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President Iohannis: We must invest so economy moves forward full throttle in as many sectors as possible

F. P.
iohannis

President Klaus Iohannis has sent, on Wednesday, a message during the tenth edition of the Romanian Business Leaders Summit, in which he states that there is need for investments so that the national economy moves forward full throttle in as many sectors as possible, such as infrastructure, energy, agriculture and industry.

"The COVID-19 pandemic, the energy crisis and, recently, the war in the vicinity of our country have also determined a re-evaluation of the direction and vision in resource allotment, from a short-term horizon to perspectives sustainable on the medium and long term. The sustainable solution envisages the massive mobilization of investments from European funds and national resources. Thus, the essential challenge consists of the accelerated implementation of investments, up to quality standards and with positive effects on the long-term. Only thus can we feel the benefits of a pro-investment policy, already assumed by the Government through the budget provisions of around 7% of the GDP for investments. We must invest so that the national economy moves forward full throttle in as many sectors as possible, such as infrastructure, energy, agriculture and industry, even if not all resources invested today will have immediately visible results, but rather on the medium and long-term," said the head of state in the message that was presented by presidential adviser Cosmin Marinescu.

Iohannis expressed confidence that the package of economic and social measures, recently announced by the Government, will manage to reconcile the protection of vulnerable social categories and the pro-active support of the business environment with the financial and budgetary stability requisites.

"In this sense, we must prove realism and pragmatism and prepare, at the same time, for a new 'normality', once the intervention measures will have stopped their applicability," Iohannis added.

In the opinion of the President, the economic growth in the first quarter of the year is encouraging, over expectations in relations to forecasts.

"We know, however, that the external deficits continue to deepen, and public debt will be affected by the significant advance of interest rates. At the same time, the upward dynamic of inflation, which has reached 14 percent, requires an extremely rigorous and prudent management on the part of the relevant authorities, in the direction of monetary stability and macro-economic balances, which are absolutely necessary. Only through a pondered and balanced approach will we succeed in attenuating the fragilities of the current period, protecting vulnerable social categories, but also respond, at the same time, to the challenges of the future in regards to the digital transition and the green transition. Inevitably, digital and green means rethinking and resetting economic realities on new coordinates, from which stems, at the same time, an invitation towards innovation and openness towards new business development opportunities," said the head of state.

President Iohannis emphasized the importance of continuing the involvement of the business environment in the structural reform process and in the green and digital transition.

"I encourage you to access European funds, especially those in the National Recovery and Resilience Plan, dedicated to the development of businesses, accelerating digitization, the green transition and energy infrastructure. The accelerated absorption of an unprecedented volume of European funds, through the adequate implementation of investment projects, requires a robust, dynamic and competitive business environment which can deal with the quantitative and qualitative challenges that we are facing," he said.

Klaus Iohannis also mentioned that the period we are going through is still under the sign of uncertainty and brings new economic and social challenges, including at the European level.

"Against the backdrop of the energy crisis felt by all member states, the Union is in the situation to identify emergency solutions and to accelerate the reaching of the European Green Deal objective. Despite the policy to support renewable energies and to increase their share in the energy mixes of member-states, the current situation confirmed the perpetuation in time of a critical energy dependency on Russia. We must be aware that energy security and the reaching of green targets do not represent objectives without sacrifices, but changes and costs that are worth assuming. It is, however, necessary to harmonize the green transition with our objectives in the domain of energy security, to better capitalize on the strategic resources and competencies that we have available," said the head of state. AGERPRES

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