Romania’s GDP is well below expectations: growth of 5.6% in 2021. The result is determined by the exaggerated dependence on inter-EU trade and the neocolonialist structure of the industry

By Jerom Bolt
The Romanian economy grew by 5.6% last year, and in the last quarter of 2021 GDP rose by 2.2% compared to the same period in 2020, but decreased by 0.5% compared to the previous quarter, according to data preliminary results from the National Institute of Statistics (INS).
The drastic decrease in the fourth quarter of GDP demonstrates once again the dependence of about 75% of the Romanian economy on trade with other EU states, but also the neocolonial structure of the industry compared to the strongest Western economies. The most eloquent example is that of the automotive and vehicle parts industry, a sector in which the subsidiaries of large foreign companies or local companies depend exclusively on the orders they receive from abroad.
According to the INS, on a seasonally adjusted series, in the fourth quarter of 2021, compared to the previous quarter, the Gross Domestic Product decreased by 0.5%. Compared to the same quarter of 2020, GDP grew by 2.7%.
In gross series, compared to the same quarter of 2020, the Gross Domestic Product, in the fourth quarter of 2021, registered an increase of 2.2%. In 2021, compared to 2020, the Gross Domestic Product increased by 5.6%.
“Following the revision of the quarterly gross GDP series due to the inclusion of the Gross Domestic Product estimate for the fourth quarter of 2021 in the quarterly series, the seasonally adjusted series was recalculated, the volume indices being revised against the second provisional version of the Gross Domestic Product for the quarter III 2021, published in press release No. 9 of January 12, 2022. Thus: the results of the first quarter of 2021, compared to the fourth quarter of 2020, were revised from 102.2% to 102.0%, the results of the second quarter of 2021, compared with the first quarter of 2021, they were revised from 101.5% to 101.1%, the results of the third quarter of 2021, compared to the second quarter of 2021, were revised from 100.4% to 100.1%. recalculates quarterly in accordance with European practice “, mentions INS.
It should be noted that the increase announced by the INS is much lower than last week’s EC forecasts (+ 6.3%) and compared to the Romanian forecasts which estimated a GDP growth of 7% in 2021.