Romania cannot be an island of tranquillity in an ocean of disaster

“We cannot be an island of tranquillity in an ocean of disaster,” said Prime Minister Calin Popescu Tariceanu in Brussels, during a press conference organized at the conclusion of the two-day European Council meeting. The head of government was issuing a warning about possible negative consequences of the international economic crisis on Romania.

 “I want to inform you that the effects of the crisis are beginning to be felt in Romania as well, following the postponement to 2009 of the decision on the Voestalpine investment. This is the first element that has made itself glaringly obvious in connection with a series of major investment projects,” added Tariceanu.

Following the suit of stock markets around the world, Romania’s stock exchange dropped sharply in the first half of its session, although a rise in the second half brought indices back to stagnate.

The banking sector, which until now showed no signs of weakness, is trying to identify solutions to maintain a high level of trust among despositors. Radu Gratian Ghetea, President of the Association of Romanian Banks (ARB), yesterday proposed to the Minister of Justice, Catalin Predoiu, that any denigration of banks be punishable by the Penal Code.

Business Standard