The Energy Sector Reform and Macroeconomic Adjustment in a Transition Economy: The Case of Romania

Author/Editor: Cossé, Stéphane
Publication Date: April 01, 2003
Electronic Access: Free Full text (PDF file size is 627KB).
Use the free Adobe Acrobat Reader to view this PDF file

Disclaimer: This Policy Dicussion Paper should not be reported as representing the views of the IMF. The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate
Summary: This paper assesses the main issues faced by the energy sector in a transition economy such as Romania and their macroeconomic dimension. It examines how the size of quasi-fiscal subsidies, owing mainly to inappropriate prices and the lack of financial discipline, has led to an increased focus on the energy sector under the IMF-supported programs. The paper analyzes the macroeconomic impact of recent reform measures and discusses the next steps to improve price policy and collection in energy utilities. Shifting to targeted budgetary subsidies appears also to be a crucial reform step.
Series: Policy Discussion Paper No. 03/2
Subject(s): Energy sector | Romania | Economic stabilization | Structural adjustment | Transition economies

Publication Date: April 01, 2003
Format: Paper
Stock No: PPIEA0022003 Pages: 25
US$15.00 (Academic Rate:
US$15.00 )
Please address any questions about this title to