E CONOMY OF R OMANIA Außenwirtschaft Mara Martau

C ONTENTS : I. History II. The economy: 1) Currency 2) Potential 3) Branches III. Trade

C ONTENTS : I. History II. The economy: 1) Currency 2) Potential 3) Branches III. Trade I. History: Before WWII radical agricultural reforms and new constitution  democratic framework, quick economic growth industrial production takes off between 1923–1938 Second place in Europe for oil and food production After WWII COMECON  socialist-style economy rapid industrialization  metallurgy and textiles 1970s import of industrial equipment and know-how  foreign credit/ debt 1980s- imposes severe austerity measures  export of most of the produced goods before the Romanian Revolution: debt free GDP-$53.6 billion 58% of the country's gross national income came from industry, and another 15% came from agriculture.

Content: I. History II. The economy: 1) Currency 2) Potential 3) Branches III. Trade Free-market economy: 1990s: Starts transitioning Measures include: New constitution and economic laws Privatization  criticized for being the result of corruption Factories/ entire industrial branches are shut down- rising unemployment Romania takes huge sums of foreign credit  currency devaluation  rampant inflation throughout the 1990s

Content: I. History II. The economy: 1) Currency 2) Potential 3) Branches III. Trade 2000 onwards economy starts to stabilize Growing middle-class Transition from agricultural and industrial based economy into a service economy For EU accession, Romania adapted economic legislation (no subsidies, Completely free market ) to the EU standards 2007 Romania joins the EU Romania signs 20 billion euro deal for an IMF(international monetary fund) loan  drastically cutting public spending “pensions, wages, investments” and increasing taxes

Contents: I. History II. The economy: 1) Currency 2) Potential 3) Branches III. Trade II. The economy : 1) Currency: Leu, lei(plural) subdivided into 100 bani. It needs and wants to adopt the euro but first needs to fulfill the 5 Maastricht criteria of which it meets 3 as of June 2016

Content: I. History II. The economy: 1) Currency 2) Potential 3) Branches III. Trade 2) Economical potential : over 10 million hectares of agricultural land diverse energy sources  coal, oil, natural gas, nuclear, hydro and wind substantial, if aging, manufacturing base Developing tourism on the Black Sea and in the mountains well educated workforce

Content: I. History II. The economy: 1) Currency 2) Potential 3) Branches III. Trade 3) Branches: 1. Agriculture- Employs around 25% of the entire workforce is employed in the agricultural business but it contributes to only around 8% of the GDP  low productivity 2. Industry- Employs around 25% of the work force and accounts for around 30% of the GDP 3. Services- Employs around 50% of the workforce and accounts for around 55% of the GDP

Content: I. History II. The economy: 1) Currency 2) Potential 3) Branches III. Trade 1. Agriculture: largely self-sufficient fishing industry of international importance in the Black Sea region

Content: I. History II. The economy: 1) Currency 2) Potential 3) Branches III. Trade 2. Industry: Textile and footwear producing for major designer labels such as Hugo Boss Metal products Machine tools -Promex chemicals

Content: I. History II. The economy: 1) Currency 2) Potential 3) Branches III. Trade 3. Services: Services are financial, IT (bitdefender), renting, and business activities Retail sector: employs almost 12% of Romanians. Fast and cheap internet connections in Europe Tourism is of major importance

Content: I. History II. The economy: 1) Currency 2) Potential 3) Branches III. Trade Largest trading partners: EU countries (esp. Germany and Italy) Most exported items:

Content: I. History II. The economy: 1) Currency 2) Potential 3) Branches III. Trade Most imported items:

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