Tax Increases Could Shadow Romania Private Consumption Recovery

„Locally, a prolonged bad weather could hurt farming output and subsequently the supply on the domestic market, which would entail higher imports to cover demand,” the government said in the document obtained by MEDIAFAX Thursday.

Additionally, a low absorption of EU funds that translates into fewer investments, together with limited private lending or unforeseen increases of taxes, charges and administered prices can pose „further risks to internal demand,” according to the document.

The country’s convergence program is subject to annual revisions and will be sent to the European Union pending government approval.