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EBRD Cuts Romania GDP Growth Forecast To 0.8% In 2012

The European Bank for Reconstruction and Development Tuesday revised downward its forecast for Romanian economic growth to 0.8% in 2012, from 1.1% previously, citing ripple effects from the eurozone crisis.

Florentina Dragu · 24 ianuarie 2012 · 1 min de citit

“Until recently, Romania’s economy was on track to record robust growth in 2012, after a modest recovery in 2011. However, the slowdown in the eurozone is already having a significant dampening effect on Romania’s exports, and further weakening is likely in the coming months,” the bank said in its latest Regional Economic Prospects report.

The EBRD lowered slightly its growth forecast for the 29 countries in which it invests to 3.1% in 2012, from 3.2% previously, and warned that Hungary and Slovenia are likely to slip back into recession this year.

The projected regional slowdown in 2012 is largely due to significantly weaker growth in central and south-eastern Europe, which is particularly exposed to eurozone stress, EBRD said in its report.

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