“Domestic demand remains in negative territory, but consumption is improving. Overall, the trade activity accelerated faster than initially projected,” Isarescu said at the presentation of the bank’s quarterly inflation report.
He said private financing had a significant contribution to the first-quarter trade growth.
“The financing sources came from personal income, as the gross wage has increased, as well as from banks. Leu-denominated loans are growing and, at least for the first quarter, they rose at a faster pace than euro-denominated loans,” Isarescu told reporters.
The central banker mentioned the labor market poses no risks to the inflation prognosis and that wages are linked to productivity levels.
The central bank Tuesday revised slightly down its inflation forecast to 3.3% this year from 3.5% previously and said inflationary pressures are expected to remain at moderate levels in the next months.
The bank expects a similar year-end inflation rate in 2015. The 2015 figure was revised up from 3.2% initially envisaged.