IMF Loan May Have Saved Romania From Default – Ctrl Bker

„Unfortunately, Romania is incapable of producing enough locally to ensure a growth near its real potential. Without external capital, Romania’s economy would be substantially below its potential,” said Lucian Croitoru, adviser to central bank governor Mugur Isarescu.

Speaking at an economic debate, Croitoru said implementing structural reforms would help aid the economy. Postponing such reforms has led to growth slowdown or even to recession, he added.

In 2009, Romania secured EUR20 billion in aid from the IMF, the EU and other foreign lenders to tackle the effects of the recession and contain a widening budget deficit.

So far, the country has received around EUR10.2 billion from the IMF and EUR2.5 billion from the European Commission.