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EconMin Popescu: Economy has 30-40 pct contraction
The economy has a contraction ranging between 30 and 40%, and after the peak of the epidemic has been reached and this crisis has followed a downward trend we want to have the measures ready for the recovery of the economy, Minister of the Economy Virgil Popescu told Monday Radio Romania Actualitati.
"We are, of course, affected, even very affected. The economy has practically decreased, we can say that it already has a contraction ranging between 30 and 40%. (...) In the period immediately after (Orthodox, ed. n.) Easter we will reach the peak of the epidemic, then we might talk about a downward trend of this crisis, a downward trend at the end of which we want to have the measures ready for the recovery of the economy," said Virgil Popescu, when asked about the losses incurred by the Romanian economy.
He mentioned that the areas most affected by the pandemic are tourism, HoReCa, transport, as well as the automotive industry, which was stopped.
"Gradually, the automotive industry seems to be recovering. It's a positive thing. We have received signals from the territory, from the auto industry horizontally, from the components, that startup scenarios are taken into account. A big manufacturer from Romania produces car wiring starting today, April 13, in Targu Jiu, in Caransebes and in Drobeta-Turnu Severin. I have information, including from Dacia, that they are preparing to start the engine production even with fewer employees, but let them start production, like the companies I have told you about before, but we still have areas that are hit: the services industry. Think about all the companies, all the small and medium-sized businesses that have been hit directly by the coronavirus and closed by military ordinances, they are practically out of business activity at the moment," said Virgil Popescu.