The economy is further slipping into recession

Everybody was expecting a quarter-to-quarter economic rebound, but the decline worsened from -0.6% to -1.5% in Q4, 2009 from Q3, 2009. GDP in 2009 contracted by 7.2%, marking a 180-degree turn from 2008, when the economy reached a peak. After the surprise of Q3, when there were signs of an economic rebound, most analysts raised their estimates regarding the Q4 situation, believing Romania was about to exit recession. However, despite upbeat estimates, the economy in the last quarter slipped by 1.5% from Q3, with the fall speeding up from the 0.6% of Q3 against Q2. The economy decreased at an annual pace of 6.6% in Q4.

Whereas the figures on the economy's performance in Q3 were viewed by analysts as "good news", "the biggest surprise" or "a ray of light in these dark times", now specialists' views on last quarter GDP are converging to the "a negative surprise" description.