14.01.2022

ROMANIA AHEAD OF POLAND?

Romania could overtake Poland in gross domestic product per capita by the middle of this decade if it accelerates public reforms and digitalisation, as well as if it makes more efforts in the field of development investment, according to a report by Banca Transilvania, quoted by Romania Insider.

"Poland and Romania have faced comparable economic and historical challenges over the last decade," said its author, Andrey Radulescu, director of macroeconomic analysis at the bank.

The analysis also shows that Romania has achieved strong convergence towards the levels in Poland in terms of the prospect of an annual rate of potential GDP from 2010 to 2019.

In the last year of this cycle, GDP per capita at purchasing power parity as a percentage of the EU average was 75.7 percent in Poland and 72 percent in Romania. And the annual rate of potential GDP in Romania exceeds the levels in Poland in 2020.

For 2021/3, the analyst expects the trend to converge.

According to the World Bank, in 2020 the indicator in Romania reached a level of $ 31,945.70, which is ahead of Greece ($ 28,377.40). Bulgaria is located between Uruguay and Trinidad and Tobago with $ 24,620 GDP per capita. However, the biggest of the expected decline in the population will probably increase the levels.