Business in Romania blog
The business in Romania blog writes about the Romanian business landscape, doing business in Romania, investing in Romania business and debating on business issues in Romania. Check this Blog's Policy here.

Thursday, March 24, 2005
Business in Romania blog
The comments below are copyright of Moody's.

In its annual report on Romania, Moody's Investors Service says that the positive outlook on the nation's Ba1 rating is based on the benefits of EU accession, stronger economic and political institutions, and improved external liquidity, balanced against the risk of overheating.

"The rapid growth of credit to the private sector (particularly in foreign currency), the related sharp increases in asset prices, and the large widening of the current account deficit all give us cause for some concern," cautions the report's author, Senior Vice President Nina Ramondelli.

The analyst explains that "the situation is further complicated by the government's decision to shift the monetary framework from relying on the exchange rate as an implicit anchor to inflation targeting later in 2005; this change occurs at the same time that the capital account is to be liberalized in order to allow nonresident investment in local currency instruments."

Moody's is optimistic, however, that EU membership will furnish support for sustaining the growth momentum now underway and for further improving the nation's debt and debt-service burden. "Deepening trade, financial and institutional integration with Europe should bolster Romania's ability to withstand potentially destabilizing capital flows," Ms. Ramondelli states.

For the complete comments please go HERE.

Posted by Mihai : 3/24/2005 07:35:00 pm Positive Outlook for Romania's Ba1 Rating.
Business in Romania blog
Business in Romania blog

Business Archives

06/01/2004 - 07/01/2004
08/01/2004 - 09/01/2004
09/01/2004 - 10/01/2004
10/01/2004 - 11/01/2004
11/01/2004 - 12/01/2004
12/01/2004 - 01/01/2005
01/01/2005 - 02/01/2005
02/01/2005 - 03/01/2005
03/01/2005 - 04/01/2005
04/01/2005 - 05/01/2005
05/01/2005 - 06/01/2005
06/01/2005 - 07/01/2005
07/01/2005 - 08/01/2005
08/01/2005 - 09/01/2005
09/01/2005 - 10/01/2005
10/01/2005 - 11/01/2005
11/01/2005 - 12/01/2005
12/01/2005 - 01/01/2006
01/01/2006 - 02/01/2006
02/01/2006 - 03/01/2006
This is a Flickr badge showing public photos from Mihai Botea. Make you own badge here.

Add Business in Romania to My Yahoo!

Previous Posts


Business in Romania Feed Burner

Business in Romania is powered by Blogger

This website is proud to be designed by Mihai Dragan

I usually listen to THIS kind of music.