Romania's central bank: IT sector exceeds 6% of GDP

Romania’s IT&C sector will reach 6.2% of the Gross Domestic Product (GDP) this year compared to 5.5% of the GDP in 2016, according to a study concluded by Romania’s National Bank (BNR), cited by local Ziarul Financiar. The IT&C sector contributed 0.7 percentage points to Romania’s economic growth last year, the second highest share after trade (1.9pp). The IT&C sector has been supported in the last years by tax breaks and relatively low labor costs compared to other states from the EU. Programmers don’t pay the income tax in Romania. The number of employees in the local IT sector has increased significantly. The market records a very tough competition for skilled labor force. This evolution, coupled with the education system’s failure to generate an adequate flow of graduates, leads to constant wage increases in the field, according to the BNR study. The average net salary in the IT sector amounted to RON 4,690 (EUR 1,000) in July, double compared to the average net wage in the local economy. editor@romania-insider.com