‘There is no stopping an economic crisis by throwing money at the economy. Large investment projects have halted and the large selling markets in the European Union are in a recession.
My conviction is that Romania will get out of the crisis when the economy of Germany and France have recovered,’ the President told local administration officials at a meeting on Thursday in Tulcea.
He insisted that the minimum resources to cover public spending have to be secured , without any excesses, so that the public wages and pensions may be paid and assistance should be granted on a case by case basis where there are prospects for selling markets, mentioning to the point the Oltchim chemical works and the Dacia automobile maker.
Basescu also said that Romania should avoid slipping. ‘Excesses have to be adjusted, be them in relation to staff costs or investment. So far, the Romanian Government has proved itself incapable of adjusting for crisis, unlike the private sector, which has adjusted immediately.
I want to be clear that Romania needs the Army, the Police, doctors, teachers and I am no fan of the absurd, but of rationality,’ said Basescu.
The President pointed out that Romania needs to modernise.
‘This crisis has shown us how badly Romania needs to modernise. Had we started a modernisation programme many years ago, we would have weathered the crisis more easily.
Since the economy of Germany and the economy of France are giving signs of a recovery, I hope that Romania’s economy will follow suit in the fourth quarter of the year,’ said Basescu.
He added that it is very tough comparing the economic data of the third quarter of this year with the ones in the third quarter of the previous year because there is a discrepancy in terms of the Gross Domestic Product.
‘On the other hand, the last quarter of 2008 witnessed economic decline, as we fund out later on, and probably Romania’s economy will recover in the fourth quarter of the year so that a small economic growth may be possible in 2010,’ said Basescu.