Real Wages Must Be Sustained By The Economy – Ctrl Bker

Isarescu said that from a social perspective, wages should be of RON700 – 1,000, or even RON2,000.

"Can the country’s economy give a salary of RON2,000? It can, in nominal terms, but in real terms it will still be of RON500 (after inflation adjustments – e.n.)," Isarescu said.

The central bank official added the market will correct any imbalances if politicians fail to correlate wages with the country’s economic realities instead of the social factor alone.

The central bank has adopted a restrictive monetary policy to keep inflation in check, but the government’s wage policy continues to be quite loose, while fiscal policies are more or less neutral, Isarescu added.