Romania Could Be Europe's Seventh Or Eighth Largest Econ Power By 2014

Romania could become the seventh or eighth largest economic power in Europe by 2014 if current trends continue, Romanian Prime Minster Calin Tariceanu told diplomats in a meeting Tuesday.

He added Romania needs to replace its post-communism image as a modest country with ambition and emancipation.

Tariceanu gave the example of Austria which achieved economic development by promoting its interests and urged diplomats to back projects of Romanian companies abroad.

"If current economic trends continue, Romania can become, by 2014, the seventh or eighth economic power in Europe. We need to lay major emphasis on economic expansion abroad," Tariceanu told diplomats.

Tariceanu has repeatedly said in recent months it is his ambition to make Romania, which is the seventh largest country in Europe by surface and population, into the seventh largest economy in the region.

The head of government presented a series of first half gross domestic product growth and foreign investment and estimated Romania could see foreign investment of over EUR500 million in the upcoming period.

He reminded that the introduction of the 16% flat tax in 2005 met with criticism on the part of the International Monetary Fund (IMF), which prompted the government not to extend the country's stand-by agreement with the institution and manage its own economic issues.

Tariceanu said the IMF played a major role up to a point where "bureaucratic rigidity" proved the Fund could no longer assess the development of Romanian economy.

Mediafax