WIIW The Vienna Institute for International Economic Studies - Wiener Institut für Internationale Wirtschaftsvergleiche

Economic growth in Romania was among the most rapid in the EU in 2022, driven by household consumption and accumulation of inventories. However, future prospects are overshadowed by declining real wages and tightening fiscal policy. Still, with 2.2% growth in 2023, Romania will grow faster than most regional peers. The inflow of foreign direct investment (FDI) and EU funds will strengthen Romania’s chances of balancing the fiscal and current account deficits and will maintain its ability to invest. The country’s relatively modest dependence on energy imports from Russia also limits its vulnerability.