.

The National Prognosis Committee has revised up the economic growth estimate from 4.3% in its fall prognosis to 5.2% in the current prognosis. The World Bank expects for Romania an economic growth of 3.7% this year, and most local banks and international financial institutions also forecast an economic growth of under 4% for Romania this year.

editor@romania-insider.com