Earlier projections pointed to a growth of 1.5% this year, but weaker than expected economic data in the first six months could prompt the Romanian authorities and the IMF to revise their outlook.
The new estimates indicate a nominal GDP of 607.3 billion lei () for 2012, slightly down from RON607.5 billion previously envisaged. Additionally, the GDP deflator is seen rising to 4%, from 3.3% previously, the people familiar with the discussions told Mediafax.
“A higher GDP deflator means a higher inflation rate at the end of the year compared with the central bank’s current forecast of 3.2%,” they said.
Earlier Wednesday, Romanian Finance Minister Florin Georgescu declined to comment on whether the government plans to revise the GDP growth forecast for this year, saying only that the budget deficit target will remain unchanged at 2.2% of GDP.
Joint teams from the IMF, the European Commission and the World Bank arrived in Bucharest on August 31 for the sixth review of a EUR5 billion precautionary loan agreement signed last year.