Romania: 2021 Article IV Consultation-Press Release and Staff Report
IMF Staff Country Reports, August 27, 2021
Source details
- Canonical URL
- Romania: 2021 Article IV Consultation-Press Release and Staff Report
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Bibliographic details
- Published: August 27, 2021
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781513594897.002
Summary and key findings
- Among EU countries, Romania suffered a relatively shallow recession in the COVID-19 crisis, aided by macroeconomic easing.
- A strong recovery is projected in 2021.
- The new government is committed to balance continued pandemic-related support with the start of a medium-term fiscal consolidation trajectory that corrects pre-pandemic excesses, while implementing a range of structural reforms.
- These efforts, as well as the medium-term recovery, should be bolstered by large Next Generation EU grants.
Projections and outlook
- Strong recovery projected in 2021.
Fiscal policy, consolidation, and public debt
- The new government intends to:
- Balance continued pandemic-related support with the start of a medium-term fiscal consolidation trajectory.
- Correct pre-pandemic excesses through consolidation measures.
- Fiscal stance: move from pandemic support toward medium-term consolidation.
Structural reforms and external support
- Implement a range of structural reforms to support recovery.
- Large Next Generation EU grants are expected to bolster medium-term recovery and reform efforts.
Thematic coverage and keywords
- Subject: COVID-19, Fiscal consolidation, Fiscal policy, Fiscal stance, Health, International organization, Monetary policy, Public debt, Revenue administration
- Keywords: COVID-19, expert fund assistance, Fiscal consolidation, Fiscal stance, General government balance sheet, Global, government effectiveness, headline inflation, monetary policy response
Content in this bundle
- 1rouea2021001