Head of RO Fiscal Council encourages banks to finance real sector

The financial industry can support more the "vital sectors," such as agribusiness, where financing is more about liquidity than investment, said the head of Fiscal Council Daniel Daianu, encouraging the banks to shift their portfolios from Government bonds to the real sector.

"We need to be guided by investments. The reality is that banks still prefer government bonds. It's hard to invest. It takes due diligence; you have to do a serious analysis in order to finance investments," said Daianu, quoted by Agerpres.

The head of the Fiscal Council reiterated his optimistic forecast for Romania's economy in terms of GDP growth (6%-7%) but also regarding the investors' mood.

"The economy is more resilient than we thought. […] And I see an entrepreneurial effervescence. There is such a thing. A critical mass has been created in our economy from this point of view," Daianu said.

He also underlined that the Government would invest 5.5% of GDP this year, in the context of a 7% of GDP (cash) public budget deficit.

(Photo: Inquam Photos / George Calin)