Romania cuts expectations for this year’s growth to 0.6% amid subdued domestic consumption

Romania’s forecasting body, CNP, revised its forecast for the year’s GDP growth to 0.6% from 1.4%, under the Autumn Forecast dated September 5, to be used as the baseline scenario for the imminent budget revision. Initially, the government drafted the budget planning for this year based on a much brighter macroeconomic scenario inked last December and including a 2.5% GDP growth this year.

This compares to the slightly optimistic 1.3% growth projected by Erste Group and the much more pessimistic 0.3% projection affirmed by ING Romania.