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Interview: Proposals for the recovery of Romanian economy

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This article has been previously published in Ziarul Bursa, on June 24, as a follow-up to their ”Romania's development strategy” videoconference. The entire article can be read here.

”Challenges are opportunities for those who know how to overcome them."

We are facing radical change, and its effects will affect our reality in the long term, believes Dan Schwartz, Managing Partner, RSM Romania. According to him," challenges are opportunities for those who know how to overcome them."  

The current crisis can be compared to the post-depression reality," when humanity jumped from carriages and horses to automobiles and horsepower". The expert notes that we are about to shift from a physical economy, based on tangible assets, to a digital one — and this is our future, even if it may be scary for some".

Dan Schwartz believes in the power of reforms, and assesses that the economy can integrate the upcoming change." The Government should support businesses more. Companies are confronted with two major issues: the pressure on cash flow, and the populations' trend to limit consumption and save money." [...] 

"The strategies and policies aiming for economic recovery should be designed through continuous consultations of the government with academia, businesses, employees' unions, and employer's organizations."

The strategies and policies aiming for economic recovery should be designed through continuous consultations of the Government with the academia, businesses, employees' unions, and employer's organizations. The strategies must also be discussed and approved in the Parliament, and this is particularly why this year's electoral results will be an essential factor in Romania's recovery, according to the expert. 

"The Government should play an important role in the post-pandemic recovery process because the issues and disequilibrium that have emerged during the stat of emergency were not the results of economic, but administrative measures to prevent the Covid-19 spread. The Executive should reinstate the economic freedom they have limited through two categories of measures: fiscal and non-fiscal". Here is a list of non-fiscal measures, that, in the expert's opinion, would help

  • facilitating access to loans;
  • finalizing the major investments in the infrastructure;
  • supporting clean energy investment programs; 
  • creating an environment that is favorable for business, by diminishing bureaucracy;
  • revising and reforming work legislation;
  • suspending programs that support specific sectors;
  • ensuring financing facilities for those companies whose activity has been suspended;
  • encouraging and supporting agriculture. [...]

The entire article can be read here.