Share the article
twitter-iconcopy-link-iconprint-icon
share-icon

Moment of truth

Despite significant structural change over the past five years, Romania faces daunting macroeconomic challenges as it gears up for EU membership.
Share the article
twitter-iconcopy-link-iconprint-icon
share-icon

These are wearing times for Romania as it enters the final stretch in its gruelling preparations to join the EU. After signing an accession treaty, along with Bulgaria, in April 2005 with a view to entering the EU in January 2007, the coalition government of premier Calin Popescu Tariceanu has been struggling to complete the adoption of the acquis communautaire, the body of EU law, by the deadline of April 30.

The European Commission, which has been mulling postponing Romania’s accession by one year to January 2008 after issuing a critical report last October that cited several areas of concern (notably the fight against corruption), will make a final decision on May 16 whether to admit Romania in 2007 or 2008. While the government’s courageous efforts to stamp out graft are likely to convince the EU to opt for 2007, Romania’s ability to pursue far-reaching reforms is in doubt.

To continue reading, join our community and benefit from

  • In-depth coverage across key markets
  • Comments from financial leaders and policymakers worldwide
  • Regional/country bank rankings and awards
Activate your free trial