IMF sees Romanian GDP falling at fastest pace in emerging Europe

Romania’s economy will shrink at the fastest pace among emerging states in Europe this year, while its estimated growth of 1.5 percent for 2011 will be the smallest in the region, the International Monetary Fund said in its latest global outlook report. The IMF forecasts Romania's gross domestic product will decrease 1.9 percent in 2010, from a steep contraction of 7.1 percent a year earlier. In 2011, the economy is expected to grow a meager 1.5 percent, below the region's 3.1 percent average advance. Romania's annual inflation is estimated at 5.9 percent in 2010, higher from 4.7 percent in December last year, largely due to a 5 percentage point increase in the value added tax introduced in July. Mediafax