The SAR policy analysis and forecast report shows cautious optimism for 2012. Keeping a strict control over public spending, maintaining the IMF arrangement and improving the impact of the European funds are, according to SAR experts, the necessary conditions for the recovery from the crisis and for Romania’s development.
The public expenditure used for gaining electoral support is seen as the highest risk on the short term. On a longer term, the report shows scepticism over Romania’s capacity to increase its advantages and become competitive in the euro area before 2020.
The first section of the SAR report contains the economic forecast for 2012, pooling the expertise of a panel of professionals coming from the public and private sector, analysts or practitioners, who answered the questionnaire sent by SAR.
The second section of the report answers the question whether it is in Romania’s interest to postpone joining the eurozone.
One of the measures still considered vital for our country is the increasing ofthe absorption rate of the European funds. Accordingly, the third section of the SAR report asks the questions of what are we getting from the EU funds for regional development and why.
The last section tackles the issue of public spending and the eternal problem of underfunding the health system. Despite the official statements, reform in the health policy sector will in all likelihood be rolled over as „inheritance” to the next government.
Contributors: Florin Cîţu, Sorin Paveliu, Mădălina Doroftei, Valentina Dimulescu, Daniela Marinache, Raluca Pop.