Surprising growth

While the rest of the world suffers from economic crisis, the Romanian economy is currently witnessing an unprecedented boom. The business newspaper Capital looks for reasons: "For the global economy the first two quarters of 2008 were among the most difficult in the last 20 years. ... And what is happening in Romania? Here half-yearly growth reached an all-time high at 8.6 percent. The Romanian economy has remained unaffected by international developments, although its ties to the rest of the world have never been so close. ... What did all the foreign analysts and rating agencies say again? A belly flop for the Romanian economy, a rapid decline in growth, a possible recession. Romanian commentators ... have been preaching for years that growth is 'not sustainable'. But in the meantime the economy has gone its own way. ... How to explain that? Did the Tăriceanu government introduce some kind of wonder programme seven or eight months ago? Hardly. We are now reaping the benefits of measures taken in 2005, especially of the flat tax."

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