Romania Econ Growth Seen Below 4% In '09 From 8% In '08

Romanian economic growth is seen below 4% in 2009, down more than half compared to the 8% growth estimated for 2008, analysts said.

The analysts forecasted an 8.7% growth for the first nine months of the year, with the rate to slow down to 6.3% in the fourth quarter.
 
In 2009, however, annual growth forecasts range between 3% and 4%.
 
Moody's analyst, Kenneth Orchard went further and anticipated a recession in Romania and a 0.3% annual economic growth.
 
Orchard said exports in Romania will slow down next year due to the economic downturn across the EU and that the global liquidity shortage will limit capital inflows to the country, affecting local consumption and investments.
 
Romania will see a recession in 2009, despite big public expenses, a budget deficit of 5% of the GDP and the widening of the public debt to 16.2% of the GDP, the Moody's official said.
 
Andrew Colquhoun, director with Fitch Ratings agency, said in his turn that Romania's GDP will slow down in the first quarter of 2009, but that this will not lead to a recession.
 
Mediafax