The anti-crisis measures of the Romanian government, hidden under the IMF loan

According to a Romanian scholar and economical analyst, the idea of some specialists, that the economical crisis in Romania will end by next January, is farfetched. “We have a numbed economy, and until the wheel starts spinning again, we will have to bear with this phenomenon.”

Ion Rosca, Rector at the Economical Science Academy in Romania, says that the Romania is also experiencing a political crisis, generated mainly by the lack of transparency practiced by the cabinet and by the constant disputes that erupt between political factions.

Mr. Rosca also revealed that the government’s strategy to loan money from the International Monetary Fund (IMF) is wrong, because all it does is to fuel the deficit and does not stimulate production, like it should. According to him this will automatically lead to another loan, this time, without taking into consideration the country’s reimbursement possibilities.

On a final note, Ion Rosca said that because last year Romania had a economical growth of 6%-7%, and currently we have a 7% contraction, it means that the economy has to make up for a 14% drop. In this conditions, Romania will have to recover pretty fast in a very short period to reach an economical growth rate similar to last year’s.