Speaking at a seminar organized by financial daily Ziarul Financiar, Daianu said Romania’s economic growth potential has decreased from 5%-5.5% to 2%-2.5%. It will keep deteriorating unless proper measures to avoid the erosion of education and human capital are taken, Daianu highlighted.
Romania’s economic growth potential will be affected if Europe slips into recession. The decisions taken in EU, as well as decisions taken locally matter significantly to the country, he said.
Daianu pointed out that Romania directed 5% of its gross domestic product to public investments, while results did not match expectations. They contributed only 2%-3% to the GDP, he added. “This is s singular case in Europe.”
According to Daianu, Romania must reform state companies and encourage new investments.
Regarding the attraction of foreign resources, he said Romania has relations outside Europe and must enliven them though a more aggressive economic diplomacy, also supported by the private sector.