“Romania’s financing needs are so big that it shouldn’t matter what the sources are: any alternative source must be used and supported by the state,” said Lucian Anghel, who is also the chief economist of the country’s largest bank, BCR.
Some of the alternative financing resources include the capital market, the pension funds, as well as new projects in infrastructure, energy or agriculture, he added.
“The capital market has significant potential for development, but the state must break the ice first. [Listing] a company such as Romgaz (Romania’s state-run natural gas producer – e.n.) would make an impact in the market,” Anghel said.
Additionally, new investments in infrastructure, energy and agriculture would lead to more jobs and further to a sustained economic growth.
Absent investments, the authorities will have difficulties in creating new jobs over the next decade because of a weakening demand Europe-wide, Anghel said.
Romania’s government has pledged to sell minority stakes in a batch of key energy and oil companies in 2012 and 2013, including Romgaz, nuclear power company Nuclearelectrica, hydropower generator Hidroelectrica and leading oil company OMV Petrom (SNP.RO).